Question

Describe the management accountant's role, how that role affects behavior and why ethics are important for the management accountant.

Answer 1

Management accountant as the same suggests primarily is into analysing, assimilating data and putting it in to meaningful form for use by the management in decision making. They assist in the management in analysis of financial statements, investment decisions, reviewing budgets and over heading the accounting staff. The role involves direct involvement with the top management affairs and reporting on the company's financial matters. It is a combination of leadership and accounting. Ethics are utmost important since the management is a direct position to influence the behaviour of the management accountant to manipulate figures and financials. Also, they must not exercise any bias and maintain integrity in every transaction.