ACCG70021
Management Accounting 2
 
  I: Administrative Information   II: Course Details   III: Topical Outline(s)  Printable Version   Public
 
Section I: Administrative Information
  Credit Value: 3.0
Credit Value Notes: N/A
Effective: Spring/Summer 2015
Prerequisites: (ACCG70020)
Corequisites: N/A
Equivalents:
N/A
Pre/Co/Equiv Notes: N/A

Course Name (short): Management Accounting 2
School:
Continuing Ed & Corp Training
Program(s): Accounting
Program Coordinator(s): Brent Koritko
Course Leader or Contact: Multiple Course Leaders
Originator: Ravneet Malhi
Designate: Ravneet Malhi
Version:
6.0
Status: Approved (APPR)

Calendar Description
N/A

Typical Instructional Format

Distance Education
42.0
Total hours: 42.0

Courses may be offered in other formats.

Section I Notes: This course is offered in a classroom version and an online version. In the classroom version, there are three hours per week of classroom instruction. The online version is a web-based course offered entirely online through Sheridan College. Students taking this course will need reliable access to the internet, and should have a basic level of comfort using computers as well as the self- discipline to study independently. Students can expect to spend an additional three hours per week for online activities such as postings, discussions, homework, and assignments. For on-line students the Final Exam will be administered in-person. Note: a minimum 'B'grade in both ACCG70020 and ACCG70021 is needed to apply for exemption for the Certified General Accountants of Ontario (CGA) MA1 course.

 
 
Section II: Course Details

Detailed Description
Students build on the fundamentals of management accounting covered in ACCG70020, Management Accounting 1. This course explores the various forms of costing used to inform management accountants and their decision making. Topics include process costing, activity-based costing, service department costing, standard costing, variance analysis, relevant costing and decision making, flexible budgets and pricing decisions. Students use Connect (an online site) to engage in practice exercises and develop their skills. Assignments are submitted through the use of Connect. Additionally, students use Slate2 to access course content, engage in student collaboration and contact the instructor. Students in the online course can expect to view online lectures and lessons, participate in discussions, and submit assignments and tests using the internet. The Final exam will be administered in-person.

Program Context

 
Accounting Program Coordinator: Brent Koritko
This course is offered through the Faculty of Continuing & Professional Studies.


Course Critical Performance and Learning Outcomes

 
 Critical Performance:

By the end of this course, students will have demonstrated the ability
to use analytical tools to create accounting reports, plan, control
and evaluate an organization. 

Learning Outcomes:

To achieve the critical performance, students will have demonstrated 
the ability to: 
 
1. Establish a product's unit cost by appropriately applying direct
   material, direct labour and manufacturing overhead.

2. Prepare a formal departmental production report for a process
   costing system using the Weighted Average and FIFO methods.

3. Prepare the journal entries to record inventory flow in a process
   cost system.

4. Allocate Service Department costs using the Direct, the Step-Down,
   and the Reciprocal method.

5. Employ Activity Based Costing (ABC) in management decisions.

6. Evaluate unit product costs under ABC and Traditional Costing.

7. Employ flexible budgets and overhead performance reports for
   directing and controlling an organization.

8. Apply cost and revenue variances to improve decision making and
   evaluating personnel.

9. Utilize quality to specification to analyze the cost of quality.

10. Utilize non-financial strategies to improve financial performance.

11. Utilize relevant costs to develop models supporting management
    decision making.

Evaluation Plan
Students demonstrate their learning in the following ways:

 
In-Class Evaluation:
 
Group Presentation:        5%
Assignments (CONNECT)      8%
Major Assignment           7%  
Test 1 - Module 1 to 5     20%              
In-Class (2 hours)

Test 2 - Module 6 & 7      20%
In-Class (2 hours)

Final Exam - Comprehensive 40%
In-Class (3 hours)

Total:                     100%

------------------------------------------------------
          
On-Line Evaluation: 
                  
Slate2 Discussion:         5%                                        
        
A weekly question will be posted requiring two responses      
engaging other students.  The student may also earn the grade by
discussing course material with other students on Slate2. 
               
Assignments:               8%
Accessed using Connect

Major Assignment:          7%                                  
Posted on Slate2:  Content/Module 1/Major Assignment

Test 1 - Module 1 to 5:    20%
Connect (2 hrs)

Test 2 - Module 6 & 7:     20%
Connect (2 hrs)

Final Exam - 
Comprehensive In-class:    40%
In-Class* (3 hrs)

* Note Section:  Students must achieve a minimum of 50% on the final
exam to  earn credit for this Course.
Provincial Context
The course meets the following Ministry of Training, Colleges and Universities requirements:

 

Essential Employability Skills
Essential Employability Skills emphasized in the course:

  Communication   Critical Thinking & Problem Solving   Interpersonal
  Numeracy   Information Management   Personal

Notes: N/A

Prior Learning Assessment and Recognition
PLAR Contact: Multiple PLA Contacts

Students may apply to receive credit by demonstrating achievement of the course learning outcomes through previous life and work experiences. This course is eligible for challenge through the following method(s):

Challenge Exam Portfolio Interview Other Not Eligible for PLAR
X        

Notes: N/A

 
 
Section III: Topical Outline
Some details of this outline may change as a result of circumstances such as weather cancellations, College and student activities, and class timetabling.
Effective term: Spring/Summer 2015
Professor: Multiple Professors
Textbook(s):
Managerial Accounting - 10th Canadian edition with Connect, by
Garrison, Chesley, Carroll, Webb & Libby; McGraw-Hill Ryerson

Students are required to use Connect for practice exercises and
assignments. The purchase of a new textbook includes Connect as well
as an e-book version of the text.  Connect is separately available
from the McGraw-Hill website; thus, the purchase of the textbook is
optional.
http://www.mcgrawhill.ca/highereducation/students/

Applicable student group(s): Faculty of Continuing and Professional Studies students in the online and in-class course.
Course Details:
Module 1:   Orientation        

- Welcome
- Netiquette
- Instructor Bio
- Slate2 Navigation
- Course Overview
- Course Outline

Module 2: Review of selected topics from Management Accounting 1     
- The role of management & Management Accounting
- Income statement (absorption costing) & variable costing 
- Income statement & balance sheet relationship
- Review job order costing

Module 3:  (LO's #1, 2, 3) Process Costing - Part One      

Process Costing - Weighted Average Method
- Compare job order costing and process costing
- Prepare process cost flow journal entries
- Compute equivalent units of production 
- Prepare the formal production report 

Text Reference - Chapter 4 

Assessment(s): Connect Assignment 1% 

Module 4:  (LO's # 1,2, 3) Process Costing - Part Two      

Process Costing - FIFO Method
- Compute equivalent units of production 
- Prepare the formal production report 
- Compare and contrast the Weighted Average Method and the FIFO Method

Text Reference -  Appendix 4A 
Assessment(s): 
Connect Assignment 1% 
Group 1 Presentation 5% 

Module 5: (LO #4) Service Department Allocation

Allocate service department costs using a causal allocation base:
- Direct Method
- Step-Down Method
- Reciprocal Method
- Solving the reciprocal method problem using excel

Text Reference -  Appendix 4B 
Assessment(s): 
Connect Assignment 1%
Group 2 Presentation 5%

Test 1
Topics: (Module 1 to 5) 20% 
Test Venue: Online students are tested via Connect 
In-Class students are tested during the regular scheduled class time 

Module 6: (LO's # 5, 6) Decision Making Tools Activity Based Costing

Activity Based Costing (ABC)
- First-Stage Allocations ¿ assign costs to cost pools
- Calculate Activity Rates
- Second-Stage Allocation ¿ Apply costs to Cost Objects
- Compare ABC costing to the traditional costing

Text Reference -  Chapter 5
Assessment(s): 
Connect Assignment 1% 
Group 3 Presentation 5%

Module 7: (LO #7) Standard Costs
- Control through Management by Exception
- Setting Standards
- Understand the significance of denominator activity in determining
  standard costs
- Create a Flexible Budget
- Determine appropriate activity measures
- Describe how cost behaviour affects the flexible budget
- Prepare an overhead performance report

Text Reference -  Chapter 9 and Chapter 10 
Assessment(s): 
Connect Assignment 1% 
                                          
Group 4 Presentation 5% 

Test 2

Topics: (Module 6 to 7) 20% 
Test Venue
Online students are tested via Connect 
In-Class students are tested during the regular scheduled class time

Module 8:  (LO's #7,8) Variance Analysis and Overhead Performance 

Reports
- Application of the General Model of Variance Analysis
- Employ standard costs to determine direct material variances, direct
  labour variances and variable overhead variances
- Calculate and interpret fixed overhead variances
- Prepare an overhead performance report
- Prepare journal entries recording standard costs and variances

Text Reference - Chapter 10 and Appendix 10A and
Appendix 10B
Assessment(s): Connect Assignments 1% 
                                                                  
Group 5 Presentation 5% 

Module 9: (LO #9) Reporting for Control
- Calculate and interpret revenue variances
- Analyze Cost of Quality

Text Reference -  Chapter 11 and Appendix 11A 
Assessment(s): Connect Assignment 1% 
                                                                  
Group 6 Presentation 5% 

Module 10: (LO #10) Strategy
- Balanced Score Card
- Ethics
- KSF
- Corporate Social Responsibility
- JIT
- Non-Financial Performance Measures

Text Reference -  Chapter 11 and Chapter 1 
Assessment(s): Major Assignment 7% 
                                                                  
Group 7 Presentation - 5% of total grade

Module 11: (LO# 11) Relevant Costs for Decision Making
- Describe the various cost concept for decision making
- Segregate relevant and irrelevant costs
- Employ the differential approach to decision making
- Outline the approaches to the following problems
- Dropping a product
- Make of buy decision
- Accepting an order
- Optimizing the utilization of a constrained resource
- Optimizing when there are multiple constrained resources
- Should a joint product be sold or processed further

Text Reference -  Chapter  12
Assessment(s): Connect Assignment 1% of total
grade
                                                                  
Group 8 Presentation 5% 

Final Exam
Topics:  Comprehensive 40% of Final Grade (3 hrs)
On-Line students must write the final exam in person
In-Class students are tested during the regular scheduled class time

Retain this course outline during the course and for future use when 
applying for credit
at other educational institutions


Academic Honesty
The principle of academic honesty requires that all work submitted for evaluation and course credit be the original, unassisted work of the student. Cheating or plagiarism including borrowing, copying, purchasing or collaborating on work, except for group projects arranged and approved by the faculty member, or otherwise submitting work that is not the student's own violates this principle and will not be tolerated. Instances of academic dishonesty, including assisting another student to cheat, will be penalized as detailed in the Student Handbook.

Students who have any questions regarding whether or not specific circumstances involve a breach of academic honesty are advised to discuss them with the faculty member prior to submitting the assignment in question.

Discrimination and Harassment
Sheridan is committed to provide a learning environment that respects the dignity, self esteem and fair treatment of every person engaged in the learning process. Behaviour which is inconsistent with this principle will not be tolerated. Details of Sheridan's policy on Harassment and Discrimination are available in the Student Handbook.
 
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