ØABED3100 Applied Management Accounting Emneplan

This course is an in-depth study of applied management accounting focusing on its role in decision-making processes, strategy planning and execution embracing stakeholders’ expectations to enhance corporate economic, ethical, social, and environmental performance.

The course will assume that students are familiar with basic concepts of strategy, financial accounting and cost and management accounting.

No prerequisites.

On successful completion of this course, the students:

Knowledge

1. Have knowledge of the principles of management accounting.
2. Have knowledge of emerging economic, ethical, social, and environmental issues in strategic management accounting.
3. Have knowledge of how management accounting supports decision-making and strategy in different types of businesses.
4. Have knowledge of different processes and methods of planning and control for strategic performance management embracing stakeholders’ expectations.

Skills

1. Can describe and contextualize the principles of management accounting.
2. Can apply critical thinking, communication, and practice collaboration to strategic management accounting problems.
3. Can identify the short-term versus long-term trade-offs in simultaneously responding to economic, governance, ethical, social, and environmental issues involved in business decision making.
4. Can make informed decisions in strategic and ambiguous situations by acquiring, analyzing, and presenting information based on management accounting.

General competence

1. Are aware of the development in corporate sustainability (ESG) drive.
2. Can rationalize and contextualize corporate decisions to enhance firm value by embracing stakeholders’ expectations.
3. Can exchange views on economic, ethical, social, and environmental implications of corporate decision making.

• Income effects of alternative cost accumulation systems

• Quantitative models for cost estimation and cost behavior

• Cost-volume-profit analysis 

• Profitability analysis for:

  • Product mix decisions

  • Outsourcing decisions

  • Replacement decisions

  • Discontinuation decisions

  • Cost-volume-profit analysis 

• Decision making under risk and uncertainty

• Capital investment decisions

• Variance analysis for performance management

• Divisional performance analysis

• Emerging economic, ethical, social, and environmental issues in strategic management accounting and value creation. 

This course is delivered by way of lectures and uses MS Excel to analyze for corporate decision making. For this purpose, this course uses case study method to apply the concepts of the cost and management accounting to enhance corporate economic performance. The students are encouraged to work in groups wherein Peer Assisted Learning (PAL) helps in lifelong learning. While writing the case report, the students are encouraged to reflect upon governance, ethical, social, and environmental implications of their decisions for strategy planning and execution embracing stakeholders’ expectations to enhance corporate economic performance.

None

The grading is based on two components: 1. Obligatory assignment; 2. Written examination. 

The obligatory assignment counts 25% of the final grade. This assignment is to be carried out in groups of 2-3 students. However, in some special cases a student may be allowed to work individually. The teacher will give information regarding the deadline for handing in the assignment. Failing to hand-in the assignment within deadline will disqualify the group of the students (or the student as the case may be) to take the written examination.

The four-hour written examination at the end of the term counts 75% towards the final grade.

The final grade is based on weighted average of the obtained grades of the two components i.e., 25% for assignment + 75% for written exam. To get an overall grade, it is mandatory for the students to pass both the components i.e., assignment and written examination.   

The students who wish to write the examination later, or the students who want to re-write the examination are not required to do the assignment afresh. Their obtained grade of the assignment shall count towards their final grade. 

A list of reference aids allowed will be published on our website.

Letter grading A-F.

The course instructor will grade the assignment.

The exam papers will be assessed by an internal and an external examiner.  A selection of at least 25% of the exam papers will be assessed by two examiners. The grades awarded to exam papers assessed by the external and internal examiner will be used to determine the grading level of all exam papers.

The overall/final grade of the course will be based on a weighted average of the assignment and the written examination.

Muhammad Azeem Qureshi