These concepts link CSR to the accounting system, arguing for the importance of such aspects in the work of accountants. 3 Explain the development of ﬂ exible budgets and the usefulness of ﬂ exible budget reports. 5 Indicate the features of responsibility reports for cost centers. Responsibility accounting is a system in which the persons in the supervisory capacity such as the President, departmental head, foreman etc. The increased autonomy of SBUs in recent times, has driven the SBU managers to take more of the decisions that would have been reserved for … 2 Evaluate the usefulness of static budget reports. Responsibility accounting is an administrative accounting method that measures the results of each responsibility centre. ... example, responsibility for budgeting has often moved from the head office to operational management. Learning Objectives After studying this chapter, you should be able to: 1 Describe the concept of budgetary control. They start from lowest level of the hierarchy and continue to higher levels. et al., 2009) or Social Responsibility Accounting (Gordon and Gelardi, 2005) are such examples. 4 Responsibility Accounting reports: Responsibility accounting reports are classified according to different levels of responsibility. According to Charles T. Horngren, “Responsibility accounting is a system of accounting that recognises various decision centres throughout an organisation and traces costs to the individual managers who are primarily responsible for making decisions about the costs in question”. In respect with the Romanian literature on CSR-related issues, several authors dealt with Responsibility Accounting, as the profitability accounting, is also called Activity accounting. Anderson should be named as the father of social responsibility accounting. America in the early 70's this concept of America Accounting Association to review the obstacles and problems related to … In this paper, the author has observed that responsibility accounting is a veritable and inevitable tool that is required in the promotion of accountability and transparency in the Nigeria public sector. 4 Describe the concept of responsibility accounting. He has opined that the present structure of Accounting concept of social responsibility in the early 60s by writers such as Anderson, furniture, and Lin was Abs. are given a routine report showing the performance of the company, department or section—as the case may be. accounting information to senior management.