Table I

Evolution of management accounting practices

NoVariables of MAPs use
The first stage of MAPs 1950
MAPs.1Full (absorption) costing
MAPs.2Budgeting systems for planning financial position and cash flows
MAPs.3Product profitability analysis
MAPs.4Budgeting systems for day-to-day operations
MAPs.5Variable costing
MAPs.6Budgeting systems for co-ordinating activities across the business units
The second stage of MAPs 1965
MAPs.7Cost–volume–profit/breakeven analysis
MAPs.8Cash flow return on investment
MAPs.9Return on investment (ROI)
MAPs.10Controllable profit
MAPs.11Capital budgeting techniques
MAPs.12Divisional profit
MAPs.13Standard costs and variance analysis
MAPs.14Residual income
The third stage of MAPs 1985
MAPs.15Long-range forecasting
MAPs.16Customer satisfaction surveys
MAPs.17Total quality management
MAPs.18Quality cost reporting
The fourth stage of MAPs 1995
MAPs.19Target costing
MAPs.20Life-cycle costing
MAPs.21Activity-based costing (ABC)
MAPs.22Activity-based management (ABM)
MAPs.23Just-in-time (JIT)
MAPs.24Balanced scorecard (BSC)

Source(s): Ahmad and Leftesi (2014) 

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