What do we mean by MGT accounting?

MGT accounting, short for management accounting, aims to give companies internal financial information to support their choices. It contrasts with financial accounting which is meant for providing information to external users. In MGT accounting, the main areas include budgeting, forecasting, cost analysis and looking at performance. It helps managers find out about how the business is working and how well it is making money, so decisions about the future can be taken. To make sure decisions are guided by fresh data, organizations usually receive MGT accounting reports each month or at the end of the quarter. Using this strategy helps a business develop clear plans and keep getting better.

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