Course Name (short): Managerial Accounting
School: Business
Program(s): Bach Bus Admin Market Manage, Bach Business Admin Accounting, Bach Business Admin Finance, Bach Human Resources, BachBus Admin Spply Chain Mgmt
Program Coordinator(s): Anne-Liisa Longmore
Course Leader or Contact: Alison Feierabend
Originator: Jessica MacDougall
Designate: Jessica MacDougall
Version: 6.0
Status: Approved - Under Rev (AREV)

Calendar Description
Students examine the reports, statements and analytical tools used by management, and the manner in which these are applied in planning, controlling, decision-making and performance evaluation.

Typical Instructional Format

Courses may be offered in other formats.

Section I Notes: This course will be delivered in hybrid format.

Detailed Description
Students examine the reports, statements and analytical tools used by management, and the manner in which these are applied in planning, controlling, decision-making and performance evaluation. The key areas covered include cost accounting fundamentals, job and process costing, cost-volume-profit analysis, budgeting and control, inventory costing, and information for management control and decision analysis. A combination of interactive lectures, problem solving activities and case study analysis will be used to aid students in understanding the concepts and practices used in the field of managerial accounting.

Program Context

 Critical Performance:
By the end of this course, students will have demonstrated the ability
to create internal reports and provide information for managerial
decision making through the application of management accounting tools
and techniques.

Learning Outcomes:
To achieve the critical performance, students will have demonstrated 
the ability to:

1.  Discuss the role of management accounting in achieving an 
    Organization's strategic focus.
2.  Apply cost accounting terminology, concepts and procedures used 
    to facilitate planning and decision making.
3.  Evaluate management information to determine the unit cost of a 
    product (or service) and to make appropriate pricing decisions.
4.  Assess cost systems to determine an appropriate system (job order 
    costing, process costing, activity-based costing, standard
    costing) for specific industries.
5.  Analyze a company's cost-volume-profit relationships to evaluate 
    affects of change on the company's overall financial position.
6.  Evaluate make or buy decisions, special orders and constrained 
    resources using relevant cost information for decision making.
7.  Design transfer pricing options that motivate all parties of the 
    transaction.
8.  Analyze variances within costing systems to evaluate performance.
9.  Create master budgets that support an organization¿s strategies.
10. Design a system for an organization using responsibility 
    accounting.
11. Demonstrate professional behaviours including:
    a. Work effectively in teams.
    b. Meet due dates.
    c. Produce professional quality assignments. 
    d. Use reference materials responsibly.

Students demonstrate their learning in the following ways:

In addition to achieving a minimum 50% overall grade, a student must 
have a combined average of at least 50% on the non-group components 
of the evaluation plan in order to receive credit for this course.

Prework (10 modules x 1%)           10%
In-class online quizzes (5 x 1%)     5%
Assignments (5 x 4%)*	            20%
Midterm Exam (Module 1-5)           30%
Final Exam (Module 1-10)            35%
Total                              100%

Assignments are group activities based on case analysis and problem
solving. All other evaluations are done individually.

Garrison, Chesley, Carroll and Webb (2015)  Managerial Accounting.
(10th Cdn. ed.) Toronto (Ontario): McGraw-Hill Ryerson.

Spraakman, G. (2015). Current Trends and Traditions in Management
Accounting Case Analysis (6th Edition). Concord, ON: Captus Press.

Note: Learning Outcome 11 will be inherent and apparent within each 
evaluation.

Module  1: Basic Concepts of Management Accounting, Costs and Cost 
Flows
1.  Compare and contrast financial and managerial accounting
2.  Describe the planning and control cycle and explain its 
    relationship to decision making
3.  Classify costs in various ways (variable vs. fixed, period 
    vs. product, prime, conversion, opportunity, relevant, direct vs. 
    indirect, sunk)
4.  Trace the flow of costs within a manufacturing environment
5.  Compare and contrast the preparation of an income statement 
    for merchandising and manufacturing companies
6.  Prepare a schedule of cost of goods sold and cost of goods 
    manufactured
Reference: Chapters 1 and 2
Learning Outcomes: 1, 2
Assessment: Quiz #1 (1%)

Module 2: Cost Behaviour and C-V-P Analysis
1.  Understand cost behaviour patterns and their relevance to 
    decision making
2.  Understand the assumptions underlying different cost 
    estimation approaches
3.  Estimate costs using the high-low method.
4.  Understand the underlying assumptions, limitations and 
    information requirements of C-V-P ANALYSIS
5.  Prepare and interpret single and multiple-product C-V-P 
    analysis
6.  Interpret C-V-P graphs
7.  Prepare and interpret break-even analysis calculations with 
    changing variables
8.  Prepare and interpret contribution margin analysis 
Reference: Chapters 3 and 4
Learning Outcomes: 2, 3, 5
Assessment: Quiz #2 (1%)
	
Module 3: Job Order Costing
1.  Trace the flow of costs in a job order costing environment 
    using job cost cards, journal entries and t-accounts
2.  Apply direct materials, direct labour and manufacturing 
    overhead in a job order costing environment to various types of 
    jobs
Reference: Chapter 5
Learning Outcomes: 2, 3, 4
Assessment: Assignment #1 (4%)

Module 4: Process Costing
1.  Trace the flow of costs in a process costing environment 
    using production cost reports, journal entries and t-accounts
2.  Apply direct materials, direct labour and manufacturing 
    overhead in a process costing environment using the weighted  
    average method
3.  Apply direct materials, direct labour and manufacturing 
    overhead in a process costing environment using the FIFO method 
Reference: Chapter 6, Appendix 6A and Appendix 6B (online only)
Learning Outcomes: 2, 3, 4
Assessment: Quiz #3 (1%)

Module 5: Activity-Based Costing and Service Department Cost 
Allocations
1.  Understand the pros and cons of activity-based costing and 
    its applications
2.  Compare and contrast the application of traditional costing 
    and activity-based costing
3.  Perform service department cost allocation using the 
    direct, step and reciprocal methods
4.  Use the results of service department cost allocations to 
    calculate and use predetermined overhead rates
Reference: Chapter 7 and Appendix 11A (online only)
Learning Outcomes: 2, 3, 4
Assessment: Assignment #2 (4%)

Assessment: Mid-term exam - Modules 1 through 5 (30%)
 
Module 6: Absorption and Variable Costing and Budgeting
1.  Calculate and compare the cost of a product using variable 
    or direct versus full or absorption costing
2.  Compare and interpret income statements prepared using 
    variable or direct versus full or absorption costing
3.  Understand the framework and objectives of budgeting
4.  Understand the budgeting process including functions,   
    relationships, components, time frame and techniques
5.  Explain the difference between forecasts, pro forma and budgets.
6.  Prepare a master budget, pro forma financial statements and its  
    components (sales, production, materials, labour and inventory, 
    overhead and administration, cash, etc.)
Reference: Chapters 8 and 9
Learning Outcomes: 2, 3, 9	
Assessment: Assignment #3 (4%)

Module 7: Standard Costs for Materials, Labour and Variable Overhead
1.  Understand the differences between actual, normal, and 
    standard costing systems and their application
2.  Establish standard costs for materials and labour
3.  Compute variable cost variances: price/rate, efficiency, 
    spending, mix, yield and quantity
4.  Understand and interpret favourable and unfavourable 
    variable manufacturing costs variance analysis.
Reference: Chapter 10, Appendix 10A and Appendix 10B
Learning Outcomes: 2, 3, 4, 8
Assessment: Quiz #4 (1%)

Module 8: Reporting for Control
1.  Describe responsibility accounting
2.  Describe types of responsibility centres (revenue, cost, 
    profit and investment)and basic behavioural implications of each
3.  Evaluate the controllability of different types of 
    responsibility accounting systems
4.  Prepare and interpret responsibility accounting systems 
    performance reports
Reference: Chapter 11
Learning Outcomes: 2, 3, 8
Assessment: Assignment #4 (4%)
 
Module 9: Relevant Costs for Decision-Making
1.  Understand the difference between relevant and non-relevant 
    costs for decision making
2.  Perform relevant costing analysis to make business decisions: 
    make or buy (outsourcing), special order, utilization of 
    constrained resources
Reference: Chapter 12
Learning Outcomes: 2, 3, 6, 7
Assessment: Assignment #5 (4%)

Module 10: Pricing and Trends in Management Accounting
1.  Describe the objectives of transfer pricing
2.  Understand the advantages, disadvantages, behavioural 
    implications and consideration of transfer pricing policies when 
    selecting an appropriate transfer pricing method (market price, 
    variable cost, full cost, negotiated)
3.  Calculate transfer prices using the appropriate transfer pricing 
    method
Reference: Appendix 11A (online only)
Learning Outcomes: 2, 5, 6, 7, 8, 10	
Assessment: Quiz #5 (1%)

Final Exam (Cumulative) 35%