THE ROLE OF THE MANAGEMENT ACCOUNTANT IN PROFIT MAXIMIZATION
(A CASE STUDY OF EMENITE PLC)
The management accountant is identified as one of the key officers in the accounting department of any manufacturing company. He has the duty of providing the required professional information reroute to achieving the organization goal. Some of his functions include planning and controlling activities formulation of strategy decision taking optimizing the use of resources etc.
In his planning function he quantifies and interpreters the effect of planned transaction and other economic event of the organization.
The management accountant by virtue of his duties participants indirectly in the management process. This research work aims to bring to the knowledge of its user the role the management accountant plays in the achievement of the goal of every manufacturing outfit which is profit maximization.
The work is organized in five chapters, chapter one is the introductory. Part which include the background of the study statement of problems significance scope and limitation of the study. Chapter two is the literature review this is where the pinions of various authors in related subjects are reviewed. Chapter three deal with the research design and methodology. This could be seem as a framework or a plan that is used in collecting analyzing the data for the study. It reveals the sources of the data the sample used and the method of investigation. In chapter four the data are being presented and analyzed the hypotheses stated were adequately tested and decision taken. Finally in the fifth chapter the finding of the research work is disclosed and recommendations and suggestions are given for the benefit of the user.
TABLE OF CONTENTS
Table of content
1.1 Statement of problem
1.2 Purpose of the study
1.3 Significance of the study
1.4 Statements of hypothesis
1.5 Scope and study
1.6 Limitation of the study
1.7 Definition of terms
2.0 REVIEW OF RELATED LITERATURE
2.1 Definition of profit maximization
2.2 Functions of management accountant in relation to profit maximization
2.3 Ways of regulating cost in a manufacturing company
3.0 RESEARCH DESIGN AND METHODOLOGY
3.1 Sources of data
3.2 Sample used
3.3 Method of investigation
4.0 DATA PRESENTATION AND ANALYSIS
4.1 Test of hypothesis
5.0 Summary of findings conclusion and recommendation
Modern business organization operates in an environment that is considerably complex. Since the 1970’s managers have had to cope with rising interest rates materials shortage crises inflation and environment regulations to mention a few. And the traditional method of analyzing problems and making decision have been found in capable of effectively handling this increasing complexities due to the change that exist within the environment it becomes an important characteristics of a good management to be able to evaluate the past changes to react to current changes and to be able to predict the future changes. In this direction management needs information continually which will help in the planning and controlling of the operation of the organization.
The need for accountability has given rise to cost accounting system, which provides information that is useful to management for internal reporting objectives.
Due to the complexities in the system of most organization the system of cost accounting is equally becoming complex and resultantly a body of professional with special expertise in this is created. This body of professional is called the management accountants and the area of study is know as management accounting
Woody et al (1985) define management accounting as the process of identification measuring accumulating analyzing preparation interpretation and communication of financial information used by management to plan events and control within an organization and to ensure proper use and accountability of its resources form the above definition it means that the management accountant has a range of function to carry out in n organization.