What is the difference between management accounting and financial accounting?

Managerial accounting statements can be drawn up by Certified Management Accountants (CMAs), while financial accounts are drawn up by Certified Public Accountants (CPAs). Which Is Right for You?

What is managerial accounting?

Managerial accounting involves the processes professionals use to collect and track a company's financial data. This type of accounting enables professionals to examine a company's financial procedures to identify and improve any problem areas.

What does a managerial accountant do?

Using past and current financial data, such as financial statements, expense reports, and financial ratios, managerial accountants assemble reports that paint a picture of what they expect the future to be like. They then pass these reports on to company managers, who use them to make informed financial decisions.