Management Accounting

Course Code: BBA402

Course Title: Management Accounting (4 Credits)




Course Contents


Unit 1: Introduction to Management Accounting:  Meaning, Features, Scope, Importance, Functions, Differences between Financial accounting, Cost accounting and Management accounting


Unit 2: Budgetary Control: Meaning, Characteristics, Objectives, Steps, Advantages, Limitations, Types of budgets


Unit 3: Standard Costing: Meaning, Advantages, Limitations, Preliminaries, Steps in setting up of standard costs, Differences between       Budgetary control and standard costing, Estimated cost


Unit 4: Variance Analysis: Meaning, Favourable and Unfavourable variances, Controllable and uncontrollable variances, Uses of variances,  Analysis of variances, Types of variances


Unit 5: Marginal Costing: Meaning, Features, Advantages, Limitations, Absorption costing


Unit 6: Cost – Volume – Profit Analysis: Contribution, Break even analysis, Profit Volume Ratio, Margin of safety


Unit 7: Analysis and Interpretation of Financial Statements: Meaning, Steps, Objectives, Types of Analysis,      Comparative financial statement, Common size financial statement, Trend Analysis


Unit 8: Ratio Analysis: Meaning, Advantages, Limitations, Classifications of ratios


Unit 9: Working Capital Management: Meaning of working capital, Kinds of working capital, Sources of working capital, Objectives of working capital management, Determinants of working capital requirement, Estimation of working capital requirement


Unit 10: Fund Flow Statement: Meaning, Uses, Limitations, Sources and uses of funds


Unit 11: Cash Flow Statement:Meaning, Uses, Limitations, Sources and uses of cash


Unit 12: Capital Budgeting: Meaning, Principles of capital, budgeting, Methods of evaluating, Capital Rationing.


Unit 13: Management of Profits/Dividend Policy: Meaning of dividend          policy, Types of dividend policy, Factors influencing dividend policy, Forms of dividend, Dividend models


Unit 14:Overview of latest developments in Accounting: Transfer Pricing, Responsibility , accounting, Inflation accounting, Divisional performance analysis, Human Resources Accounting