advantage of departmental account?
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Advantages of Department Accounts:
The main advantages of Departmental accounting are as follows: a) It provides an idea about the affairs of each department. b) It helps to evaluate the performance of each department. c) It helps to reward the Departmental mangers and staff on the basis of performance.
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a) Individual result of each development can be known which helps to compare the performance among all departments, i.e, the trading result can be compared.
b) Departmental account helps to understand or locate the success, failures, rates of profit,etc.
c) It helps to management to make proper plane of action, police in order to increase profit after analysing the results of operations of various departments.
hope it's helpful to you.
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