Introduction to Management Accounting – Relationship between Management Accounting and Cost Accounting
2. Decision-Making Tools:
Marginal Costing : Break Even Analysis and cost-volume-profit analysis; break-even charts and profit charts; differential cost analysis; stock valuation under marginal costing vs. absorption costing; applications of marginal costing in decision making
Transfer Pricing – Determination of Inter-departmental or Inter-company Transfer Price
3. Budgeting and Budgetary Control:
Budgetary Control and Preparation of Functional and Master Budgeting
Fixed, Variable, Semi-Variable Budgets
Zero Based Budgeting (ZBB)
4. Standard Costing & Variance Analysis:
Computation of variances for each of the elements of costs, Sales Variances, Investigation of variances – Valuation of Stock under Standard Costing – Uniform Costing and Inter-firm comparison
Working Capital Management – Financing of Working Capital
9. Cost of Capital, Capital Structure Theories, Dividend Decisions and Leverage Analysis:
Meaning of Cost of Capital – Computation of Cost of Capital – Capital Structure Theories and Dividend Decisions Theories (Walters – MM – Gordon Models) – Leverage Analysis
10. Capital Budgeting – Investment Decisions:
Concept of Capital Budgeting – Non-Discounted and Discounted Cash Flow Method – Ranking of Projects.