Course description

Managerial Accounting


Managerial accounting is a fundamental course within the managerial accounting discipline. Focus is on generating and analysing information for decision making, planning and control for internal management within a company.

Course content

  • Purposes and role of management accounting
  • Budgeting
  • Cost concepts and categories
  • Cost behaviour and cost-volume-profit analysis
  • Opportunity cost
  • Job-order and process costing
  • Absorption costing and variable costing
  • Standard costing and variance analysis
  • Relevant costs for decision making
  • Pricing decisions and income analysis

Learning outcome knowledge

  • Students must be able to understand basic concepts within the management accounting discipline.
  • Students must understand and be familiar with the main budgeting reports:profit and loss, balance sheet and liquidity.
  • Be familiar with the purpose and role of management accounting.
  • Be familiar with important aspects of the cost concept, including different ways to group costs, and how cost analyses must be adapted to particular corporate decision problems.
  • Understand the opportunity cost concept and the importance of evaluating the total cost function.
  • Understand the principles of cost-volume-profit analysis.
  • Be able to allocate costs from budgets and financial reports to activities (departments) and between activities (departments).
  • Understand the use of standard costing and variance analysis.
  • Be familiar with the basic assumptions and weaknesses of traditional costing.
  • Be able to identify decision-relevant revenues and costs.
  • Understand the problems of transfer pricing, including how transfer prices can affect decision behaviour.
  • Understand how pricing decisions affect profitability

Exam organisation

  • Written exam: 100%