Managerial Accounting
Tailored to help you make better decisions for your company
What is managerial accounting, and how does it work?
Do not mistake financial accounting for managerial accounting. While financial accounting focuses on using accounting information by external stakeholders of your company, managerial accounting relates to accounting information used by your company’s internal stakeholders. While financial accounting is historically centred, managerial accounting is future-oriented.
The central role of managerial accounting is to identify, analyse and interpret accounting data to help you make better-informed business decisions and to help you achieve your goals.
Many critical business decisions such as costing and production require precise cost information – that’s just one aspect of managerial accounting. Managerial accounting includes accounting functions such as inventory valuation, product costing, budgeting, various financial analysis and forecasting.
Our managerial accounting services
Product costing and inventory valuation:
Product costing relates to the determination of the total costs incurred in the production of goods and services. Direct materials costs, direct labour costs and manufacturing overhead costs all together make up product costs.
Our team of professional accountants will be able to determine your company’s overall product costs and product costs per unit through an in-depth analysis of your accounting data. Product costing information is crucial in budgeting your money and pricing your products and services.
Budgeting:
Budgeting helps you to allocate and control your resources to ensure an efficient expenditure process.
Our team at TnB is adept at analysing information related to capital expenditure. We will help you make critical decisions using metrics such as the net present value (NPV). We also use performance reports to track when actual results deviate from the budget, analysing the deviations and guiding you in making appropriate changes.
Financial analysis:
Financial analysis evaluates the profitability, stability and suitability of your business. It makes use of ratios such as the return on assets (ROA) and IRR as well as other techniques such as constraint analysis and inventory turnover analysis.
Using various ratios and analysis techniques, our team at TnB will determine constraints in your business, identify efficiency improvements for your company and suggest the implementation of strategies to optimise your company’s cash flow.
Trend analysis and forecasting:
Trend analysis helps you to predict the future of your business using historical data.
We will enable you to plan for a better future – helping you forecast market trends, inventory levels and interest rates. Moreover, you can also enjoy increased productivity and efficiency, solutions to underlying issues and assistance in mitigating potential risks. How TnB can help you grow your business
We’ll help you understand your business even better.
We’ll help you make better decisions by keeping you informed of your company’s performance.
Our Managerial Accounting service is affordable and provides you with regular detailed information and practical advice specific to your business and its performance.
Our team of experienced accountants can prepare reports on a scheduled or ad-hoc basis – helping you understand your business more thoroughly, and identifying opportunities for cost-effective improvements and growth.