INTRODUCTION TO MANAGEMENT ACCOUNTING - Dr. D.Y. Patil Arts, Commerce .
Unit-1 INTRODUCTION TO MANAGEMENT ACCOUNTING Dr. Priti Dawande Department of Commerce Dr. D. Y. Patil Arts, Commerce & Science College, Pimpri, Pune-18
Introduction- Accounting is an ancient art as old as money itself; however the role of accounting has changing with economic and social developments. The traditional view of accounting as a historical description of financial activities is no longer acceptable. Accounting now is regarded as service activity the function of which is to provide quantitative information about economic activities.
Development of accounting -In India chanakya in his artha shastra had emphasized the existence and need of proper accounting and auditing. However modern system of accounting owes its origin to pacoili who lived in Italy in the 15th century. The advent of industrial revolution has resulted in large scale production, cut throat competition and widening of the market. This has resulted in decentralization of authority and control. Accounting today, therefore cannot be the same as it used to be about half a century ago. Changes in technology have also brought a remarkable change in the filed of accounting.
Accountancy is the art of communicating financial information about a business entity to users such as shareholders and managers. The communication is generally in the financial form statements that show in money terms the economic resources under the control of management; the art lies in selecting the information that is relevant to the user and is reliable.
1. 2. 3. Classification of accounts. Financial accounting Management accounting Cost accounting Financial accounting –According to the American institute of certified Public accountants “the art of recording , Classifying and summarizing in a significant manner and in terms of money transactions and events which are in part at least of a financial character and interpreting the results thereof” 1. 2. 3. 4. 5. Functions of Financial accounting – Recording Classification of data Summarizing Deals with Financial Transactions Interpreting Financial information
Limitations of Financial Accounting: 1. 2. 3. 4. 5. 6. Historical in nature Provides information about the concern as a whole Not helpful in price Fixation Only Actual costs are Recorded. Not Helpful in Taking Strategic Decisions. Chances of manipulation.
Cost accountingCosting is a specialized branch of accounting. In management Cost refers to expenditure and not the price. Costing is the technique and process of ascertaining costs. It consists of the principles and rules which are used for ascertaining the costs of products and services. 1. 2. 3. Objectives of cost Accounting. Analysis and Ascertainment of costs. Presentation of costs for Cost reduction and cost control Planning and Decision making
Importance and Advantages of cost accounting. 1. 2. 3. 4. Cost accounting as an aid to management Advantages to employees Advantages to creditors, investors and Bankers Advantages to the government and the society.
Management Accounting- The Term management Accounting Refers to accounting for the management I,e accounting which provides necessary information to the management for discharging its functions. The functions are planning , organizing ,directing and controlling of business operations. ICWAI published Glossary of management accounting terms Defining Management accounting as a “system of collection and presentations of relevant economic information relating to an enterprise for planning, controlling and decision making”.
1. 2. Charactersitics of Manangement accounting. Providing Accounting Information – The collection and classification of data is the primary function of accounting department.(I,e from cost and financial accounting).The information so collected is used by the management for taking policy decisions. Management Accounting is a service function and it provides necessary information to different levels of Mgt. Cause and effect analysis –Financial accounting is limited to the preparation of profits and loss A/c and finding out the ultimate result I,e Profit and loss .Management Accounting goes a step further. If there is a loss, the reasons for the loss are probed: if there is a profit the factors directly influencing the profitability are also studied. 3. Helps to take important decisions: - Which are operational based and strategic in nature. 4. Helps in achieving of objectives:- Management accounting helps in achieving organizational objectives. Historical data is used for formulating plans & setting up objective Actual performance is compared with the targeted figures and corrective action if necessary.
5 No fixed norms Followed –In financial Accounting Certain rules are followed for preparing Different accounting books. On the other hand no specific rules are followed in management accounting as there is scope for flexibility in their preparations and moreover outsiders have no access to them. 6 Increase in efficiency – Since Management accounting helps the management to take a decision about the future ,the efficiency can be achieved by setting up goals for each Department or section. The performance Appraisal will pin point efficient and inefficient spots. 7 Helps in co-ordination- Management accounting techniques of planning also helps in coordinating various business activities. Ex While Preparing budgets for various Departments like production ,sales , purchases etc there should be coordination among all the three depts. than contradiction.
1. Scope of Management accountingFinancial accounting –Management accounting is mainly concerned with the rearrangement of the information provided by financial accounting. Thus for an effective and successful management accounting there should be a proper and well designed financial accounting system. 2. Cost accounting – Many of the techniques of cost control like standard costing, budgetary control etc are used by management accounting 3. Budgeting and forecasting – This includes framing of budgets.in order to plan business activities for the future forecasting and budgeting play a very significant role. Comparison of actual performance with the budgeted performance ,computation of variances, finding their causes.
4. Inventory control- Inventory Control denotes raw materials, goods in the process of manufacture and finished products. Inventory control is significant as it involves large sums. The management should determine different levels of stock I,e minimum, maximum and reorder level. The control of inventory will help in controlling costs of products. Management accountant will guide management as to when and from where to purchase and how much to purchase. 5. Financial Management – Financial management is concerned with the planning and controlling of the financial resources of the firm. It deals with raising funds and their effective utilization. Reporting to management- One of the functions of management accountant is to report to the management. The reports are presented in the form of graphs, diagrams , statistical techniques. The reports may cover profit and loss statement, Cash and fund flow statement, Stock reports etc. The reports may be monthly, quarterly and half yearly. Cost control procedures – Any system of management accounting is incomplete with out effective cost control procedures like inventory control , labour control,budgetrary control etc. 6. 7.
8. Internal Audit – Management accountant heavily depends on internal financial controls like internal audit and internal check to plug the loop holes in the financial systems of the concern. Internal audit system is necessary to judge the performance of different individuals. 9. Tax accounting- Tax planning is an important part of management accounting . Income statements are prepared and liabilities are calculated. The management is informed about the tax burden from central, state and local governments. Tax returns are to filed with different departments. 10. Office services – Management accountant is expected to deal with data processing. filing. copying ,duplicating, communicating etc.
Differences Between Managment accounting and financial accounting The main points of discussion are discussed below Object Financial accounting is designed to supply information in the form of profit and loss a/c and balance sheet ( to find out the financial position)) to external parties like shareholders, creditors , banks , investors and government. Management accounting is essential to help management in formulating policies and plans which is internal. Analyzing performance – Financial accounting portrays the position of business as a whole. The financial statements like income statement and balance sheet report on overall performance of the business. On the other hand management accounting directs its attention to various divisions ,departments of the business and reports about the profitability, performance etc. of each of them.
Nature – Financial accounting is mainly concerned with the historical data. It records only those transactions which have already taken place. Management accounting deals with projection of data for the future and therefore it supplies data for the present and future duly analysed and in detail in the management language. Monetary Management – In Financial accounting only such economic events find place which can be described in money. However the management is equally interested in non monetary economic events viz technical innovations, personnel in the organization etc Precision – There is less emphasis on precision in case of management accounting. Where as in financial accounting only exact figures are taken to arrive at precision.
Reporting – Financial accounting reports are meant for outsiders like bankers , Investors , shareholders, govt agencies etc. Where as management accounting are meant for internal use only. Legal compulsion – Financial accounting has become compulsory for companies where as management accounting is not. End of Unit-1
Unit 2
Intro to Consolidations: Objectives 1. Recognize the benefits and limitations of consolidated financial statements. 2. Understand the requirements for inclusion of a subsidiary in consolidated financial statements. 3. Apply the consolidation concepts to parent company recording of the investment in a subsidiary at the date of acquisition. 4. Allocate the excess of the fair value over 3-19
Objectives (continued) 5. Learn the concept of noncontrolling interest when the parent company acquires less than 100% of the subsidiary's outstanding common stock. 6. Amortize the excess of the fair value over the book value in periods subsequent to the acquisition. 7. Prepare consolidated balance sheets subsequent to the date of acquisition, including preparation of elimination entries. Pearson Education, Inc. publishing as Prentice Hall 3-20
An Introduction to Consolidated Financial Statements 1: BENEFITS & LIMITATIONS Pearson Education, Inc. publishing as Prentice Hall 3-21
Business Acquisitions FASB Statement 141R Business combinations occur – Acquire controlling interest in voting stock – More than 50% – May have control through indirect ownership Consolidated financial statements – Primarily for owners & creditors of parent – Not for noncontrolling owners or subsidiary creditors Pearson Education, Inc. 3-22 publishing as Prentice Hall
An Introduction to Consolidated Financial Statements 2: SUBSIDIARIES Pearson Education, Inc. publishing as Prentice Hall 3-23
Who is a Subsidiary? ARB No. 51 allowed broad discretion FASB Statement No. 94 – Control based on share ownership FASB Statement No. 160 – Financial control Subsidiaries, or affiliates, continue as separate legal entities and reporting to their controlling and noncontrolling interests. Pearson Education, Inc. publishing as Prentice Hall 3-24
Consolidated Statements Prepared by the parent company Parent discloses – Consolidation policy, Reg. S-X – Exceptions to consolidation, temporary control and inability to obtain control Fiscal year end – Use parent's FYE, but – May include subsidiary statements with FYE within 3 months of parent's FYE. Pearson Education, Inc. 3-25 Disclose intervening material events publishing as Prentice Hall
An Introduction to Consolidated Financial Statements 3: PARENT COMPANY RECORDING Pearson Education, Inc. publishing as Prentice Hall 3-26
Penn Example: Acquisition Cost Fair Value Book Value Skelly BV FV Cash Other current assets Net plant assets Total Accounts payable Other liabilities Capital stock Retained earnings Total Pearson Education, Inc. publishing as Prentice Hall 10 15 40 65 15 10 30 10 65 Penn acquires 100% of Skelly for 40, which equals the book value and fair values of the net assets acquired. Cost of acquisition Less 100% book value Excess of cost over book value 40 40 0 To consolidate, eliminate Penn's Investment account and Skelly's capital stock and retained earnings. 3-27
Balance sheets Separate Consolidated Penn Skelly Penn & Sub. 20 10 30 Cash Other curr. assets 45 Net plant 60 Investment in Skelly 40 Total 165 Accounts payable 20 Other curr. liabilities 25 Capital stock 100 Retained earnings 20 Total 165 Pearson Education, Inc. publishing as Prentice Hall 3-28 15 40 0 60 100 0 65 15 10 30 190 35 35 100 10 65 20 190
An Introduction to Consolidated Financial Statements 4: ALLOCATIONS AT ACQUISITION DATE Pearson Education, Inc. publishing as Prentice Hall 3-29
Cost, Fair Value and Book Value Acquisition cost, fair values of identifiable net assets and book values may differ. – Allocate excess or deficiency of cost over book value and determine goodwill, if any. – When BV FV, excess is goodwill. Cost less BV Excess to allocate – Allocate first to FV-BV differences – Remainder is goodwill (or bargain purchase) Pearson Education, Inc. publishing as Prentice Hall 3-30
Balance Sheets After Acquisition In preparing a consolidated balance sheet – Eliminate the parent's Investment in Subsidiary – Eliminate the subsidiary's equity accounts (common stock, retained earnings, etc.) – Adjust asset and liability accounts for any unamortized excess balance – Record goodwill, if any – Record Noncontrolling Interest, if any Pearson Education, Inc. publishing as Prentice Hall 3-31
Key Balance Sheet Items Investment in Subsidiary does not exist on the consolidated balance sheet Equity on the consolidated balance sheet consists of the parent's equity plus the noncontrolling interest. Noncontrolling interest is proportional to the Investment in Subsidiary account when the equity method is used. 101 404 x .20/.80 Pearson Education, Inc. publishing as Prentice Hall 3-32
Unit 3
Liquidations Liquidations are administered by the bankruptcy courts. The intent in liquidation is to maximize the net dollar amount recovered from disposal of the debtor’s assets. Bankruptcy courts appoint accountants, attorneys, or experienced business managers as trustees to administer the liquidation. The liquidation process is often completed within 6 to 12 months, during which the trustees must make periodic reports to the 20-34
Classes of Creditors A very important aspect of liquidation is determining the legal rights of each creditor and establishing priorities for those rights. The Bankruptcy Code specifies three classes of creditors, whose claims have the following priorities: (1) secured creditors, (2) creditors with priority, and (3) unsecured creditors. The priority of claims determines the order and source of payment to each creditor. 20-35
Secured Creditors Secured creditors have liens, or security interests, on specific assets, often called “collateral.” A creditor with such a legal interest in a specific asset has the highest priority claim on that asset. For example, a mortgage payable is secured by the company’s land and plant. 20-36
Summary--Creditors with Priority Costs of administering the bankruptcy, including accounting and legal costs for experts appointed by the bankruptcy court. Liabilities arising in the ordinary course of business during the bankruptcy proceedings. Certain wages, salaries, or commissions. (limited to 10,000 per employee in the last 180 days) Certain contributions to employee benefit plans. (limited to the same 10,000 as above) Certain deposits of customers. (Limited to the first 1,800 per individual) Unsecured tax claims of government units. (Property, income, excise, etc.) 20-37
General Unsecured Creditors The lowest priority is given to claims by general unsecured creditors. These creditors are paid only after secured creditors and unsecured creditors with priority are satisfied to the extent of any legal limits. Often, the general unsecured creditors receive less than the full amount of their claim. 20-38
Statement of Affairs The accounting statement of affairs is the basic accounting report made at the beginning of the liquidation process to present the expected realizable amounts from disposal of the assets, the order of creditors’ claims, and the expected amount unsecured creditors will receive as a result of the liquidation. 20-39
Statement of Affairs The statement of affairs presents the balance sheet accounts in order of priority for liquidation. The statement of affairs presents estimated current fair values and expected gains or losses on the disposal of the assets. 20-40
Trustee Accounting and Reporting Bankruptcy courts appoint trustees to manage a company under Chapter 11 reorganizations in cases of management fraud, dishonesty, incompetence, or gross mismanagement. The trustee then attempts to rehabilitate the business. 20-41
Trustee Accounting and Reporting In Chapter 7 liquidations, the trustee normally has the responsibility to expeditiously liquidate the bankrupt company and pay creditors in conformity with the legal status of their secured or unsecured interests. 20-42
Receivership Sometimes the trustee receives title to all assets as a receivership, becomes responsible for the actual management of the debtor, and must direct a plan of reorganization or liquidation. A trustee who takes title to the debtor’s assets in a liquidation must make periodic financial reports to the bankruptcy court, reporting on the progress of the liquidation and on the fiduciary relationship held. 20-43
Statement of Realization and Liquidation A monthly report, called a statement of realization and liquidation, is prepared for the bankruptcy court. It shows the results of the trustee’s fiduciary actions beginning at the point the trustee accepts the debtor’s assets. The statement has three major sections: Assets Supplementary items Liabilities 20-44
Statement of Realization and Liquidation The statement presents the assets transferred to the trustee, the additional assets acquired by the trustee, and the ending balance of unrealized assets still to be converted into cash. The statement also reports on the debtor’s liabilities discharged by the trustee as well as the additional liabilities incurred by the trustee. Supplementary charges include the trustee’s administration fees and any cash expenses 20-45
Unit 4
Valuation of shares Need for valuation: 1. At the time of amalgamation. 2. When loan is granted on the security of shares. 3. When preference shares or debentures are converted into equity shares. 4. When equity shareholders are to be compensated on acquisition of their shares by the govt. under a scheme of nationalisation.
Factors affecting valuation of shares Nature of the business Demand and supply for shares Govt. policy Past performance of the company Growth prospectus of the company The management of the company The economic climate Accumulated reserves Prospects of bonus or rights issue
Methods for valuation Net assets basis (or intrinsic value) method Yield basis method Dual (or fair value) method
Net assets basis method 1. Net tangible assets basis (excluding goodwill) Under this method, net tangible assets are estimated in order to value the shares. Net tangible assets Assets – Liabilities Assets are taken at their actual values (market values) and not at book values. Fictitious assets like preliminary expenses are excluded. All the liabilities (whether in books or not) are deducted. Non trading assets are also included in the assets. Amount payable to preference shareholders is also deducted. value of share net tangible assets/no. of equity shares
2. Net assets (including goodwill) In this method, goodwill is included with other tangible assets for the valuation of shares. Goodwill is taken at its actual value which maybe equal to, more than or less than the book value. There maybe some value of goodwill even if it is not shown in the books. Example: Assests Rs.10,00,000 Liabilities Rs. 2,00,000 No. of shares 50,000 Value of share (10,00,000-2,00,000)/50,000
Yield method Following steps are taken for calculating the value of shares under this method: 1. Calculation of average expected future profits (profit available for equity shareholders). 2. Calculation of expected return. Expected return expected profits/equity share capital *100 3. Value of share Expected rate/normal rate *paid up value of one share
Example: 2000, 9% preference shares of Rs. 100 each: Rs. 2,00,000 50,000 equity shares of Rs. 10 each, Rs. 8 per share paid up: Rs. 4,00,000 Expected profit per year before tax: Rs. 2,18,000 Rate of tax: 40% Transfer to general reserve every year: 20% of profit Normal rate of earning: 15%
Solution: (i)Calculation of profit availability to equity shareholders: Rs. Expected profit before tax 2,18,000 Less: tax@40% 87,200 Profit after tax 1,30,800 Less: transfer to general reserve@20% 26,160 Profit after tax and transfer to general reserve 1,04,640 Less: preference dividend @9% on Rs. 2,00,000
(ii) Calculation of expected rate of earnings Expected rate profit available/ total paid-up equity share capital *100 86,640/4,00,000 *100 21.66% (iii) Calculation of value of an equity share Value per share- expected rate/ normal rate * paid up value of shares 21.66%/15.0% *Rs. 8 Rs. 11.55
Dual or fair value method It is simply a combination of the previous two methods. According to this method, Value of share net asset method value yield method value/2 For eg: Net asset method value: Rs. 10 Yield method value: Rs. 12 Fair value: Rs.10 Rs. 12/2 Rs. 11
VALUATION OF GOODWILL
A software company may have net assets (consisting primarily of miscellaneous equipment, and assuming no debt) valued at Rs 1crore, but the company's overall value (including brand, customers, intellectual capital) is valued at Rs 4 crore. Anybody buying that company would book Rs 4 crore in total assets acquired, comprising Rs1 crore physical assets, and Rs 3 crore in goodwill.
GOODWILL “Goodwill is nothing more than the probability that the old customer will resort to the old place.” -lord Eldon
When a man pays for goodwill, he pays for something which places him in the position of being able to earn more than he would be able to do by his own unaided efforts. Goodwill is, thus, present value of a firm’s anticipated super normal earnings.
FEATURES OF GOODWILL It is an intangible asset. It may be purchased or inherent in the business. It is capable of transfer from one person to another. Value of goodwill generally fluctuates from time to time. It can be sold only with entire business and not separately.
Elements of Goodwill Patents Franchises Customer lists Copyrights Organization cost Special location advantage
FACTORS DETERMINING THE VALUE OF GOODWILL LOCATION ADVANTAGE CAPITAL REQUIRED SKILL OF MANAGEMENT TRADE NAME PROFIT TREND QUALITY SPECIAL CONTRACT
METHOD OF VALUING GOODWILL Arbitrary Assessment Capitalization Method Purchase of Past Average Profit Super profit(i)Purchase of Super Profit (ii)Annuity Method (iii)Capitalization of Super Profit Method
ARBITRARY ASSESSMENT The valuation of goodwill is arrived at by making a valuation by one of the parties, vendor or purchaser to which the other agrees. If a company decide to purchase the business of another concern and it mutually agreed upon that the purchasing company will pay a specific amount for goodwill in lump sum. The amount so agreed upon is called an arbitrary assessment.
Example:X ltd. Purchases the business of Y ltd. And it is mutually agreed upon that X ltd. Will pay to Y ltd. a sum of Rs. 1 lac on account of goodwill. This is the case of arbitrary assessment of valuation of goodwill.
CAPITALISATION METHOD Following are the main steps to be taken in computing by this method – a. ascertain the average net profit which it is expected will be earned in future. b. capitalize this net profit at the rate which is considered a suitable return on capital invested in a business of the type under consideration c. find the value of the net tangible assets used in the business (assets less outside liabilities) d. deduct the net tangible assets from the capitalized profit obtained and the difference is goodwill
Example; If the company desirous of selling its business has earned average profits of Rs. 1,80,000 and the net tangible assets of the vendor company was Rs. 15,00,000 and it was considered that a reasonable return on capital invested was 10% Capitalised Profits 1,80,000 x 100 10 18,00,000 Net Tangible Assets 15,00,000 Goodwill Capitalised profit- Net Tangible Assets Rs.3,00,000
Purchase of Past Average Profit This method of valuing goodwill is commonly met with in practice and probably is the on most generally understood. it is calculated on the following basis: 1.profit for an agreed number of year preceding valuation are averaged so as to arrive at the average annual profit earned during that period (average may be simple or weighted). 2. The goodwill is then estimated to be worth so many year purchase of such average profit .The number of year selected is presumed to bear relation to the number of years benefit to be derived from past association. The value of goodwill is calculated by multiplying the adjusted annual purchase profit by the number of year of purchase.
Goodwill Average profits x Number of years purchase Example:Average profit 45000 40000 50000 47000 58000 48000 5 Goodwill Average profits x No. of years purchase Rs. 48000x3 Rs. 144000
WEIGHTED AVERAGE PROFITS METHOD Goodwill Weighted Average Profits x Number of Years Of Purchase
SUPER PROFIT It is the excess of the average profit over the normal profit based on normal rate of return for representative firm in the industry for computation of super profit , the following three factor are required: Normal rate of return-This is the rate of profit or return which an investor expects on his investment. Capital employed –it may be calculated on the basis of assets side items or liabilities side items. capital employed fixed assets trade investment current assets – debenture – current liabilities Normal profit – it is calculated by multiplying the normal rate of return with capital employed as the case may be.
PURCHASE OF SUPER PROFIT Super Profit Average Profit Normal Profit Goodwill Super profit x Of Years Of Purchase - No.
Goodwill Super Profits x Number of Years Purchase. Super profits Average Profits –Normal Profits. Normal profits Capital EmployedNormal rate of return/100
EXAMPLE; X Ltd. is running its business with a capital of Rs. 20,00,000.on the basis of previous records , it is expected that the company will earn Rs. 5,00,000 in future. The normal rate of return is 15%. The super normal profits of X Ltd. Will be calculated as; Profits expected in future RS.5,00,000 LESS: Normal profits [20,00,00 x15%] Rs.3,00,000 Super profits Rs.2,00,000 Goodwill 2,00,000 x 5 Rs.10,00,000
CAPITALISATION OF SUPER PROFIT METHOD Under this method, the value of goodwill is calculated by capitalizing the super profit at a normal rate of return. This method attempts to determine the amount of capital needed for earning super profit. Goodwill Average Super Profit x 100 Normal Rate Of Return
EXAMPLE: If super profit is Rs. 45,000, the normal rate of profit is 15%, the value of goodwill as per capitalisation of super profit will beGoodwill Super profit x 100 Normal rate of return 45000 x100 15
ANNUITY METHOD Under this method, the value of goodwill is calculated by finding the present worth of an annuity paying the super profit (per year) over the estimated period discounted at the appropriate rate of interest. The annuity method of calculation of goodwill is based on the present worth of an annuity of Re 1 for n years at r percent.
GOODWILL SUPER Profit X ANNUITY VALUE
EXAMPLE; The amount of super profits amounts to Rs. 2,00,000.A reference to annuity table shows that Re.1 paid annually for 5 years at 10% rate of interest is equal to Rs.3.78 immediately. Hence Goodwill Super profits x value of an annuity 2,00,000 x 3.78 Rs. 7,56,000
CONCLUSION “Just as cement binds together the bricks and other building material into walls, similarly goodwill binds together or unites the other assets and aspects of the business into cohesive whole.”
1. Financial accounting -Management accounting is mainly concerned with the rearrangement of the information provided by financial accounting. Thus for an effective and successful management accounting there should be a proper and well designed financial accounting system. 2. Cost accounting -Many of the techniques of cost control like standard
FINANCIAL ACCOUNTING : MEANING, NATURE AND ROLE OF ACCOUNTING STRUCTURE 1.0 Objective 1.1 Introduction 1.2 Origin and Growth of Accounting 1.3 Meaning of Accounting 1.4 Distinction between Book-Keeping and Accounting 1.5 Distinction between Accounting and Accountancy 1.6 Nature of Accounting 1.7 Objectives of Accounting 1.8 Users of Accounting Information 1.9 Branches of Accounting 1.10 Role .
Management Accounting is a modern tool to management. Management Accounting provides the techniques for interpretation of accounting data. Here, accounting should serve the needs of management. Management is concerned with decision-making. So, the role of management accounting is to facilitate the process of decision-making by the management.
Level 3 Accounting OVERVIEW – Course Information page ii General Overview NCEA Level 3 Accounting covers partnership accounting, company accounting, company annual report interpretation, cost accounting, management accounting and decision making. The Accounting Scholarship Standard is one standard with a focus on repo
Unit 1: Introduction to Cost Accounting Notes LOVELY PROFESSIONAL UNIVERSITY 1 Unit 1: Introduction to Cost Accounting CONTENTS Objectives Introduction 1.1 Meaning and Defi nition of Cost Accounting 1.2 Scope and Use of Cost Accounting 1.3 Relationship between Financial Accounting and Cost Accounting 1.4 Role of Cost Accounting in Decision Making
1 Introduction to management accounting 15 1.1 Setting the scene 16 1.1.1 Information needs - management and external users 16 1.1.2 Financial accounting and management accounting 17 1.1.3 Basic principles of accounting 18 1.1.4 The management accounting process 21 1.2 Understand the hospitality industry 22 1.2.1 The nature of the hospitality .
Accounting Policies, Changes in Accounting Estimates and Errors Objective 1 The objective of this Standard is to prescribe the criteria for selecting and changing accounting policies, together with the accounting treatment and disclosure of changes in accounting policies, changes in accounting estimates and
ACCT 2100 Principles of Accounting 3 Ph.D. Accounting Virginia Tech Yes ACCT 3131 Cost Accounting I 3 Yes Berrigan, Isabel M ACCT 3124 Governmental Accounting 3 M.S. Accounting - Auditing University of New Orleans No ACCT 2100 Principles of Accounting 3 M.S. Accounting University of New Orleans No ACCT 3
5 I. Academic Writing & Process . 2. 1 Prepare . 2. 1. 1 What is the assignment asking you to do? What kind of assignment is it? (E.g. essay, research report, case study, reflective
