Enumerate information needs of management.
Management requires various types of accounting information to effectively run the organisation. The key information needs of management are:
1. Planning and Decision-making: Management needs information on cost of sales, profitability, and sales forecast for planning business operations and making informed decisions. They also require data for budgeting, pricing decisions, and capital expenditure decisions.
2. Controlling and Performance Evaluation: Management uses accounting information for controlling costs and making internal and external comparisons to evaluate performance. They compare financial analysis with industry figures to ascertain the company's strengths and weaknesses.
3. Future-oriented Information: Management requires information about cash flows, purchase requirements, manpower needs, environmental data (effects on air, water, land, natural resources, flora, fauna, human health), and social responsibilities for effective decision-making.
Explanation
This answer draws from the textbook's discussion on management accounting and the role of internal users. Management, as internal users, needs timely information for planning, controlling, and decision-making. The context explicitly mentions information on cost of sales, profitability, budgeting, pricing decisions, capital expenditure, sales forecasts, cash flows, purchase requirements, manpower needs, environmental data, and social responsibilities as key information needs of management.