Department of Finance
University of Dhaka
MPF Program
Course Code F 504
Course Instructor: Prof. Nausheen Rahman
Course Title: Managerial Accounting
email: rahmannausheen@yahoo.com
nausheen.rahman@du.ac.bd
Objectives of the Course
This course covers basic topics of management accounting and introduces a business management
approach to the development and use of accounting information. In today’s competitive marketplace,
an excellent internal accounting system is essential for organizations to make effective and efficient
decisions. Emphasis will be given on the development of problem-solving skills based on a good
understanding of the business environment.
Course Content
Sl. Focus
01. Managerial Accounting and the Business Environment: Globalization, Strategy,
Organizational Structure, Process Management, Ethics in Business, Corporate
Governance, CSR
02. Managerial Accounting & Cost Concepts: Definition of Managerial Accounting,
Comparison of managerial accounting and financial accounting, General cost
classifications, Product costs versus period costs, Cost classifications on financial
statements, Cost classifications for predicting cost behavior
03. Cost Behavior: Analysis and Use: Types of Cost Behaviour Patterns, The Analysis of Mixed
Costs, The Contribution Format Income Statement
04. Cost-Volume-Profit Relationships: The Basics of CVP Analysis, Break-Even Analysis, CVP
Considerations in Choosing a Cost Structure, Structuring Sales Commissions, Sales Mix
05. Variable Costing: A Tool for Management: Overview of Absorption and Variable Costing,
Income Comparison of Absorption and Variable Costing, Extended Comparison of Income
Data, Effect of Changes in Production on Net Operating Income, Choosing a Costing
Method
06. Activity-Based Costing: An Overview, Costs Are Treated under Activity-Based Costing,
Designing an ABC System, The Mechanics of Activity-Based Costing, Comparison of
Traditional and ABC Product Costs, Activity-Based Costing and External Reports, The
Limitations of Activity-Based Costing
07. Profit Planning: The Basic Framework of Budgeting, Preparing the Master Budget, The
Budgeted Income Statement
08. Standard Costs and the Balanced Scorecard: Standard Costs—Management by
Exception, Setting Standard Costs, A General Model for Variance Analysis, Using Standard
Costs—Direct Materials Variances, Using Standard Costs—Direct Labour Variances, Using
Standard Costs—Variable Manufacturing Overhead Variances, Variance Analysis and
Management by Exception, International Uses of Standard Costs, Evaluation of Controls
Based on Standard Costs, Balanced Scorecard
09. Flexible Budgets and Overhead Analysis: Flexible Budgets, Variable Overhead
Variances—A Closer Look, Overhead Rates and Fixed Overhead Analysis
Reading Material
Text:
Managerial Accounting by Ray H. Garrison, Eric W. Noreen & Peter C. Brewer; 13th edition
Reference: Managerial Accounting: Information for Decision Making and Strategy Execution by
Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, & S. Mark Young; 6th edition
Assignment, Term Paper & Presentation
Problem solving assignments will be given during the course whose preparation should be done on an
group basis. The term paper will be done in groups of four or five along with a presentation session. The
course instructor will provide topics for term paper after the first midterm.
Course Evaluation
Final course grade of a student will depend on participation in following course events
Marks distribution
Class Attendance
Mid Exam 1
Mid Exam 2
Assignment, Term Paper & Presentation
Final Exam
Weights (%)
10
15
15
20
40
General Remarks
Each student is required to attend minimum 75 % of classes held in a course. Otherwise, the student
will not be allowed to sit for the exam.
Good Luck