Discuss the fundamental objective of management accounting

The primary objective is to enable the management to maximize profits or minimize losses. The fundamental objective of management accounting is to assist management in their functions.
The other main objectives are:
1. Planning and policy formulation: 

planning is one of the primary functions of management. It involves forecasting on the basis of available information.
 

2. Help in the interpretation process: 

The main object is to present financial information. The financial information must be presented in easily understandable manner.
 

3. Helps in decision making: 

Management accounting makes decision making process more modern and scientific by providing significant information relating to various alternatives.
 

4. Controlling: 

The actual results are compared with pre determined objectives. The management is able to control performance of each and every individual with the help of management accounting devices.
 

5. Reporting: 

This facilitates management to take proper and timely decisions. It presents the different alternative plans before the management in a comparative manner.
 

6. Motivating: 

Delegation increases the job satisfaction of employees and encourages them to look forward. so it serves as a motivational devise.
 

7. Helps in organizing: 

“Return on capital employed” is one of the tools if management accounting. All these aspects are helpful in setting up effective and efficient organization.
 

8. Coordinating operations:

It provides tools which are helpful in coordinating the activities of different sections.