Management Accounting Information Needs

1-17 Identify the management accounting information needs for the following:

(a) An employee desiring to help serve customers more efficiently and effectively

- If an employee desires to serve the customers efficiently and effectively, she/he would be interested to know the time that is needed to perform specific tasks and the required quality of the work performed. The company should have standard times exist for routine tasks/jobs. The employee may want to know what the difference is between his/her time spent on a specific job and the standard time used. Additionally, the employee would be interested to know/obtain feedback regarding the quality of his/her work.

(b) Julie Martinez, the manager of the pilot retail outlet

- As the retail outlet(store) manager, Julie would be more interested to monitor the overall store profitability. She would want to know the total revenue and the total purchasing cost. After subtracting total cost from total revenue, she needs to also subtract total operating expenses and other misc. expense to arrive her profit ratio. She should be interested to know which line is the most profitable line and vice versa. She needs to know if her employees are working efficiently and proving high quality of product/service to Super customers. Other non-financial factors she would be interested is customer satisfaction rate, the targeted customers, and products/service customers are interested.

(c) The president of Super Printing

- The President of Super Printing would be more interested at profitability per each accounting period, perhaps monthly or quarterly, for every outlet (store) in the chain. The president would want to review the information, such as operating data that would enable him or her to compare the profitability and operating performance of service