Financial & managerial accounting is the art of communicating of financial information about a business entity to users such as shareholders, managers and accounting firms. The communication is generally in the form of financial accounting statements that show in money terms the economic resources under the control of management.

The accounting is concerned with providing the information to the managers and the people inside an organization who direct and control its operation.

Managerial accounting is also term of management accounting or cost accounting. The financial accounting providing the scorecard by which a company’s overall past performance is judged by outsiders. Managerial and financial accountants prepare a variety of reports. Some reports focus on how well managers or business units have performed comparing the actual results to plans and to benchmarks and some reports provide timely, frequent updates on the key of indications such as order backlog, orders received, sales, and capacity utilization.