A1 Cost and Management Accounting
Cost accounting refers to the tracking and monitoring of revenue and expenditure in a business. This is a quantitative method where revenue and spending can be compared to budgets and profitability can be analysed. There is more of a focus on past financial transactions.
Management accounting is the area of accounting where decisions and strategy are formed. Quantitative data from cost accounting will be used to inform decisions about the future. There is more of a focus on future financial transactions.
