Module Identifier AC33120  
Module Title MANAGEMENT ACCOUNTING 2  
Academic Year 2006/2007  
Co-ordinator Ms Jennifer R Lane  
Semester Semester 2 (Taught over 2 semesters)  
Other staff Dr Kelum N Jayasinghe  
Pre-Requisite AC10210  
Course delivery Lecture   36 Hours. 18 1-hour lectures per semester  
  Seminars / Tutorials   8 Hours. 4 1-hour tutorials per semester  
Assessment
Assessment TypeAssessment Length/DetailsProportion
Semester Exam2 Hours - Set in Semester 270%
Semester Assessment One 2,000 word report - Set in Semester 130%
Supplementary Exam2 Hours  100%

Learning outcomes

On successful completion of this module students should be able to:
1. Discuss and evaluate how costs are constructed via the organisation
2. Analyse, select and calculate appropriate costing method in a given situation
3. Discuss and evaluate how the choice of costing techniques can impact on accountability and performance measurement
4. Explain and evaluate the behavioural aspects of management accounting
5. Evaluate and analyse a decision scenario using an appropriate accounting technique
6. Discuss and evaluate limitations of accounting techniques
7. Evaluate and discuss the impact of working capital management

Aims

This module aims to build upon the foundations of management accounting established in module AC10210, to deepen and extend knowledge of fundamental concepts and techniques of management accounting.

Brief description

This module will focus on aspects of accounting which support the exercise of management control and decision making. A thorough grounding in costing techniques will provide students with the necessary foundation for examination of accounting techniques appropriate to pricing and strategic decision making, cost management, planning and control.

Content

Management accounting as a control mechanism - behavioural considerations
Cost classification
Costing: dealing with overheads using absorption costing, marginal costing and activity-based costing
Cost accounting - job costing and process costing
Effect of costing methods on stock valuation and profit
Aspects of performance management
Advanced variance analysis
Incremental costs and decision making
Pricing decisions
Decisions under uncertainty
Cost estimation and pricing
Working capital management

Reading Lists

s
** General Text
C Drury (2000) Management and Cost Accounting 6th edition. Interntaional Thomson Business Press
C Horngren, A Bhimani, G Foster and M Datar (1999) Management and Cost Accounting Prentice Hall
T Lucey Costing 5th edition. DP Publications

Notes

This module is at CQFW Level 6