Accounting and finance Essay Example | Topics and Well Written Essays - 500 words - 1

Accounting and finance - Essay Examplef the organization which will help them in making better and informed decisions increase their job effectiveness and improve organizational implementation (Needles et al., 2010). steering accountants play a position in all stages of a decision making process which involves planning, performing, evaluating and communicating. Their expertise in financial reporting will allow them answer in decision making process. both business decision has to be based on sound financial knowledge and this is where management accountants be vital.The various areas of business that management accountants play a role are designing of business strategy, preference usage, internal control, corporate governance, safeguard tangible/intangible assets, decision making, planning and controlling activities, value enhancement, performance improvement, etc (Collier et al., 2006).The role of the management accountants is limited to only serve the internal decision makes of an organization. The focus of management accountants is forrard thinking. Management accountants use the financial information and design models that predict the future financial projections.Financial accountants too play an equally important role in effective business management. The role of financial accountants is to assist all stakeholders of an organization by preparing financial statements which summarises and indicates the financial health of the organization. Financial accountants are required to crap financial statements that assist not only internal but also external decision makers much(prenominal) as shareholders, owners, lenders, banks, suppliers, etc (Loughran, 2011).Unlike management accountants, financial accountants are not seen as business consultants or advisors. The role of the financial accountants is to make the financial information of an organization available in a user sociable way to the stakeholders. Financial accountants are required to look analy se the past performance of an organization and doctor