Accounting is usually seen as having two different strands, Management and Financial accounting. Management accounting, which seeks to meet the needs of administrators whereas financial accounting, which seeks to meet the accounting needs of all of the other users. Nature of the reports produced. Financial accounting reports tend to be a common purpose. Management accounting reports, on the other hand, are often for a particular purpose.
The level of detail. Financial reports provide users with a broad summary of the performance and position of the business for a while. Management accounting reports, however, often give managers with considerable detail to help them with a particular operational choice.
Reporting interval. For most businesses, Financial Accounting reports are produced on a yearly basis, though many large businesses produce half-yearly reports and a few return quarterly ones. You may also browse the web to get more information about Financial Accounting and Outsourced Bookkeeping Services.
Regulations. Financial reports, for many businesses, are directed to accounting regulations that try to assure they are produced with standard content and in a standard arrangement. Management accounting reports may be produced as regularly as required by managers. In many businesses, managers are given with certain reports on a monthly, weekly or even daily basis, which allows them to check progress frequently.
Time horizon. Financial reports show the performance and position of the business for the past period. In reality, they are backwards looking. Management accounting reports, on the other hand, often provide information regarding future performance as well as past performance.