Management Accounting
The definition of management accounting by Chartered Institute of Management Accountant (1994:30), namely: Unification of the management that includes, presentation and interpretation of information used for the formulation of strategy, planning and control activities, decision making, optimize resource utilization, disclosures to the owners and parties Outside, disclosure to workers, a security asset.
An integral part of management relating to the identification process for the presentation and interpretation / interpretation of the information that is useful for:
1. Formulating strategy.
2. The process of planning and control.
3. Decision making.
4. Optimization of the decision.
5. Disclosure to shareholders and outside parties.
6. Disclosure of organizational entities for the employee.
7. Protection of organizational assets.
Accounting Information System is a management information system that produces output (output) using the input (input) and the various processes needed to meet the specific objectives of management.
The process can be described through various activities such as collection, measurement, storage, analysis, reporting, and management of information. Output includes special reports, product cost, cost customers, budgets, performance reports, and personal communication.
Management accounting information systems are not bound by a formal criterion that explains the nature of input, process and output. Criteria are flexible
and based on management goals to be achieved.
The general objective of management accounting systems, among others:
1. Provide the information required in calculating the cost of services,
products, and any other desired destination management.
2. Provide information that is used in planning, controlling,
evaluation, and continuous improvement.
3. Providing information for decision making.
Management accounting information can help identify a problem,
solve problems, and evaluate performance. So, this information is needed and used in all phases of management, including planning, controlling, and decision making.
Management accounting information can be attributed to three things: the object information (products, departments, activities), alternatives to be selected, and the authority of managers. Therefore, this information is divided into three types of information, namely:
1. Management accounting information (Full Accounting Information).
2. Accounting information differential (Differential Accounting Information).
3. Responsibility accounting information (Responbility Accounting Information).
Related history, the most cost calculation procedures for the product (product costing) and management accounting used in the 20th century, developed between 1880 and 1924.
Previous developments (until 1914) emphasizes the calculation of product cost calculations at the managerial level of the search firm’s profit level to each product and use this information for strategic decision making.
Starting in 1925, after the development of capital markets in the USA, almost all business management accounting to generate information for internal users and then discontinued and replaced with the determination of inventory cost (inventory costing), which is the assignment of production costs to products such that the cost of inventory can reported to the external users of financial statements.
Management accounting process can be developed using various methods, among others:
* Flatening management structure is a process of simplification of the structure.
* Using a cross functional team is a mutual process contents according to skill and strength between the teams involved.
* Sharing information quickly and accurately represents the relevant information filtering techniques.
* Delegation of authority to the work force is a team strength development techniques through the provision of the trust.
Fundamental role of management accounting in public sector organizations is to assist the manager / leader with the accounting information necessary for planning and control functions can be performed.
Financial Accounting
Talk about financial accounting, then we need to understand basic accounting notion first, namely:
1.
Art in the recording, classification, pengikhtisaran, danpengkomunikasian interpretation in a certain way and in the size of the monetary, transaction and occurrence – the economic incidence of a legal or social etintas. (AICPA)
2.
Business language that provides information about the condition of a company or organization and results of operations or activities at a particular time or period, as the accountability and management response to pengambikan business decisions.
Accounting divided into three types, namely:
*
Management Accounting
*
Taxation Accounting
*
Financial Accounting, which was divided into two types, namely:
1.
Commercial accounting, usually used by the company.
2.
Accounting for Non-Profit, usually used by the Government, Hospitals, Educational institutions and other Non-Profit Organizations (NGOs, Political Parties, LPZ, etc.)
It is understood that financial accounting is part of the accounting related to the preparation of financial statements for external parties, such as shareholders, creditors, suppliers, and government.
The main principles used in financial accounting is the accounting equation (Assets = Liabilities + Capital). Assets are assets owned company, is used for company operations in an effort to create revenue. Meanwhile, here is the capital paid-up capital by the owner of the company. Capital could also say the difference between assets minus debt. While the debt is owned by the company’s liability, is an element of funding for the provision of working capital for company operations.
Financial accounting in relation to any transaction records for a company or organization and preparation of periodic reports from the results listing.
This report was prepared for the public interest and is typically used to assess the achievement of company owners or managers use as a manager of financial accountability to shareholders.
It is equally important is the existence of the Financial Accounting Standards (GAAP), which are the rules that must be used in the measurement and presentation of financial statements for external purposes. Thus, the expected financial statement users and authors can communicate through these financial statements, because they use the same reference that is GAAP.
SAK was implemented in Indonesia in 1994, replacing the Indonesian Accounting Principles 1984. Preparation and presentation of financial statements based on GAAP is set by the Financial Accounting Standards Board-IAI.
At present, outlined the Financial Accounting Standards SFAS 59 contains its Framework of Preparation and Presentation of Financial Statements and the fourth underlying IPSAK. GAAP is defined by the IAI is the result of adaptation of the International Accounting Standards.
Adoption of International Accounting Standards Board into the SAK by SAK-Indonesian Institute of Accountants as an effort to harmonize and dynamic international financial accounting practices in an effort to address challenges in the era of globalization.
Accounting Theory
Containing overall analysis of accounting theory and its components are a source of reference to explain and predict phenomena or events in the accounting.
A set of concepts, definitions and propositions that are systematically interrelated proposed to explain and predict phenomena or hypothetical set of facts as a result of descriptive research using a particular scientific method.
Thus, the status of accounting theory will be equivalent to understanding the theory of science in astronomy, economics, physics, biology and so on. It can also be defined as the science that stands alone is the source or parent knowledge or accounting practices.
Accounting theory will be a set of descriptive hypotheses as a result of research by using specific scientific methods. This term is often intended as a logical reasoning provides an explanation and reasons about a particular accounting treatment and the accounting structure that applies in a particular area.
Accounting theory examines the processes of thinking or reasoning to explain the feasibility of certain accounting principles or practices already underway or to provide a conceptual basis in the determination of the new standards or practices.
From the above statements can be concluded that accounting theory is a logical reasoning, basic ideas, or ideas related to and consistent.
The process of logical reasoning could be called as engineering. Results of engineering in this case can be a set of general principles, a set of doctrines, or a structure / framework of integrated concepts.
General principles, doctrines, or the framework’s function is to:
* Reference evaluating current accounting practices
* Steering the development of new accounting practices and procedures
* Base impairment accounting standards
* The starting point of testing and improvement of current practices
* Potential troubleshooting guide
Accounting Theory Perspective
When accounting enforced as science, theory would constitute a scientific explanation. When accounting effective as the technology, this theory is defined as logical reasoning.
Any treatment applied, this theory will contain statements in the form of either an explanation or justification of a phenomenon or accounting treatment.
Target Aspect Theory
This distinction underlies the target aspects of accounting theory into positive and normative.
Positive explanation contains statements about everything as it is in accordance with the facts or what happened on the basis of empirical observation.
Normative explanation contains representations and reasoning to judge whether something is good or bad, or relevant or irrelevant in relation to certain social or economic policy.
Aspects of Semiotics plane
This theory can be distinguished on the basis of discussion and understanding of the target becomes:
* Semantic, to answer whether the financial statement elements really represent what was intended and to ensure that the meanings embodied in symbols dislahartikan not reporting by users.
* Syntactic, trying to give explanations and reasoning about what should be reported, who reported, when reported and how to report it.
* Pragmatic, discusses the reaction of parties to whom the accounting information. Is the information up to the intended and interpreted correctly is a problem of communication effectiveness.
Verification of the theory is a procedure for determining whether a theory is valid or not.
* Evaluated the validity of normative accounting theory on the basis of logical reasoning that underlies the theory proposed.
* Positive accounting theory validity is assessed on the basis of conformity with fact or theory of what actually happened.
Financial Reports
The financial report is a report about the position and the ability of the company’s financial performance and other information required by the users of accounting information.
The function of financial statements, among others:
* Provide information concerning the financial position (assets, liabilities and equity.
* Providing information on performance and changes in financial position of an enterprise that is useful for users of accounting information in decision making.
Financial Statements and trade services company consisting of:
1. Income Statement, consisting of income and expense accounts of business both within and outside the business.
2. Statement of Changes in Equity Capital, consisting of initial capital accounts, profit / loss acquired during a particular period, Prive and capital at the end.
3. Consolidated Balance Sheet, consists of an account:
* Assets of both current assets and noncurrent assets,
* Due both short-and long-term debt
* Capital at end of period
4. Statement of Changes of Cash Flows, sources of data can be obtained from:
* Comparison of balance during the second period
* Journal of cash receipts and cash disbursements.
5. Additional reports required
Elements that directly attributable to the measurement of financial position are assets, liabilities, and equity. While the elements associated with the measurement kinereja in the income statement are income and expenses. Consolidated financial position usually reflects the various elements of the consolidated income and changes in various elements of the balance sheet.
You should be able to distinguish between the understanding of financial reporting (UK: financial reporting) and financial statements (UK: financial reports). Financial reporting encompasses all aspects relating to the provision and peyampaian financial information.
These aspects include the institutions involved (eg the preparation of standards, the regulatory body of the government or the capital markets, professional organizations, and the reporting entity), current regulations including GAAP (generally acceptable accounting principles, or Generally Accepted Accounting Principles / GAAP).
Financial reports are just one medium of information delivery. Even should also be distinguished between the statements (UK: Statement) of the report (UK: report)
Users of Financial Statements include:
* Investors
* Employees
* Lender
* Suppliers and other business creditors
* Customer
* Government
* Community
According to the Financial Accounting Standards issued by the Indonesian Institute of Accountants and financial reporting purposes is Our Mission Giving information concerning the financial position, performance, and changes in financial position of a company that would benefit a large number of users in decision making.
The financial statements are prepared for this purpose meet the common needs of most users. However, this report does not provide all the information that the user may be required in taking economic decisions, because in general indicates the financial impact and events of the past, and are not required to provide non-financial information.
The financial report also shows what has been done by management or management responsibility for the resources entrusted to him. Users who want to see what they have done or accountability of management do so to enable them to make economic decisions.
These decisions include, for example, the decision to hold or sell their investments in the company or the decision to lift the back or replace management.
Qualitative characteristics are characteristics that make information useful to the users of financial statements. There are four principal qualitative characteristics are:
* Can Be Understood
* Relevant
* Reliability
* It can be compared
Understanding Administration
Administration comes from the Latin: Ad = intensive, and ministrare = serving, helping, meeting. This term refers to the activity or attempt to assist, serve, lead, or manage all the activities in achieving a goal.
Understanding Administration in the Indonesian language there are 2 (two):
In a narrow sense, comes from the Dutch: “Administratie”, namely as office administration activities (note-note, typing, copying, etc.). This activity is in English called: clerical works (FX.Soedjadi, 1989).
In broad terms, derived from English “Administration”, which is a process of cooperation between two or more people based on a certain rationality to achieve common goals that have been determined (SP Siagian, 1973)
Here are some of the sense of administration according to the experts:
* The process is generally found on all business groups, government or private, civilian or military, large or small (White, 1958).
* Work groups cooperate together in order to complete the task (Simon, 1958).
* Guidance, leadership and supervision of groups of individuals to achieve common goals (Newman, 1963).
* In a broad sense according Musanef (1996:1) in his book Human Resources Management in Indonesia said that the administration is a group of human activities through regular stages and led effectively and efficiently, using the means necessary to achieve the desired objectives.
In the implementation, development and administration tasks that have commonly referred to as administrative functions, as expressed by experts such as Henry Faysol, Harold Koontz, George R. Terry and others, including the functions of planning, organizing up to the supervisory function.
One form of identification in a broad sense, among others, mentions simple: that the administration is the whole process of implementing a series of activities carried out by two or more people involved in some form of joint efforts to achieve a predetermined goal. Despite the simple formulation, understanding and equipment has
a wide range of activities planned throughout the process and involve all members of the group.
While in the narrow sense, as suggested by Soewarno Handayaningrat (1996:2), in his book “Introduction to Science Studies of Administration and Management”, this term contains the purpose of an activity that includes record-notes, correspondence, light bookkeeping, typing typing, agenda and administrative technicalities.
Based on the above, the administration is the process of organizing the work done together to achieve those objectives. Both in broad and narrow, operate in realized through management functions, which consists of planning, organizing, implementing, and monitoring.
So the administration is to operate, and management are the people who organize the work. So the combination of the two is the implementation of the work done by the people together (cooperation) to achieve a predetermined goal.
What is Innovations?
The word innovation can be defined as a “process” and / or “results” of development and / or utilization / mobilization of knowledge, skills (including technological skills) and experience to create or improve products (goods and / or services), processes, and / or system new, which gives a mean value or significantly (especially economic and social).
Innovation as an “object” also has significance as a new product or practice that is available to applications, typically in a commercial context. Typically, the various levels of newness can be distinguished, depending on the context: u commercial context.
Typically, the various levels of newness can be distinguished, depending on the context, may be new to a company (or “agent / actor”), new to the market, or a country or region, or globally new.
Meanwhile, the definition of that term as an “activity” is the process of creation of innovation, which is often identified with the commercialization of an invention.
Talk about innovation, the most important thing is do not follow or imitate anyone. Innovative thinking is a process that gave birth to a solution or idea beyond the frame of knowledge that has been tolerated with (conservative frame), both in terms of knowledge or from individuals who think that the dominant knowledge surrounding.
Innovative thinking aims to bring new ideas in the process should be fulfilled four fundamental aspects, namely:
1. High sensitivity towards the various problems that may not have to disturb most normal human sensitivity.
2. High productivity, ie the ability to produce as much as possible to answer one question.
3. High elasticity, namely the ability to produce varied ideas as possible.
4. Orisinilitas high, namely the ability to produce unique ideas and new that has never known.
While creativity is the ability to think to achieve the results varied and new, and enables to be applied, both in the field of science, art, kesusteraan, or other walks of life are abundant.
Innovative thinking and creativity that must be aligned in the sense that if a new idea was born from ourselves without creativity is supported by the existence of these ideas will be in vain, because a new creative idea must meet the creative elements that include the application of ideas. Without the application of an innovative idea, then it will fail.
As for the things that can kill creativity and innovation that include the following:
1. Phrase that contains toxic
2. Low motivation
3. Lower environmental
Just imagine, when you have a brilliant idea and then a friend says: Never mind! Do not make it forced. Your new ideas that are too heavy. The phrase has indirectly killed the creativity and innovative idea or an idea someone would.
Naturally, we as humans have a nature would be afraid of failure (failed in everything). The most powerful method for dealing with fear is as brave attitude that is ready to challenge what we fear.
Guidelines for developing innovative and creative thinking, namely:
1. Narrowing the rigid thinking and widen the space open and free space through the brain storming
2. Adaptation of the rapid and appropriate responses to various changes.
3. Sustained motivation.
4. Acting win-win solution
5. Superior People Recruitment.
6. Encourage ijtihad in opinion with the approval and acceptance.
7. Private education as fundamental to sustaining creativity and innovation
8. Motivation and encouragement as a fundamental factor for the creation of an atmosphere of motivation.
9. Brainstorm ideas and encouragement to many questions.
Understanding Compensation for Employee
Compensation is all of the benefits received by employees on the work of those employees on the organization. This can be either physical or non physical and must be calculated and provided to employees in accordance with the sacrifice he has given kep company where he worked.
Companies in providing compensation to workers prior to the calculation of the performance by making a fair performance appraisal system.
The system generally includes assessment criteria for each employee that is for example ranging from the number of jobs that can be solved, the speed of work, communication with other workers, behavior, knowledge of the work, and others sebainya.
The employee may calculate performance and sacrifice themselves with compensation received. If employees are not satisfied with the benefits gained, then he can try to find other jobs that reward better.
It’s quite dangerous for the company when competitors hire or hijack employees who feel satisfied because it can not divulge confidential company or organization.
A good compensation will provide some positive effects on the organization / company as follows below:
a. Getting good quality staff
b. Spur workers to work harder and achieve good achievement
c. Attract qualified job applicants from the existing vacancy
d. Easy in the implementation of the administrative and legal aspects
e. Has an advantage over rivals / competitors
The types of compensation given to employees, among others:
1. Rewards Ektrinsik
a. Ektrinsik benefits in the form of money, among others:
- Salaries
- Wages
- Honorarium
- Bonuses
- Commission
- Incentives
- Wages
- Etc.
b. Rewards ektrinsik shaped as a supplementary benefit or allowance example:
- Leave the money
- Meal allowance
- Money transportation or pickup
- Insurance
- Employees’ social security or social security
- Pensions
- Recreation
- A scholarship to continue studying
- Etc.
2. Intrinsic Rewards
Intrinsic rewards in the form that is not the physical shape and can only be felt in the form of the continuity of work, a clear career path, work environment, interesting work, and others.
There are three theories underlying the workers’ compensation, namely:
1. Theory of the Market Economy
The theory of market economy is the creation of a wage or price paid on the basis of bargaining strength negotiation, or negotiations between the workers, servants, employees, workers, and so forth with company management.
2. Theory of Living Standards
Standard theory of life is a compensation system in which wages or salary is determined by adjusting with decent living standards, where workers can enjoy a peaceful life, where, peaceful and prosperous retirement security cover in the old days, savings, education, shelter, transportation and etc..
3. Theory Paying Ability
Theory of ability to pay is a system of small and great determination of the compensation given to workers with matching levels of income and corporate profits. When the company was successful, then the employees are given additional benefits. But if the company suffered a loss, then the employees will also get a reduction in benefits.
Understanding Export Import Process
Import Export activity is a key factor in determining the economic cycle in our country. As we know, Indonesia as a country as rich with crops and oil, always actively engaged in international trade.
In the current era of global trade, the flow of goods into and out very quickly.
To expedite his business affairs, the entrepreneurs are required to have considerable knowledge of import export procedures, both in terms of rules that are always updated particularly those relating to international trade, customs, shipping and banking, all of which are inter-related and as long as this problem often occurs in field.
Before discussing further, it helps us understand the sense of import export.
* Definition of imports by the Customs Act is an activity to enter goods into customs area. All items are intended for all or all goods in the form and type anything that comes into the customs area.
* The definition of export under the Customs Act is an activity to remove the goods from the customs area, where the goods in question consist of goods from the domestic (local customs), goods from abroad (outside the customs area), new or used goods.
In the import export activities, it is necessary permits as follows:
* Terms of imports:
1. Proposing and fill out the form by attaching:
- Copy of Deed of Establishment of te-legalisir.
- SIUP
- Domicile of Company
- TIN
- Beginning Balance
- Reference the bank concerned
- Proof of the existence of relations or contacts with foreign countries, or the appointment of an agent (which is registered in the Ministry)
- Corporate Registry
2. After the data dipenksa with correct and complete, the Regional Office of the Ministry published API (Import Identity Number).
* Requirements for export:
1. Operating Permit (SIUP) issued by the Office of the Ministry of Industry and Commerce Provincial (Regional Office of the Ministry), or;
2. Operating Permit (SIU) by the Technical Department or Government Agency
Non-Technical other based on the applicable legislation, and;
3. Company Registration Number issued by the Regional Office of the Ministry level
Province.
You also need to understand the documents required for the import of export activities, namely:
* Documents imports:
- RKSP (Arrival Facilities Plan Carrier)
- PIB (Notification of Import of Goods)
- Manifest
- Invoice
- COO (Certificat of Origin)
- D / 0 (Delivery Order)
* Export Documents:
Main 1.Dokumen:
- PEB (Export Declaration)
- B / L (Bill of Lading) for sea transport
- Invoice
- Packing Lists
2. Supplementary Documents:
- SKA (Certificate of Origin) / COO (Certificateof Origin)
- MS (Quality Certificate)
- LPS-E (Surveyor Examination Report – Exports)
When discussing the Export Import, then comes the process of Customs and Customs and Excise as the body responsible for oversight and field implementers.
Customs and Excise clearly has a role in the smooth flow of goods, dokuman and people but also realize that this is not only the responsibility of Customs and Excise, but also all the parties involved as PPJK (Entrepreneur Customs Service), exporter and importer.
Basic Science of Economics
Economics is one social science that studies the human activities associated with the production, distribution, exchange, and consumption of goods and services.
In terms of etymology, the term is derived from the Greek word oikos meaning of family, household, and nomos, meaning rule, rule of law.
Broadly speaking, this word often interpreted as a rule of domestic or household management.
Inevitably, humans as social beings, basically always faced economic problems.
The core of the problems faced by humans is the fact that human needs are not limited in number, while the tool is limited fulfillment of human needs.
Several factors affect the amount a person needs different from other people’s needs, among others:
* Economic factors
* Socio-Cultural Environmental Factors
* Physical Factors
* Factor Education
Therefore, later known as economies of action that is every human endeavor that is based on the best options and most profitable. Consists of two aspects, including:
* Rational, every human endeavor that is based on the most profitable option and in fact the case.
* Irrational, every human endeavor that is based on the most profitable option but they are not.
Not only that, we also need to know the economic motive, that is the reason or purpose of someone to perform an action. Divided into two aspects, including:
* Intrinsic Motive, referred to as a desire to act on their own.
* Extrinsic motives, called as a a desire to act at the instigation of others.
In practice, then mundul some kind of economic motives, namely:
* Motive meet the needs of
* Motive gain
* Motive awarded
* Motive gain power
* Motive social / helping others
Because that’s motives, it is necessary to economic principles, which is a guideline for action that is contained within a certain sacrifice of principle to obtain maximum results. With this principle, then everyone is expected to fulfill her destiny.
In general, subjects in the economy can be divided into a number of ways, most notably the micro vs. macro. Besides, can also be divided into positive (descriptive) vs. normative, mainstream vs. heterodox, and others.
You need to know, too, the economy also functioned as a family of applied science in management, business and government, as well as other fields of monetary, such as the study of criminal behavior, scientific research, death, politics, health, education, family and others. Why? It is quite possible, considering this is basically the science studying human choice, and many theories are studied in this science.
Many economists feel that the combination of theory with data that there is enough to make us understand the phenomenon in the world. However, economics will experience major changes in ideas, concepts, and methods.
Ironically, the opinion of critics, the changes are sometimes very destructive concept of the right so it does not fit with reality. This raises questions for me and you: what should be done by economists?
Understand The Importance of Accounting
Accounting for foreign words come from accounting, which means to calculate or account.
Almost all business activities around the world use this word to make decisions, so often referred to as the language of business.
The accounting definition is a process of recording, classifying, summarizing, processing and presenting data, transactions and events relating to finance, so it can be used by people who use it to easily understandable for making a decision as well as other purposes.
The main function of accounting is as an organization’s financial information, so we can see the financial position of an organization along with the changes that occur therein. This was made qualitatively with the unit of measure of money.
Information on financing is needed especially by the manager or management to help make decisions of an organization.
Basically, the accounting process is to make the output of the income statement, statement of changes in capital and balance sheet reports on a company or other organization.
Therefore, on each report must include company name, report name, and date of preparation or the report period to facilitate other people understand it. Reports can be periodic, could also be a certain time only.
Accounting has a process that consists of the stages to be able to generate the desired reports and conducted by an accountant.
1. Clarifying Process Transactions
The initial phase is to conduct a division of an organization or corporate transaction in certain types predefined.
Examples of such share transactions entered into in sales, purchasing, cash disbursements, and cash receipts, etc. into each piece. While for a small number of transactions and rarely occurs can be equally incorporated into the same category type which various transactions.
2. Process Recording And Summarizes
Subsequent accounting process is done recording. Enter your existing transactions into the appropriate journals in the order of the transactions or events. sources that can be used as evidence of a transaction which is like a kind of business paper receipts, bills, notes, receipts, certificates, and others.
Journals commonly available in the accounting journals such as the sales journal, purchases journal, cash receipts journal, cash disbursements journals and general journals. The next process is to enter journals into the general ledger on a regular basis. Results of transfer into the general ledger will be seen from the summary trial balance.
3. Interpreting And Reporting Processes
Final accounting process is to conduct activities or making conclusions of previous financial statements of work. All matters relating to corporate finance is poured on those statements.
From information on the financial statements of both, in the form of income statement, statement of capital and balance sheet, then someone can find out what happens to a company, whether already in accordance with company objectives.
Such information can be a reference or guidelines for the management to take policy decisions on the organization to achieve desired conditions.