Instruction Mode: Online
Professor: Multiple Professors
Resource(s): | | Type | Description | | Required | Textbook | Managerial Accounting + Connect, Garrison, Chesley, Carroll and Webb, McGraw-Hill Ryerson, 12th, ISBN 9781260881479, 2020 |
Applicable student group(s): All
Course Details: Successful completion of the following units will enable the student to:
1.0 Cost Behavior Analysis and Use
1.1 Explain the effect of a change in activity on variable costs and fixed costs
1.2 Use a linear cost formula to predict costs at a new level of activity
1.3 Analyze the components of mixed costs using the scatter graph, high-low, and regression methods.
1.4 Prepare an Income Statement using the contribution format.
2.0 Variable Costing: A Tool for Management
2.1 Identify the fundamental difference between variable costing and absorption costing.
2.2 Construct income statements using variable costing and absorption costing.
2.3 Reconcile effect of changes in production on the net income reported under both variable and absorption costing.
2.4 Explain the advantages and limitations of both the variable and absorption costing methods.
2.5 Prepare a segmented income statement using the contribution format.
3.0 Budgeting
3.1 Prepare a production budget.
3.2 Prepare a direct materials budget, including a schedule of expected cash disbursements for purchases of materials.
3.3 Prepare a direct labour budget.
3.4 Prepare a manufacturing overhead budget.
3.5 Prepare an ending finished goods inventory budget.
3.6 Prepare a selling and administrative expense budget.
3.7 Prepare a cash budget.
3.8 Prepare a budgeted income statement and balance sheet.
3.9 Prepare a flexible budget including the rationale for it.
3.10 Analyze the performance report in order to reconcile a static budget operating income with actual operating income based on the budget variances.
3.11 Describe variations in the Master Budget Process when applying it to not-for-profit situations.
4.0 Standard Costs and Overhead Analysis
4.1 Explain how direct materials standards and direct labour standards are set.
4.2 Calculate variable cost variances for direct materials and direct labour.
4.3 Compute the variable manufacturing overhead spending and efficiency variances
4.4 Calculate and analyze standard costs and variances for material, labour and variable overhead.
4.5 Discuss the advantages of and the potential problems with using standard costs.
4.6 Prepare performance report for manufacturing overhead.
4.7 Prepare journal entries to record standard costs and variances for direct material and direct labour.
5.0 Reporting for Control
5.1 Differentiate among cost, profit and investment responsibility centres and explain how performance is measured in each.
5.2 Identify the four types of quality costs and explain how they interact.
5.3 Compute return on investment (ROI) including the components of margin and turnover.
5.4 Describe the strengths and weaknesses of ROI in measuring performance.
5.5 Compute residual income and describe the strengths and weaknesses as it relates to performance measurement.
5.6 Describe various transfer prices.
5.7 Explain the use of balanced scorecards to assess performance.
6.0 Relevant Costs, and the Decision Process
6.1 Distinguish between relevant and irrelevant costs.
6.2 Prepare analyses for the following decision situations:
6.2.1 adding and dropping product lines and other segments
6.2.2 make or buy
6.2.3 special orders
6.2.4 constrained resources
6.2.5 joint product costs and whether to sell or process further