Differences Between Management Accounting and Financial Accounting - Regulation and Standardization

Regulation and Standardization

While financial accountants follow Generally Accepted Accounting Principles set by professional bodies in each country or International Financial Reporting Standards, managerial accountants make use of procedures and processes that are not regulated by a standard-setting bodies.

Multinational companies prefer to employ managerial accountants who have a widely recognised certification such as CGMA, Chartered Global Management Accountant certified by the AICPA and CIMA, ACMA certified by the Institute of Cost Accountants of India, Chartered Management Accountant certified by the Chartered Institute of Management Accountants, or CMA, Certified Management Accountant certified by the Institute of Management Accountants.