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Importance of Accounting for Decision Making in Academic Curriculum
Before starting the business of accounting in a company, it is essential to know the processes for which the money could be involved. Decision making involves the fields in which the income of a company could be utilized such as investments, financial accounting and investments on the capital. Students who should gain knowledge on the financial aspects of a company should involve themselves in updating on the decision making aspects of accounting. The basis in which accounts are distributed in a company and tackled in order to ensure profit is essential to be known to students as part of their curriculum so that they will be able to manage a company, or become part of a company in future. The costing in terms of managerial portfolio and budget become part of the decision making in accounting of a company.
Difficulties faced by students while solving problems of Accounting for Decision making course
Decision making in accounting brings in many problems while calculating the profit and loss of a company. The main difficulty faced by students will involve the categorization of the valuation methods for budgeting, whether it will be according to fair value method where analysis is done based on the original products or by the method of historical costing which is done on the basis of original values, whenever there are fluctuations in costs. This difference is most probably difficult for the students to analyze and evaluate. So they should be updated on the manner in which the decision making in accounting should be done.
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