Module Code: H9MA
Long Title Management Accounting
Title Management Accounting
Module Level: LEVEL 9
EQF Level: 7
EHEA Level: Second Cycle
Credits: 5
Module Coordinator: Anne Cooper
Module Author: Andrea Del Campo Dugova
Departments: School of Business
Specifications of the qualifications and experience required of staff

The lecturer of this module is required to have a Level 9 qualification in Accounting or a cognate discipline, relevant industry experience, as well as a track record of teaching in a higher institution.
Learning Outcomes
On successful completion of this module the learner will be able to:
# Learning Outcome Description
LO1 LO1 Critically reflect on the purpose and scope of management accounting, distinguishing between management accounting and financial accounting
LO2 LO2 Identify core cost terms and concept, and appraise the purpose of cost information
LO3 LO3 Evaluate the concept of cost volume profit analysis and its business implications in both a single-product setting and a multi-product setting
LO4 LO4 Critically evaluate costing methods and systems used in organisations
LO5 LO5 Apply management accounting techniques of budgeting and standard costing to a wide range of planning and control situations
Dependencies
Module Recommendations

This is prior learning (or a practical skill) that is required before enrolment on this module. While the prior learning is expressed as named NCI module(s) it also allows for learning (in another module or modules) which is equivalent to the learning specified in the named module(s).
No recommendations listed
Co-requisite Modules
No Co-requisite modules listed
Entry requirements

There are no additional entry requirements for this module.  The programme entry requirements apply.  No pre-requisites or co-requisites apply.   
 

Module Content & Assessment

Indicative Content
Introduction to Management Accounting. (5%)
The purpose and scope of management accounting which involves covering the characteristics of management accounting and understanding its relationship to financial accounting (including what differentiates it from financial accounting). Explain the differences between strategic, tactical and operational planning and the role of management accounting at each level. Identify and explain both internal and external sources of management accounting and explain the significance of management accounting information on planning, control and decision making.
Cost Accumulation Systems. (30%)
Explain, illustrate and apply cost classification distinguishing between production (materials, labour and production related overheads) and non-production (administration, distribution, sales & marketing, research & development and finance). Allocation, apportionment and absorption of overheads, calculate overhead absorption rates. Prepare profit statements under absorption and marginal costing techniques, including reconciliations between absorption and marginal costing profit statements. Job and batch costing methods, Contract costing, Process costing, Marginal costing and Cost Volume Profit Analysis (both Single & Multi – Product).
Activity Based Costing (ABC) Systems. (10%)
Principles underlying ABC, assigning overheads to products. Prepare profit statements under ABC and compare to traditional method of absorption costing. Understand the benefits and limitations of ABC.
Planning and Control: The Budget Process. (20%)
Understanding master and functional budgets (sales, production, purchases and overhead budgets). Budgeted Income Statements and Statements of Financial Position, their inter-relationships and links to functional budgets. Budgeting approaches – incremental, zero based , fixed, rolling and flexible budgets.
Planning and Control: Standard Costing and Variance Analysis. (15%)
Understanding the objectives of establishing the standard cost of a product or service. Prepare and calculate the standard cost per unit from information provided. Calculate, explain and interpret the following basic variances, Sales (price and volume variances), Materials (price and usage variances), Labour (rate and efficiency variances), Variable Overhead (expenditure and efficiency variances), Fixed Overhead (expenditure and volume). Identify and explain possible causes of the variances, the relationship between variances and discuss the factors which should be taken into account when considering investigation and recommend correction actions to eliminate/significantly reduce the variance. Prepare reconciliation statements to show the reconciliation of budgeted profit to actual profit under both absorption and marginal costing.
Management Accounting Information for Decision Making. (20%)
Understanding relevant costing, limiting factors and scarce resources. Management accounting information for pricing decisions, product continuation/discontinuation decisions; and make or buy decisions.
Assessment Breakdown%
Coursework30.00%
End of Module Assessment70.00%

Assessments

Blended

Coursework
Assessment Type: Continuous Assessment % of total: 30
Assessment Date: n/a Outcome addressed: 1,2,3
Non-Marked: No
Assessment Description:
Candidates are required to complete one in-class examination. The in-class examination will be worth 30%.
End of Module Assessment
Assessment Type: Terminal Exam % of total: 70
Assessment Date: End-of-Semester Outcome addressed: 2,3,4,5
Non-Marked: No
Assessment Description:
Final Examination (70%) will be 3 hours in duration and will contain a compulsory 50 mark question. Students must also answer 2 other questions. The examination will include computational and written elements.
No Workplace Assessment
Reassessment Requirement
Repeat examination
Reassessment of this module will consist of a repeat examination. It is possible that there will also be a requirement to be reassessed in a coursework element.
Reassessment Description
Reassessment of this module will consist of a repeat examination. It is possible that there will also be a requirement to be reassessed in a coursework element.

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

 

Module Workload

Module Target Workload Hours 0 Hours
Workload: Blended
Workload Type Workload Description Hours Frequency Average Weekly Learner Workload
Lecture Classroom and demonstrations 36 Per Semester 3.00
Independent Learning Independent Learning 89 Per Semester 7.42
Total Weekly Contact Hours 3.00
 

Module Resources

Recommended Book Resources
  • Colin Drury. (2020), Management and Cost Accounting, 11th Ed. Cengage Learning.
  • Gail Sheppard. Management Accounting, Latest edition. Gill & Macmillan Ltd..
Supplementary Book Resources
  • Peter C. Brewer, Ray H. Garrison, Eric W. Noreen. Introduction to Managerial Accounting, Intl 5th. Irwin Professional Publications.
This module does not have any article/paper resources
Other Resources
  • [Websites], As advised during class and provided by a link on Moodle under each relevant topic..
Discussion Note: