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Costing & Control Systems - Course Objectives only

Autor:   •  November 7, 2015  •  Coursework  •  716 Words (3 Pages)  •  1,309 Views

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Costing & Control Systems

Course Objectives

The course emphasizes a central theme that “there are different costs for different decision- making situations and that the costs are the results of management decisions”. The course is designed on this theme and it enables the student to:

1.        Understand   measurement   of   various   types   of   costs   and   tracing   them   to products/services and/or to customers.

2.        Understand the role of relevant costs in alternative choice decisions to develop better strategies for competitive advantage.

3.        Understand the importance of cost behavior and opportunity costs when evaluating multiple future/uncertain courses of action.

4.        To understand the role of budgets and variances in improving cost effectiveness and profitability.

Pedagogy

With emphasis on individual and collaborative learning, the course will be taught through the case method. For every topic, the background reading material will be provided and a case will be used for class discussion.

Text Books

Cost Accounting: A Managerial Emphasis (14th Edition)

Horngren, Datar, Foster, Rajan, Ittner (Referred in the session schedule as ’Horngren’)

Accounting: Text and Cases (13th Edition)

Robert N Anthony, David F Hawkins and Kenneth A Merchant (Referred in the session

schedule as ‘AHM’)

Evaluation

Class Participation

20% %

Quizzes

30%

Examinations

50%

All quizzes would be surprise quizzes and will have equal weightage. Request for re- evaluation of quizzes would not be normally entertained. For students who might not be able to keep pace with the class, remedial sessions may be offered on specific request of the student body.


SESSION SCHEDULE

Session 1

Introduction to cost terms and cost classification

Reading :   1.   Chapter 16 (AHM), Chapter 2 (Horngren)

2.   Managerial Accounting – An Introduction

3.   Note on Schematic Framework for analyzing and classifying cost terms

Case     :   Polaris General Products 78 (Booklet)

Session 2

Cost – Volume – Profit analysis for assessment of financial viability

Reading :   Chapter 3 (Horngren)

Case     :   Prestige Telephone Company

(AHM), p. 497

Session 3

Conventional Cost Allocation, Cost Centres and Activities

Reading :   1. Chapter 15 (Horngren), pp 630-645

2. Chapter 18 (AHM), pp 541-553

Case     :    Huron Automotive Company  (AHM), p.

Session 4

Activity Based Costing – Manufacturing

Reading :   1. Chapter 5 (Horngren)

2. Chapter 18 (AHM), pp 553-563

Case     :    Midwest Office products (AHM) ,P 567

Session 5

Activity Based Costing – Service Sector

Reading :   1. Chapter 5 (Horngren)

2. Chapter 18 (AHM), pp 553-563

Case     :    The Buckeye National Bank (Booklet)

Session 6

Costing for Joint Products

Reading :   1. Chapter 16 (Horngren)

2. Chapter 19 (AHM), pp 599-600

Case     :   Lilac Flour Mills (Booklet)

Sessions 7

Relevant  Costs  for  alternative  choice  decisions  (Make  versus

Outsource)

Reading :   Chapter 11 (Horngren)

Case     :    Liquid Chemical  Company (Booklet)

Session 8

Relevant   Costs   for   alternative   choice   decisions   –   evaluating different distribution networks and customer profitability.

Reading :   1. Note to the Case

2. Chapter 11 (Horngren)

Case     :   Baldwin Bicycle Company (AHM), p. 851

Sessions 9

Assessment of Performance – Overhead Variances

Reading :    Chapter 8 (Horngren)

Case     :    You and Ramesh (Booklet)

Sessions 10

Assessment of Performance –Introduction to Variances

Reading :    AHM Chapter 20

Case:  Sun Airboat Builders (AHM Case 20.1)

Session 11

Assessment of Performance – Output Variances

Reading :    Chapter 14 (Horngren), pp. 597-602

 

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