|| MBM1610 |
|| MANAGEMENT ACCOUNTING AND FINANCE |
|| 2001/2002 |
|| Ms Jennifer Lane |
|| Semester 2 |
|| Dr Jihe Song |
| Course delivery
|| Lecture || 20 Hours |
|| Tutorial || 7 Hours |
|| Course work || || 20% |
|| Exam || 2 Hours || 80% |
This module gives students a thorough and practical grounding in the concepts and practices of management accounting and of financial management as pertinent for the managers / directors in an organisation.
Management Accounting: The objective is to introduce students to the principles and practices of management accounting as relevant to management valuation, decision-making and control within (principally) commercial organisations.
Finance: The objective is to introduce students to the principles underlying the financing and investment decisions required of commercial organisations and the interaction between financing and investment decisions.
Having competed the module, students will be able to:
distinguish between, compare and contrast financial and management accounting
describe, explain and illustrate the key concepts which underlie management accounting
explain the purposes, main uses and limitations of management accounting
apply various management accounting techniques for valuation, decision making and control
assess their usefulness, criticise and comment on their relative advantages and disadvantages of these techniques
explain the role of Financial Management and the concepts which underlie it
identify sources of short, medium and long term finance and identify key elements of capital markets
apply various investment appraisal techniques
explain the assumptions underlying traditional and discounted cash flows investment appraisal techniques
discuss and explain the advantages and disadvantages of the various investment appraisal techniques
explain understand the treatment of inflation in investment appraisal analysis
calculate the cost of share (equity) capital and debt capital and a firm?s overall cost of capital.
introduction; classification of costs
absorption vs. marginal costing; ABC
contribution analysis; break even; scarcity
relevant costs and decision making
budgets and variance analysis
decentralised management; transfer pricing
divisional and prioject appraisal
sources of finance
cost of finance
Drury, Colin. (2000)
Management and Cost Accounting. 5th. Business Press Thomson Learning
Levy, H and Sarnat, M.
Capital Investment and Financial Decisions. Prentice-Hall
Cost Accounting: A Managerial Emphasis. Prentice-Hall
Investment Appraisal and Financing Decisions. Chapman & Hall
Insight into Management Accounting. Penguin
Samuels, J, Wilkes, F and Brayshaw, R.
Management and Company Finance. Chapman & Hall