13009 Managerial Accounting

Credits: 3 graduate credits in Business Administration / Accounting

Prerequisite: Admission to the graduate program in Business Administration

Author: Joshua Livnat

Objectives: The course acquaints students with managerial accounting and with the differences between this and financial accounting; costing methods and the costing system in the business as a tool for determining product and service costs; data from managerial accounting relevant to various decisions; using the costing system for managerial control purposes.

Topics: The objectives of managerial accounting; Defining and classifying costs; The costing system; Methods of assigning indirect costs; Cost centers and profit centers; Allocating service department costs to production departments; Shared costs and products; Equilibrium analysis – the relationship between cost, price and volume of activity; Absorption costing methods versus contribution costing; Activity-based costing (ABC); Analyzing relevant costs for decision-making; Preparing a budget and the concept of a flexible budget; Standards – analyzing costing deviations, managerial control.