Financial Accounting vs Management Accounting

Financial Accounting:

• Recording transactions and preparing financial statements regarding the entity as a whole.
• GAAP (Generally Accepted Accounting Practices) standards ensure comparability of financial statements between businesses. 

Management Accounting:

• Provides financial information for specific purposes
• Used by management for decision making.
• Used to assist management reach financial goals.

Posted by Accounting and Taxation at 11:56 PM

Labels: Accounting