Management Accounting
Title of the Course： Management Accounting
Course Teacher： XUQIN
Language：English
Inside Class Credit Hours： 36
Prerequisite： Financial Accounting
Semester： Second
No. of course:
Students： Foreign Undergraduates
Extracurricular class hours：
Number of students :≤ 50
Credit: 2
1. Profile and Contact way of the Teacher
XUQIN is PhD, lecturer. Her rich lecture experiences cover from Asia, Europe, Africa,
Middle East to South America. In China she gives lectures to both internal and
international students of graduate, postgraduate and MBA programs. Besides her
regular work in Tongji University, she has also been the adjunct faculty of Maastricht
School of Management in the Netherlands, teaching for its outreach MBA program
around the world. For example, she has been to Holland, Uganda, Zambia, Tanzania,
Kuwait and Suriname teaching for Financial Accounting, Management Accounting,
Corporate Finance and other lectures.
EMAIL:XU_QIN@TONGJI.EDU.CN
2. Course Description
《Management Accounting》is the elective module for foreign undergraduate students
majored in management. From the global and sustainable perspective, it introduces
basic concepts and principles for management accounting. Based on it, it interprets
basic financial statements such as balance sheet, income statement and statement of
cash flow. After the study, students should be able to analyze financial statements and
extend it to master budget including variance analysis, fulfill different decision makings
such as marketing decisions and production decisions with accounting information.
Then students can increase their practical capabilities.
1
3. Course Objectives and Requirements
1. Course Objectives ： Let students learn both conceptual theory and practical
technique of management accounting within a firm. Through various problems and
cases, students should be able to arrive at optimal management decision-making from
economic information and cost-volume-profit model, including master budget
preparation and variance analysis. It is to increase students’ professional quality.
2. Requirements： Before this course, students should have studied about financial
accounting. During the course, students should preview material, finish and submit
assignments in time.
4. Course Arrangement
2
Course
name
Credi
unit t
hour
s
1
2
3
2
6
2
4
4
5
6
Management Accounting
Total Credit Hours
36
Contents
Preparation of class
and reading materials
Cases
Unit One：Introduction to Management Accounting
1. Assumptions on Financial Accounting and Management
Accounting
2. Comparison and Contrast between Financial Accounting and
Management Accounting
3. Comparison and Linkage between and among Management,
economics and Accounting
4. Challenges of Globalization on Management Accounting
Unit Two：Financial Statements
1. Balance Sheet
2. Income Statement
3. Statement of Cash Flow
Unit Three： Relevant Information and Decision Making
1. Concept of Relevance
2. Decision Model
1.
2.
Chapter 15 of Textbook
Case：King Hardware
1. Chapter 16 of Textbook
2. Case：Financial
Statements of Nike Inc.
1. Chapter 5 of Textbook
2. Case：Colgate-Palmolive
Company
Unit Four：Cost-Volume-Profit Analysis
1. Cost Driver
2. Variable Cost and Fixed Cost
3. Break-Even Analysis
4. Contribution Margin Technique
1. Chapter 2 of Textbook
2. Case: Boeing Company
Unit Five：Marketing Decisions
1. Accept or Reject a Special Order
2. Whether to add or Delete a Product Line
1. Chapter 5 of Textbook
2. Case: Cordell Company
3. Case: A Discount
1. PACCAR
transactions
1. Intel Company
2. Weikart
Company
3. New Ulm Bottlers
1. Paul and Paula
Petroceli
1.
3
Riccardo Food
Services
Company
2. The Key West
Kennel Club
1. Belltown Athletic
Supply (BAS)
2. Hambley’s Toy
3. Decision Making with Scarce Resource
6
4
7
6
8
6
Unit Six：Production Decisions
1. Whether to Make or to Buy Certain Parts or Products
2. Whether a Joint Product Should be Processed beyond the
Split-off Point
Unit Seven：Master Budget
1. Sales Budget and Cash Collection
2. Purchase Budget and Disbursement
3. Operating Expenses and Disbursements
4. Forecasted Balance Sheet
5. Forecasted Income Statement
6. Forecasted Statement of Cash Flows
Unit Eight：Variance Analysis
1. Sales-activity Variance
2. Price and Usage Variance
3. Overhead and Efficiency Variance
Department Store
4. Case: Grand Canyon
Railway
Store
3. Fargo
Manufacturing
Company
1. Chapter 6 of Textbook
2. Case: Nantucket Nectars
Company
3. Dow Chemical Company
1.
2.
1.
4
BMW Germany
Company
ConAgra, Inc.
A Tokyo Clothing
Wholesaler
Barcelona S.A.
Bouquet
Company
1. Chapter 7 of Textbook
2. Case: Cooking Hut
Company (CHC)
2.
3.
1. Chapter 8 of Textbook
2. Case: National Park
Service
1. Cortez Credit
Services
2. KFC
5. Teaching Methods
Lectures、Discussions、Case Analysis, etc.
6. Learning Outcomes Expected
Category
Learning Outcomes
1.
Master the basic concepts, basic theory and development trend of
management accounting
2.
Master the basic principles and methods of preparing decision making
3.
Familiar with C-V-P model and contribution technique
Master of
4.
Familiar with the process of analyzing break-even and target profit
Knowledge
5.
Familiar with relevant information and decision model
6.
Master the process and basic methods of marketing decisions
7.
Master the process and basic methods of production decisions
8.
Understanding the theories and methods of master budget
1.
2.
Have the ability to set accounting from management perspective
Have the ability to be engaged in management accounting with the idea
of sustainable development meet the global challenges
Have the ability of using science management ideas and methods in
management accounting
Have the abilities of flexibility and adaptability on management
accounting, under critical thinking about the influence of the internal and
external users, such as shareholders, creditors, government, manager,
employee
Have the comprehensive management accounting abilities of acquisition,
Utility, development of information by the rigorous attitude and scientific
methods
Intellectual
3.
abilities
4.
learned
5.
1.
Master forecasting skills of sales and purchase demand
Practical
2.
The skills of using C-V-P model
skills learned
3.
The actual application skills of preparing forecasted financial statements
4.
The skills of using contribution margin technique in marketing decisions
5.
The skills of using contribution margin technique in production decisions
5
to calculate break-even and target profit
Personal
competences
and
characters
Cultivated
1.
The competence of thinking questions by using globalization view and the
idea of sustainable development
2.
The management competence of being good at planning, calculating
and analysis
3.
The competence of critical acceptation of knowledge and innovative
4.
The competence of flexibly contingency management according to
different external environment
5.
Character of "respect others "
6.
Have the charm of leadership and responsibility
7.
The team spirit of cooperation
7. Performance Evaluation: Means & Ratio
Evaluation
Means
Ratio
（%）
Team and
individual
assignments
25
Attendance and
Engagement
25
Exam
50
Link with learning outcomes expected
Focusing on case analysis, evaluate the abilities of using
management accounting knowledge related to analyses
and solve the practical problems
Evaluate the abilities of understand and application of
management accounting knowledge related and the
abilities of team participation and effective communication
Emphasis on the evaluating the degree of mastering the basic
concepts and important theories on these modules, such as
accounting assumptions, pricing decisions, C-V-P model,
relevant information, marketing decision, production decision,
master budget .etc. Through the exam, the level in mastering
and applying the basic accounting knowledge of students can
be gained
8.Textbook，References and Reading Materials
1)
Textbook
Charles T. Horngren, et al., Introduction to Management Accounting, 15th edition,
6
Prentice Hall, 2011
2)
References
Charles T. Horngren, et al., Introduction to Financial Accounting, 10th edition, Prentice
Hall, 2011
9. Cases
[1] PACCAR Transactions: Accounting Relationships
[2] Intel Company: Balance Sheet
[3] Weikart Company: Income Statement
[4] New Ulm Bottlers: Statement of Cash Flows
[5] Paul and Paula Petroceli
[6] Riccardo Food Services Company: Break-Even
[7] The Key West Kennel Club: Equation Method
[8] Belltown Athletic Supply (BAS): Special Order
[9] Hambley’s Toy Store: Product Line
[10] Fargo Manufacturing Company: Scarce Resource
[11] BMW Germany Company: Make or Buy
[12] ConAgra, Inc. : Joint Products
[13] A Tokyo Clothing Wholesaler: Sales Budget
[14] Barcelona S.A. : Purchase Budget
[15] Bouquet Company: Cash Budget
[16] Cortez Credit Services
[17]KFC
10. Assignment Requirements
Select the typical cases in your work by yourself, combine with the management accounting
theory and knowledge related, describe, analyses and evaluate problems existed, and put
forward some solutions and alternatives.
Requirements
1) Collect this case background information and discuss about the problems above
2) Form the groups，each group consists of 6-8 students.
3) Do presentation in the class, each group need to submit PPT and the EXCEL (one copy of
the electronic version and paper version)
4) Each group should prepare before class carefully, please.
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The criteria of assignment evaluation (100 points)
1) Whether the case material collection is completed or not
2) Whether the case analysis is system in-depth or not
3) Whether the insights is linked with work practice closely or not
4) Participation of group members in case discussion
5) Whether the PPT and document is made seriously and beautiful
Accessories:
1. The course PPT
2. Case material
3. Other teaching material (such as reading materials, the articles)
4. Study guide
8
20 points
25 points
25 points
20 points
10 points