For this project, you will select a company that you are familiar with or work for. Your tasks are to: Assess the budgeting process and procedures for the organisation with regards to preparation...

[Apple]
    
    [Budgeting process, Management Information accounting System, Capital Decision]
    
    Name :
    Date :
    
Company Description:
The organization chosen for this project is Apple Inc. Apple is a well known and reputed company in term of gadgets and its wholly-owned subsidiaries (collectively “Apple” or the “Company”). Apple designs, manufactures, and markets personal computers, mobile communication devices, and portable digital music and video players and sells a variety of related software, services, peripherals, and networking solutions. The Company sells its products worldwide through its online stores, its retail stores, its direct sales force, and third-party wholesalers and resellers. In addition, the Company sells a variety of third-party Macintosh® (“Mac”), iPhone® and iPod® compatible products, including application software, printers, storage devices, speakers, headphones, and various other accessories and peripherals through its online and retail stores, and digital content and applications through the iTunes Store®. The Company sells its products to consumer, small and mid-sized business (“SMB”), education, enterprise, government and creative customers. (Source: Apple.com)
Apple Inc. also produces majority of its products outside the U.S., e.g. Ireland, Czech Republic, Korea and China. Political Conflicts between the U.S. and any of these states may have dramatic outcomes for Apple Inc. The global economic depression might also have immense impact on Apple Inc. In 2010, the net sales were $65,225 whereas in 2011 it was $108,249. It shows that how much market share as well as demand of the company has increased. This high rate of sale is giving a tough competition to the existing player of the industry such as Dell, HP, Lenovo, Compaq, Samsung etc. The company has also invested in programs to enhance reseller sales, including the Apple Sales Consultant Program, which places Apple employees and contractors at selected third-party reseller locations, and the Apple Premium Reseller Program, through which independently run businesses focus on the Apple platform and provide a high level of customer service and product expertise.
Apple’s Budgeting Process:
The budgeting process of apple is quite stable and reliable. Their budget estimation for every year is quite perfect. Their budgeting process is as per according to their resources, production, and expenditures. Their budgeting process implements a business on paper before any resources are committed to production.
In budgeting process accountants works to maintain and allocate funds as well as manage the book keeping. They play a vital role in the implementation and development of an accounting system. The financial decision maker, auditor of accounts, taxation and financial services these are main function of an accountant. They give financial advice for investment in any particular project. They suggest methods for maximization of profits also. For maximization of profit system should use. It makes our work easy and fast. It can save our man cost. These system cost cutting we can use in other thing which can give profit. This can save our time also. System will fit in any organization. It makes out works easy. An accountant try to save money by applying different methods of cut costing.
The shareholders value can be maximized by covering more and more market share and market share of a company can be increased by creating and increasing more demand among consumers. By performing the corporate responsibility and the social responsibility the value of shareholders can be maximized. If the company has ability they will be able to increase their stock value which will ultimately increase its shareholder’s value. Of occurs careful control budgeting is important for any company but for maximizing shareholders value it is not the only way. Apple knows that maximizing shareholders value is a long term goal which cannot be done by framing better budget and ad-hoc approach. It can link by setting a target before managers and the completion of target increases the demand, which result into increase in the value of stock price as well as value of shareholders.
Management accounting Information system:
Management accounting information system has become an essential part of any organization. In today’s information technology era every business is dependent on management accounting information system. It helps a business in providing timely information for their internal management, controlling and operations.
Apple uses Management accounting information system in an...