Management and Financial Accounting

Accounting is usually seen as having two distinct strands, Management and Financial accounting. Management accounting, which seeks to meet the needs of managers and Financial accounting, which seeks to meet the accounting needs of all of the other users. The differences between the two types of accounting reflect the different user groups that they address. Briefly, the major differences are as follows:

  • Nature of the reports produced. Financial accounting reports tend to be general purpose. That is, they contain financial information that will be useful for a broad range of users and decisions rather than being specifically designed for the needs of a particular group or set of decisions. Management accounting reports, on the other hand, are often for a specific purpose. They are designed either with a particular decision in mind or for a particular manager.
  • Level of detail. Financial reports provide users with a broad overview of the performance and position of the business for a period. As a result, information is aggregated and detail is often lost. Management accounting reports, however, often provide managers with considerable detail to help them with a particular operational decision.
  • Regulations. Financial reports, for many businesses, are subject to accounting regulations that try to ensure they are produced with standard content and in a standard format. Law and accounting rule setters impose these regulations. Since management accounting reports are for internal use only, there are no regulations from external sources concerning the form and content of the reports. They can be designed to meet the needs of particular managers.
  • Reporting interval. For most businesses, financial accounting reports are produced on an annual basis, though many large businesses produce half-yearly reports and a few produce quarterly ones. Management accounting reports may be produced as frequently as required by managers. In many businesses, managers are provided with certain reports on a monthly, weekly or even daily basis, which allows them to check progress frequently. In addition, special-purpose reports will be prepared when required (for example, to evaluate a proposal to purchase a piece of machinery).
  • Time horizon. Financial reports reflect the performance and position of the business for the past period. In essence, they are backward looking. Management accounting reports, on the other hand, often provide information concerning future performance as well as past performance. It is an oversimplification, however, to suggest that financial accounting reports never incorporate expectations concerning the future. Occasionally, businesses will release projected information to other users in an attempt to raise capital or to fight off unwanted takeover bids.
  • Range and quality of information. Financial accounting reports concentrate on information that can be quantified in monetary terms. Management accounting also produces such reports, but is also more likely to produce reports that contain information of a non-financial nature such as measures of physical quantities of inventories (stocks) and output. Financial accounting places greater emphasis on the use of objective, verifiable evidence when preparing reports. Management accounting reports may use information that is less objective and verifiable, but they provide managers with the information they need.

We can see from this that management accounting is less constrained than financial accounting. It may draw on a variety of sources and use information that has varying degrees of reliability. The only real test to be applied when assessing the value of the information produced for managers is whether or not it improves the quality of the decisions made.

The distinction between the two areas reflects, to some extent, the differences in access to financial information. Managers have much more control over the form and content of information they receive. Other users have to rely on what managers are prepared to provide or what the financial reporting regulations state must be provided. Though the scope of financial accounting reports has increased over time, fears concerning loss of competitive advantage and user ignorance concerning the reliability of forecast data have led businesses to resist providing other users with the detailed and wide-ranging information that is available to managers.

How To Take Care Of Your Vineyard

If you own a vineyard then do remember to plan out carefully what to harvest and when to harvest in your land. They are considered to be as a hub for wine industry. You can find their presence almost all over the world. Their popularity is due to the reason they are recognized as a place for growing grapes. Grapes are considered to be as a main source for making wines. From decades grapes are used in wine making, and also for eating. If you maintain your winery in a proper manner then it is sure you are going to have a good harvest of grapes.

To maintain vineyards it will ask for lots of resources for its effective maintenance. As it is already been pointed out that they are found almost all over the world then from this one point is sure that they are planted with different varieties of grapes. This is for the reason that each countries climatic condition and the variety of soil also vary. Thus a particular category of grapes will be produced only in that country or region. Some wineries will demand for lesser attention for growing grapes, while some will demand for a greater attention so that you have a good harvest of grapes.

One of the important activities that have to look into is to regularly trim the grape vines so that you get a better reap of grapes. To achieve the greater success in the harvest the location of the harvest also plays an important role as it influences the quality of fruit grown. You must ensure that the vines are receiving a sufficient amount of sunlight. Also take care to keep away animals like birds, rabbits, deer’s, and other animals.

The variety of grapes you require for the production of wines and the required amount of space required to grow each variety needs to be carefully planned. As for the reason the vines which you are growing will usually spread all over the yard thus it will tend to destroy other variety of grapes harvested. To avoid this you must make sure to properly trim the vines so that there is no sign of damages occurring to the varieties of grapes harvested. Whether it is summer or winter season a proper care and maintenance of vineyards will fetch you better results.

Vineyard grapes will necessitate for a greatest care all over the year. With the help of fencing you can provide a great support to your vines grown. Always have a check of wires if you notice any rust in them then immediately replace with the new ones. On the whole you have to take care of your vineyard as they are the main source for wine making. If you are able to produce a good harvest then it is going to give you a lucrative income. The idea of growing grapes has been similar for decades. Some would have changed their process due to the advancement of technology.

Cracking The Employment Pre Screening Test – The Various Sectors Of The Pre-Screening Test

Whether the company is small or big the employer usually conducts a Employment Pre-Screening Test and it is within the rights of the employer to conduct the Employment Pre-Screening Test to ensure that they are hiring the correct employee who's personal goals aligned with that of The company's goals. So for getting into the company the first step is to pass the Employment Pre-Screening Test.

The components of Employment Pre Screening Test are psychometric test, drug test and background checking. Apart from all these there can be some more tests which can be connected by the HR professionals to get facts about the applicant, about his suitability for a particular job.

Background checking is a usual way for pre-employment Screening. This is done along with other pre-employment screening tests which are either performed online or at the company's concessions. The Aptitude test is either through electronic means or it can be a written one. It tests ones reasoning capability. The other test may examine the applicant's technical skill as may be required for the job the candidate is applying for.

The instruments which are utilized during Employment Pre Screening Tests are reliable and include Applicant Risk Profiler and Career Ethic inventory. Applicant Risk profiler is used to assess whether an individual can maintain a safe workplace in spite of its negative behavior. The career Ethic inventory measures an individual's attitude. All these Employment Pre-Screening Test tests wherever you are fit enough to gel with the work-culture and organizational culture of the company.

Space relations, symbolic reasoning and mechanical visualizations, numerical skills and verbal comprehension are tested using more specific aptitude test which forms a part of Employment Pre-Screening Test. At a higher level a Professional Employment Test is also done. This PET is used to assess a candidate's cognitive ability and behavior which he will use for his future professional responsibilities.

Few HR professional may have not abided by the common standards typically followed by the companies. This may be their method to select the most eligible candidate for certain unique positions. The distinct method may include the employment pre-screening tests which contain their unique way of finding the candidates proficiency in many factors that can influence work related productivity.

Thus if you desire to work for certain company and pursue you career their be prepared to prove yourself in the Pre-Employment screening tests. If you come out with flying colors it will be easy for you to get the coveted position you always wanted. But be aware that such Pre-employment test are transitory in nature and there will be many more that will come your way in your career where in you will be subjected to various screening procedures.

A Career As Restaurant Owner Vs Restaurant Manager

There is a big difference between a career as a restaurant owner and a career as a restaurant manager. Restaurant managers sometimes go on to own their own restaurants, restaurant owners often do a great deal of managerial work and both are heavily invested in the success of the restaurant and involved in its daily operations, but the general similarities end there. The specific roles and responsibilities of a restaurant owner vs. a restaurant manager will be explained in further detail below.

A Career as a Restaurant Owner

Restaurant owners are responsible for overseeing the entire operations of a restaurant, even when they hire someone else to manage it. They make an initial investment and either buys the restaurant from someone else or starts his or her own restaurant. Owners must make additional investments down the line when the restaurant needs new equipment and supplies, or when the business has outgrown its location and needs to move or expand, and they will also be responsible for cleaning up the mess if the business fails. The owner has a vested interest in the success of the restaurant, not just because it’s his or her job, but because it’s his or her investment, brainchild and often a dream come true. The owner takes the most financial risk, but he or she also gets the biggest payoff if the restaurant is a success.

They vary in their level of responsibility in the kitchen and on the floor. Some owners hire other people to do everything and trust they will make the right decisions, while others are there every day, interacting with customers and staff and taking on managerial duties. Many of them must work long hours every day of the week as they get their business off the ground, but if it becomes a success, they get the opportunity to sit back and relax a bit.

A Career as a Restaurant Manager

They work closely with restaurant owners to ensure that the business runs smoothly. They also have a vested interest in making sure the restaurant is operating at a profit; in fact, this is their primary concern. The manager has pay increases, bonuses and profit shares to entice him or her to succeed, and the fear of losing his or her job to entice him or her to avoid failure. This career requires skills in budgeting, leadership, communication, analysis and planning, as well as a knowledge and appreciation of the culinary arts and customer service.