The course is an extension to management accounting in the area of business which develops the financial and non-financial information necessary to effectively manage the firm or organization. Management accounting is in transition moving from a procedural focus on financial accounting reports to a strategic focus on the use of accounting to facilitate the business success of the enterprise. The concepts of management accounting are used in both manufacturing and service firms, and are increasingly applied to government and not-for-profit organizations, to help them succeed in their service missions, to be responsible to the citizens and funding agencies. A principal motivation for the change in management accounting is the changes in business processes and organizations in response to increased competition, both global and domestic. These changes include a renewed focus on the customer, aggressive cost reduction, outsourcing, downsizing and reengineering, total quality management, advanced manufacturing technologies, and increased use of information technologies, among others. The management accountant is no longer a reporter and analyzer of financial facts only, but a business partner -developing the financial and non-financial information the organization needs to be successful. As such, the management accountant plays a strategic role in the business, developing and presenting the information that is critical for the firm’s success.

CILO-1: Identify the investment appraisal techniques. CILO-2: Explain the significance of risk and uncertainty. CILO-3: Examine standard costing in the operation process of an organization. CILO-4: Solve multi-product break-even analysis. CILO-5: Demonstrate the use of transfer pricing.