Cost and Management accounting course info 2017

HKU SPACE

College of Business and Finance

Postgraduate Diploma in Professional Accounting

Autumn Term 2017 (Sep 2017 – Dec 2017)

                                               

COURSE NAME:	Cost and Management Accounting
COURSE CODE:	ACCT6002

                                                                                                                                                                       

COURSE OBJECTIVES

Management accountants play a vital role in today’s business organisations operating and competing in a global environment. The timeliness and reliability of information available to managers affect organisational performance. Cost and management accounting is concerned with the provision of accounting information to help in the making of decisions by those responsible for managing business and other economic entities. This course aims at developing students’ ability to apply various management accounting techniques to contribute to a range of strategic planning, control and decision-making situations.

LEARNING OUTCOMES

Upon successfully completing this subject, students should be able to:

·        Understand the objectives of preparing management information and the need to adapt techniques in a changing commercial environment.

·        Identify the information needs of management and contribute to the development of appropriate systems.

·        Evaluate the strategic performance of a business and recommend appropriate performance measures.

·        Understand the significance of the relationship between financial and non-financial indicators of business performance.

·        Apply techniques to evaluate management decisions in relation to costing, pricing product range and marketing strategy.

·        Identify and apply appropriate budgeting techniques to enable management to control the business.

TEACHING APPROACH

Basic theories and concepts will be introduced and explained in the lectures.  Students will develop and apply the general principles of cost and management accounting to practical problems in the seminars or tutorials.  Cases and assignments will also be used to demonstrate the basic concepts in the topics covered in the subject.

TEXTBOOK

You are required to purchase your own copy of the following prescribed textbook:

Horngren, Datar, Foster, Rajan (2015) Cost Accounting: A Managerial Emphasis, 15^th edition, (Global Edition),  Pearson Education, Inc.

REFERENCES

Drury, Cost & Management Accounting, Thomson

Hansen Mowen, Cost Management: Accounting and Control, Thomson

http://www.quickmba.com

COURSE ASSESSMENT                                        

In order to pass the course, you are required to pass BOTH components of the continuous assessment and the final examination.

                                               

Continuous Assessment     40%

Final Examination              60%         

Total                                     100%                      

Continuous assessment consists of the following components:

                                                                                                             

Mid-term Test                                                                  20%   

Project                                                                                         20%

            Total                                                                                       40%

PROJECT

Students are organised in groups of five to six to complete the case analysis in the form of a report of not more than 2,500 words. Each group is required to select a company, and conduct analysis of that selected company. Each group should assign one individual as group leader and submit the names of group members by week 2. The name of the selected company should be submitted by week 7. The deadline of the report submission is the last lecture, i.e., Nov 26 (Sunday).

Researching is an integral part of this case study.   In addition to your textbook, you may collect facts, statistics or others’ views elsewhere.  You could refer to other reference books, magazines, newspapers, internet or any sources you have access to.  However, you should make judgment as to the information’s credibility. 

The final grade will be based on quality of analysis report. At the end of term, you will be asked to evaluate your team members’ contributions to the project. The evaluation is strictly confidential and will not be disclosed.

In your analysis, you should include the following elements:

1.     Comment on both the financial and non-financial performance of the business for 2016 (hint: you may consider growth, profitability, liquidity and gearing aspects in your financial performance analysis.). (40 marks)

2.     Discuss the principal financial, economic and social considerations that should be considered by the business for 2016. (20 marks)

3.     Structure a balanced scorecard of the business for 2016. (40 marks)

CLASS ATTENDANCE AND PARTICIPATION

The class attendance is essential and expected. Students are strongly encouraged to participate in classroom discussion and share his/her opinions and suggestions. In addition to voluntary participation, you may be randomly asked to present the results of in-class exercise or discussions in class.

POLICY ON SCHOLASTIC DISHONESTY

Cheating on examination and plagiarism will not be tolerated. The penalty for cheating is zero. We will follow strictly with respect to University’s procedure, policy and regulation in handling such cases.

TEACHING SCHEDULE

Session	Date	Topic	Chapter	Exercise
1	6/9 (Wed)	Course introduction ·       The Accountant’s Role and Design of Management Accounting Systems ·       Cost Terms and Purposes	1, 2	Ch 1 (16,24,30) Ch 2 (18,28,34,35,36)
2	13/9 (Wed)	·       Cost Behaviour and Cost-Volume-Profit Analysis	10, 3,	Ch 10 (18,23,35,36) Ch 3 (31,38,40,43,46)
3	20/9 (Wed)	·       Job Costing and Activity-Based Costing	4,5	Ch 4 (16,18,26,27,34) Ch 5 (16,35,37)
4	27/9 (Wed)	·       Inventory Costing	9 (p.350-365)	Ch 9 (16,20)
5	8/10 (Sun)	·       Master Budget & Responsibility Accounting	6	Ch 6 (20,21,24,30,35,38)
6	15/10 (Sun)	·       Mid-term exam
6	15/10 (Sun)	·       Strategy, Balanced Scorecard and quality management	12 (p.494-509), 19 (p.692-702)	Ch 12 (22,26,34), Ch 19 (17,18,20)
7	22/10 (Sun)	·       Flexible Budgets, Direct and Overhead Cost Variances	7, 8	Ch 7 (18,24,31,33) Ch 8 (16,18,19,22,29,30)
8	5/11 (Sun)	·       Decision Making, Pricing Decisions and Cost Management	11, 13	Ch 11(20,28,29,37,41), Ch 13(19,21,26,28,30)
9	12/11 (Sun)	·       Transfer Pricing and Management Control Systems	22	Ch 22 (17,19,22,29)
10	19/11 (Sun)	·       Performance Measurement	23	Ch 23 (18,22,24,25,31)
11	26/11 (Sun)	l   Course review and revision
	3/12 (Sun)	Final exam

The class sessions consist of lectures, tutorials, and group discussions depending on the topic nature and progress of the course.

**  This is a tentative schedule and subject to change under circumstances.