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The Architect
INTRODUCTION
As a chief nancial ocer, you are responsible for an external nancial
reporting system as well as an internal management accounting sys-
tem. Your nancial reporting system is regulated by generally accepted
accounting principles (GAAP) and your responsibility is to produce
GAAP-compliant nancial statements. e primary reason for this is
so that external users of your nancial statements can fairly assess and
understand your company’s nancial condition.
On the other hand, management uses a management accounting system
to control business operations and to make sound nancial business deci-
sions. As a CFO, you are ...