EYE OPENERS 1. Financial accounting information is reported at fixed intervals (monthly, quarterly,yearly) in general-purpose financial statements. Managerial accounting information is designed to meet the specific needs of a company’s management. 2. a) line is directly involved in providing goods or services to the customers of the company. Staff provides services, assistance, and advice to the department with line or other staff responsibilities, staff has no direct authority over a line department. b) Sale s Dept. has line and Personnel Dept has staff responsibility. 3. Controller is the chief management accountant. Controller staff consist of a variety of other accountants who are responsible for specialized accounting functions such as systems and procedures, general accounting, budgets and budget analysis, special reports and analysis, taxes, and cost accounting. Controller have a Staff responsibility. 4. Management process 5 basis phases is Planning, Directing, Controlling, Improving, and Decision making. 5. Strategic planning- strategies 6. Directing 7. Controlling 8. A philosophy of controlling by comparing actual and expected results 9. Cost 10. Direct 11. Direct materials, Direct Labor, Factory Overhead 12. Direct materials cost 13. Direct Labor cost 14. Prime cost consist of direct materials and direct labor costs. Conversion costs consist of direct labor and factory overhead costs. 15. Product costs consist of manufacturing costs: DM, DL, and FO. Period costs consist of selling and administrative expenses 16. Materials inventory – consist of the cost of the direct and indirect materials that have not entered the manufacturing process. Work in process inventory – consist of DM DL FO costs for products that have entered the manufacturing process but are not yet completed. Finished