Q17

You have been appointed as the Senior Financial Consultant for Lightway Consult, a firm of management accountants with over 25-year industry experience. Your role involves the training of trainees and clients on various issues of management accounting. In your first in-house training session, you are to address the following question presented to you by the trainees.

a. Ms Boakye, Sir, how different is management accounting from financial accounting given that they are all involves in the presentation of financial information?

Required: Provide an appropriate response that provides at least 4 areas of difference or similarity

b. Ms Bay, I have come across two costing concepts that are new to me. I will be glad if you could explain what they mean with their applicability. The concepts are: Lifecycle Costing and Target Costing. Required: Provide an appropriate response that addresses the concern. c. Team lead, Recent literature on performance measurement requires managers to look beyond the financial performance measures of a firm in the measurement of a firms performance. This has driven the wide acceptance of the use of the balance score card as a tool for performance measurement. Kindly throw some light on this subject matter

Required: i. Explain the superiority of the balance score card over other performance measurement models. ii. Discuss the balance score care as a performance measurement tool.