AC 313 - Managerial and Cost Accounting
This course introduces you to the field of management and cost accounting, an increasingly important field in today’s competitive business environment. Management accounting is designed to provide information to managers and other decision makers internal to the company. This information is used to shape a company’s operations in the present and future.
Where management accounting is internal to the company, the field is not governed by regulatory bodies such as the Financial Accounting Standards Board (FASB) and the Securities and Exchange Commission (SEC). Management accounting can take many different forms between companies and industries.
Management accounting used to be referred to as “cost accounting.” This course deals with the basic principles of cost accumulation, allocation, and financial reporting. Over the years, though, the field has expanded. Today, management accountants are bringing value to their employers by being able to gather and analyze data and make appropriate business decisions that enhance financial viability. This course provides an understanding of the common analytical tools used by management accountants and their application in business today.
Prerequisites & Notes
AC 310, AC 311
- Assignments: 5 Units
- Interactivity: Discussions
- Final Assessment: Final Paper
Course Learning Objectives
Upon completing this course, you should be able to do the following:
- Discuss the importance and purpose of managerial accounting and ethics in a business environment.
- Prepare a schedule of cost of goods sold and cost of goods manufactured given a trial balance from a manufacturing company.
- Compute projected sales figures in dollars and units given various costs, target net income, and what-if analysis.
- Prepare cost-volume-profit income statements and contrast CVP income statements with traditional income statements.
- Differentiate between absorption and variable costing income statements and describe the effect on both inventory and cost of goods sold.
- Discuss the allocation of fixed costs and identify and use the appropriate relevant costs to make decisions related to special orders, add/drop a segment, sell or process further, and make or buy.
- Compare and contrast job order and process costing systems relative to the value of ending inventory and cost of goods sold in a manufacturing company or cost of services rendered in a service organization.
- Compare and contrast capital budgeting methods to make management decisions concerning potential projects, lease versus buy, and capital purchases.
- Discuss the benefits and differences of activity-based costing as well as allocating and evaluating cost allocation and customer profitability using activity-based costing techniques.
- Prepare the components of a static budget and a flexible budget.
- Discuss the different budget and evaluation approaches and their effects on motivation and performance from a managerial perspective.
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