Question

Which of the following techniques is NOT commonly used in management accounting?

• A. Ratio Analysis
• B. Budgetary Analysis
• C. Fund Flow Statement
• D. Sales Tax Filing

Answer 1

Answer:

D. Sales Tax Filing

MANAGEMENT ACCOUNTING:

• Management accounting deals with the provision of necessary accounting information to people within the organisation to enable them in decision making, planning and controlling business operations.

• Management Accounting draws the relevant information mainly from financial accounting and cost accounting.

• Uses various techniques like ratio analysis, budgetary analysis, fund flow statement, cash flow statement etc.

• Generate relevant information like sales forecast, purchase requirements, manpower needs