Module Title:Advanced Management Accounting
Language of Instruction:English
Credits: 10
NFQ Level:8
Module Delivered In 3 programme(s)
Teaching & Learning Strategies: Lectures - communication of knowledge and ideas from the lecturer to the student. Problem Solving Exercises - student will work as part of a team and will work together to resolve various business scenarios. Class Discussion/Debate - Students will be encouraged to actively participate in the class sessions which will develop their analytical and communication skills. E-Learning - This module is supported with on-line learning materials. Self-Direct Independent Learning - the emphasis on independent learning will develop a strong and autonomous work and learning practices.
Module Aim: •Advanced Management Accounting builds on the techniques learned in Management Accounting, and covers cost accounting, divisional performance appraisal, budgeting, budgetary control and decision making. •The aim of this module is to develop student’s ability to apply management accounting techniques to the modern business environment and will develop analytical skills and the ability to make judgments and recommendations in a range of management accounting situations. •The depth and breadth of module content and assessment are designed to gain maximum exemptions from professional accountancy bodies, appropriate to a B.A. (Honours) in Accounting program.
Learning Outcomes
On successful completion of this module the learner should be able to:
LO1 Define and explain the key terms, concepts and practices for cost accounting, divisional performance appraisal, budgeting, budgetary control and decision making.
LO2 Identify and apply appropriate management accounting techniques when presented with defined and undefined practical business problems;
LO3 Analyse and interpret results and outcomes within a management accounting framework and make recommendations.
LO4 Critically examine the tools and techniques that are used in the area of management accounting.
Pre-requisite learning
Module Recommendations

This is prior learning (or a practical skill) that is recommended before enrolment in this module.

No recommendations listed
Incompatible Modules
These are modules which have learning outcomes that are too similar to the learning outcomes of this module.
No incompatible modules listed
Co-requisite Modules
No Co-requisite modules listed
Requirements
This is prior learning (or a practical skill) that is mandatory before enrolment in this module is allowed.
Management Accounting
 

Module Content & Assessment

Indicative Content
Introduction to Advanced Management Accounting
•Major themes in advanced management accounting.
Relevant Costs and Revenue in Decision Making
•The decision process •Selecting relevant data •Applying relevant costs in typical short run decisions •Qualitative factors in decision making
Pricing Decisions and Customer Profitability Analysis
•Factors in pricing •Cost plus pricing, demand based pricing and target costing •Tactical and strategic pricing approaches •Customer profitability analysis.
Decision Making Under Conditions of Risk and Uncertainty
•The decision makers attitude to risk •Techniques for analysing risk, conservative estimates, maxi-min, maxi-max, sensitivity analysis, probability distributions & expected value, standard deviation & co-efficient of variation, decision trees, Monte-Carlo simulation. •Risk management including the value of perfect information.
Capital Investment Decisions
•Traditional techniques, accounting rate of return and payback •Discounted cash flow (DCF) techniques, net present value (NPV), internal rate of return(IRR), profitability index(PI) and discounted payback •Compare and contrast techniques •Role of taxation and inflation in DCF techniques •Evaluate mutually exclusive projects with unequal lives and capital rationing situations. •Uncertainty in capital investment decisions
Divisional Performance Appraisal and Transfer Pricing
•Functional and divisional structures •Cost centres, profit centres and investment centres. •Return on investment (ROI/ROCE) and residual income (RI). Calculations and behavioural considerations. •Transfer pricing objectives. Cost based, market based and negotiated. Calculations and behavioural considerations.
Budgeting
•Review budget procedures and preparation •Different approached to cost estimation. Linear regression analysis using high-low, scatter-graph and least squares methods. Multiple regression analysis. Learning curve. •Optimal use of scarce resources. Contribution per unit of limiting factor and linear programming techniques. •Behavioural aspects of budgeting
Budgetary Control
•Review basic variance analysis •Advanced variance analysis. Material mix and yield, sales mix and quantity, market size and share, planning and operating variances, fixed overhead capacity and efficiency. Changing raw material stock levels. Learning curve situations. •Standard cost bookkeeping. •Interpretation and investigation of variances.
Current Developments in Management Accounting
•The historical development of management accounting. •The changing role of the Management Accountant in a modern business environment. •Recent developments in management accounting thinking and practice, including enterprise resource planning (ERP), materials requirement planning (MRP), activity based cost management (ABCM), the standard costing debate, quality reporting, kaizen costing, throughput accounting, benchmarking, life cycle costing, beyond budgeting, environmental costing, and the balanced score card.
Assessment Breakdown%
Continuous Assessment30.00%
End of Module Formal Examination70.00%
Continuous Assessment
Assessment Type Assessment Description Outcome addressed % of total Assessment Date
Examination Class Test / Case Study / Open Book Examination / Project / Essay 1,2,3,4 10.00 Week 6
Examination Class Test / Case Study / Open Book Examination / Project / Essay 1,2,3,4 10.00 Week 12
Examination Class Test / Case Study / Open Book Examination / Project / Essay 1,2,3,4 10.00 Week 24
No Project
No Practical
End of Module Formal Examination
Assessment Type Assessment Description Outcome addressed % of total Assessment Date
Formal Exam End-of-Semester Final Examination 1,2,3,4 70.00 End-of-Semester

ITCarlow reserves the right to alter the nature and timings of assessment

 

Module Workload

Workload: Full Time
Workload Type Frequency Average Weekly Learner Workload
Lecture Every Week 3.00
Independent Learning Every Week 4.00
Total Hours 7.00
Workload: Part Time
Workload Type Frequency Average Weekly Learner Workload
Lecture Every Week 1.50
Independent Learning Time Every Week 4.50
Total Hours 6.00
 

Module Delivered In

Programme Code Programme Semester Delivery
CW_BBACT_B Bachelor of Arts (Honours) in Accounting 3 Mandatory
CW_BBACF_B Bachelor of Business (Honours) in Accounting & Finance 4 Mandatory
CW_BBACF_B_OLD2 Bachelor of Business (Honours) in Accounting & Finance - Add on 4 Mandatory