MANAGEMENT ACCOUNTING

Paper Code: 
BSG 611
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Outcomes (COs):

Course Outcomes

Learning and teaching strategies

Assessment Strategies

 
 

On completion of this course, the students will be able to:

CO 206: Analyse and understand the concept of Management Accounting and Working Capital Requirement.

CO 207: Develop skills in planning & arranging different type of Capital Structure in long Term and Short Term.

CO 208: Evaluatethe concept of Cash Flow Statement & Develop the skills of Preparing it under the guidance of Accounting Standards.

CO 209: Develop the skills among the students to analyse and interpret in the field of Standard Costing or Variance Analysis.

CO 210: Evaluate critically Management Accounting practice with the aim of improving the management accounting system by applying Activity Based Costing.

Explanations, Discussion, Project work.

 

 

 

Observation, Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

  

 

10.00
Unit I: 
Introduction:
 
• Meaning of Management Accounting, 
• Functions of Management Accounting 
• Difference between cost accounting and management accounting
 
Management of Working Capital: 
• Concepts and Significance,
• Factors affecting working capital requirements,
• Ascertainment of working capital requirements using Operating Cycle Method, 
• Net Current Assets or Forecasting Method, 
• Projected Balance Sheet Method, 
• Salient features of Tandon Committee and Chore Committee. 
• Ratios relating to working capital. 
• Case Study of working capital requirement for various industries.
9.00
Unit II: 
Capital Structure:
 
• Concept, factors affecting capital structure, 
• Theories of Capital Structure: Net Income Theory, Net Operating Income Theory, Traditional Theory, Modigliani Miller Theory,
• Modern theories of capital structure. 
• Capitalization: Concept, Theoretical aspect of Over Capitalization and Under Capitalization.
10.00
Unit III: 
Cash Flow Analysis:
 
• Introduction, Concept of Cash, 
• Use of Cash Flow Analysis, Construction of Cash Flow Statemen
11.00
Unit IV: 
Standard Costing and Variance Analysis:
 
• Meaning of standard cost and standard costing, advantage, limitations and applications,
• Variance Analysis Material, Labour, Overhead and Sales Variance
5.00
Unit V: 
Activity Based Costing:
 
• Concept, Nature or Characteristics, Elements, Process or Stages,
• Identification of Cost Drivers, Determination of Cost of each activity, 
• Assigning or Tracing Activity Cost to Products,
• Distinction between Activity Based Costing System and Traditional System, 
• Advantages and Limitations of Activity Based Costing System
Essential Readings: 
• Agrawal, & Agrawal Management Accounting Ramesh Book Depot 
• Khan & Jain Management Accounting Tata Mc Graw Hill 
• Agarwal, M.R,  Management Accounting Malik and Company 
 
 
References: 
 
• Singh  , S. K Management Accounting Sun India Publications 
• Chakraborty, H.  &  Chakraborty, S. Management Accounting Oxford University Press 
• Maheshwari , S.N Management Accounting and Financial AnalysisS.Chand& Sons 
• Vinayakkam, N. & Sinha, IB Management Accounting  Himalaya Publishing House 
• Kaplan, R.S& Atkinson , A.A .Advance Management Accounting Prentice Hall India New Delhi 
 
e RESOURCES: 
• http://www.e book.com.au/freebooks.html
 
JOURNALS:
• IUP Journal of Accounting Research
• Journal of Emerging Market Finance.
• IUP Journal Accounting Research and Audit Practices
 
Note:  The candidate shall be permitted to use battery operated pocket calculator that should not have more than 12 digits, 6 functions and 2 memories and should be noiseless and cordless.
 
 
 
 
 
 
 
 
 
 
Academic Year: 
2022-2023
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