Example of internal &extenal

[Former Member]

Hi Guru's

Anybody is clarify my doubt.FI is used to manage external reporting & CO is used to innternal reporing purpose."IS IT WRITE".Actually my question is <u>example</u> of the internal & external managment.

Thank You

Kamala

[Former Member]

Hi,

Financial statements disclosed at year end and quarter end whereas Co reports are used for Advance management accounting people where is the cost incurres how to get decrease it. So controlling reports are useful for information for taking a neccasry action against reduction of cost. and according any authority controlling reports are need not to be shown.

Financial statements should get audited.

Hope this helpful, if yes assign points.

[Former Member]

Hi,

Financial Reports are external purpose it should be submitted to Income Tax Authority and Register of companies.

When the company is issuing share the Balance Sheet and Profit and Loss account having major part to value the companies shares in the market.

I dont have time to explain in detailed- Sorry

Next for CO.

It is the purpose of internal reports.

1. Project wise profit and loss account

2. Product cost evaluation

3. Logistics report etc.,

These type of reports is not required by govt. it is the purpose of internal controll to make their activity in a efficient and effective manner.

Budget is an internal forecasting report.

Regards,

Sivakumar Sathiyamoorthy