WednesdayJun 28 at 10:13am
Manage Discussion Entry
“In general, managers should be held accountable for the results of their decisions and businessexecution. Without accountability based on performance-related feedback, the business will not performat its best, and areas in need of improvement may not be identified on a timely basis. Business feedbackis often based on financial results” (Wainwright, 2012). Management accountants must be diligent in completing their tasks, failure to do so can cause great havoc within the company.
Management accountants must behave ethically. They have the obligations to follow very high standards of ethics provided by the Institute of Management Accountants. They must maintain the highest standards of ethical conduct set forth by the company that employs them. They must possess competency, confidentiality, integrity and credibility.
A management accountant must be fair, honest and responsible. By adhering to these standards, a management accountant will help ensure the company’s success.
A financial accountant deals more with the company’s financial statements. The job of each is equally important, however, there are differences in their obligations and standards. A financial accountant mainly handles information pertaining to only the money side of a business and provides advice on investments and financial health information about a company. While a financial accountant should have the same standards of a management accountant, their obligations to a company may be different.
Wainwright, S. K. (Ed.) (2012). (Links to an external site.)Links to an external site.Links to an external site.Principles of accounting: Volume II [Electronic version]. Retrieved from https://content.ashford.eduLinks to an external site.
#2 Joseph Mendrala
WednesdayJun 28 at 6:43pm
Manage Discussion Entry
A certified management accountant has to be truthful, must deal in fairness, have objectivity, and must be responsible. They deal with the business as part of the management team. They use their financial expertise and broad business competence to help assure the organization’s successful operation. They add value to the organization through the effective use of resources and are a strategic partner in utilizing financial information to improve the quality of business. “Management accountants should behave ethically. They have an obligation to follow the highest standards of ethical responsibility and maintain good professional image. Maintain an appropriate level of professional expertise by continually developing knowledge and skills. Perform professional duties in accordance with relevant laws, regulations, and technical standards. Provide decision support information and recommendations that are accurate, clear, concise, and timely. Recognize and communicate professional limitations or other constraints that would preclude responsible judgment or successful performance of an activity. They should also inform all relevant parties regarding appropriate use of confidential information. Monitor subordinates’ activities to ensure compliance.” (Standards, N.D)
Standards of Ethical Conduct for Management Accountants. (n.d.). Retrieved June 28, 2017, from http://www.accountingverse.com/managerial-accounting/introduction/code-of-ethics.html