ECONOMICS

Detailed explanation-1: -Managerial accounting information is aimed at helping managers within the organization make well-informed business decisions, while financial accounting is aimed at providing financial information to parties outside the organization.

Detailed explanation-2: -Managerial accounting focuses on internal users of accounting information. These internal users include executives, product managers, sales managers, and any other company personnel who use accounting information to make decisions.

Detailed explanation-3: -Managerial accounting focuses on evaluating the internal needs of businesses and solving problems that impact revenue streams, financial health and long-term profitability.

Detailed explanation-4: -While both these types of accounting deal with numbers, managerial accounting is strictly for internal use. Financial accounting, on the other hand, focuses primarily on the collection of accounting information to create financial statements.

Detailed explanation-5: -The external users of managerial accounting include investors, creditors, suppliers, customers, and government agencies. These people rely on accounting information to evaluate a company’s performance and make decisions about their company relationships.