The cost accounting system is becoming increasingly important to the organization. Cost analysis helps manager in making decision in areas like pricing, profit, planning, setting standard cost capital investment decision, marketing decision, cost management decisions and others The importance of accounting in managerial decision has been recognized in the literature. Cost data and analysis helps manager in making decision and to pass these decisions on various issues concerning their organization’s. It is these methods which provide an organization the necessary tools to function. Managerial accounting incorporates the strategy of the body of the finances regarding the accounting system. It is important to form an internal control system in order to verify/record information through the audit method regarding the day-to-day operations.
Cost Accounting / Cost Concepts To understand accounting in a health care system is to understand the concept of those costs along with where …show more content…
It provides important measures in order to supply realization, awareness, and know-how in order to prove indications in trying to do cost, whether it is to cut and or manage fees, or prices concerning goods/services. On the other hand, according to Gapenski, (2014) due to a large number of the cost it is not always possible to capture them in their entirety and/or that cost are placed in the appropriate field in order to be billed
Cost Accounting / Cost Concepts To understand accounting in a health care system is to understand the concept of those costs along with where …show more content…
It provides important measures in order to supply realization, awareness, and know-how in order to prove indications in trying to do cost, whether it is to cut and or manage fees, or prices concerning goods/services. On the other hand, according to Gapenski, (2014) due to a large number of the cost it is not always possible to capture them in their entirety and/or that cost are placed in the appropriate field in order to be billed