Unit description: This module combines both theoretical and conceptual issues with the operational and practical activities of management accounting. It seeks to address the integrative nature of accounting information systems and considers the multi-disciplinary aspects of management problems. This subject aims to impart knowledge on the development and use of management accounting as a support system for the managerial decision making process. The study of relevant theory and practice will equip students with analytical techniques and skill for using accounting information for problem solving within a variety of organizational contexts. Unit objectives: This unit is designed to enable students to Knowledge !. "nderstand the contemporary issues in management accounting. #. $ppreciate the diversity of management accounting research and practice. %. &evelop and use management accounting as a support system for the managerial decision process. Sills !. 'e able to undertake relevant research to explain management accounting #. 'e able to form and express opinions of the efficacy of contemporary management accounting theory and practice. %. 'e equipped with analytical techniques to use accounting information for problem solving within a variety of organizational contexts. !alues"Attitudes !. (ritically use management accounting systems) as part of the planning and control process) to achieve stakeholders* goals. #. +ecognize the role of management accountants as providers of relevant value-enhancing information for internal managerial decision-making. %. $pply their understanding of fundamental management accounting concepts towards specific management planning and control issues. Unit outco#es: !. "nderstand and explain the relationship between organizational activities) costs and value. ! #. $ppreciate the appropriateness of selecting from a variety of management accounting techniques to provide information for effective control and decision-making. %. ,xplore future development directions in management accounting. $eadings: $eco##ended te%t !. -ongren) (.T.) .undem) /.0. 1 .tratton) 2.3. 4#55#6) Introduction to 7anagement $ccounting) !# th edn.) 8rentice -all Supple#entar& readings !. -ongren) (.T.) -arrison 1 'amber 4#55#6) $ccounting) 9 th edn.) 8rentice -all #. /itman) 0.:. 4#55%6) 8rinciples of 7anagerial ;inance) !5 th edn.) $ddison 2esley %. ;ess ) 2.;. 4#55#6) ;inancial 1 7anagerial $ccounting < th edn.) .outh 2estern =. -ogett) :.) -oggett) ,. 1 7edlin) :. 4#55%6) $ccounting in $ustralia 9 th edn.) :ohn 2iley 1 .ons :ournals !. $sia 8acific :ournal of 7anagement #. 'usiness 2eek %. ;ar ,astern ,conomic +eview =. ;ortune 9. ;orbes >. -arvard 'usiness +eview <. :ournal of 7arketing ?. @ewsweek A. .loan 7anagement +eview !5. Time !!. The ,conomist # Unit contents: '()*CS 1+ An introduction to accounting s&ste#s Identifying the objectives of accounting systems &escribing cost accounting and its significance to management &istinguishing between accounting and financial accounting The business environment and the role of accounting information $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapter ! ,+ Financial planning and control wit- budgeting The role of budgeting in managerial planning and control +ole of accounting in the budgeting process "nderstand the goal congruence and its importance to an organization &efining and interpretation of operating budgets within a master budget. $eadings -ongren) (.T.) .undem) /.0. 1 .tratton) (hapter <) ?) A 1 !5 -ogett 1 ,dwards) (hapter #% .+ Fle%ible budgets and standard costs 0imitations of a fixed budget in performance evaluation "sing standard costs for financial control. (alculating standard cost variances and analyzing reasons for the variances. % $eadings: -ogett 1 ,dwards) (hapter #= /+ 0ecision #aing and capital budgeting (haracteristics of managerial decision making and steps in the decision-making process (alculating and evaluating special orders) make-or-buy decisions $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapter !! -ogett 1 ,dwards) (hapter #> 5+ '-e cost o1 capital 2)art 13 ,xplain the sources of capital and how firms raise capital ,valuate the different sources of finance4including leases6 $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapter !! -ogett 1 ,dwards) (hapter #> 4+ '-e cost o1 capital 2)art ,3 ,stimate the cost of capital for each financing source ,stimate the weighted average cost of capital $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapter !! -ogett 1 ,dwards) (hapter #> =
5+ Cost6volu#e6pro1it relations-ips 2)art 13 &istinguish between variable) fixed and mixed costs* behavior ,xplain the concept of contribution margin $ssess the basic assumptions of cost-volume-profit analysis ,xplain break-even point and methods of determining it. $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapters #) =) 9 1 > 7+ Cost6volu#e6pro1it relations-ips 2)art ,3 $pplication of break-even analysis in determining targeted sales and net profit ,xplain the impact of factors such as selling price) sales volume) sales mix) variable and fixed costs on profits $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapters !#) !%) != 1 !9 8+ Anal&sis and interpretation o1 1inancial state#ents 2)art 13 (hoice of different analytical techniques in assessing an entity*s performance and financial position Introducing horizontal) trend and vertical analytical frameworks and interpreting the results. $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapters !>) !< 1 !? 10+ Anal&sis and interpretation o1 1inancial state#ents 2)art ,3 (onducting a ratio analysis to assess an entity*s profitability) liquidity and financial stability 9 $nalyzing and interpreting additional ratio information provided by a statement of cash flows. $ppreciate the limitations of traditional financial statement analysis. Interpretation of cash flows $eadings: -ongren) (.T.) .undem) /.0. 1 .tratton) (hapters !>) !< 1 !? 11+ Corporate governance (orporate governance in the $sia 8acific region $nalysis of the recent accounting frauds in the ".$ &iscussion of business and accounting ethical issues $eadings: ;oreman) :.) The costs and benefits of corporate governance. .mith) 7. 1 Tabalujan) '...) (orporate /overnance in the $sia-8acific region. >