Objectives: ¬ To enable the students to understand the concept and relevance of Management Accounting. ¬ To provide the students an understanding about the use of accounting and costing data for planning, control, and decision making.
Module I Management Accounting: Nature and Scope - Difference between cost Accounting, Financial accounting and Management accounting - Recent trends in Management Reporting.
Module II Analysis and Interpretation of Financial Statements: Meaning - Types and Methods of Financial Analysis - Comparative Statements - Trend Analysis - Common size Statements (a general discussion only).
Module III Ratio Analysis: Meaning - Nature - uses and limitations of Ratios - Liquidity, Profitability, Turnover, Solvency, Leverage. Market test Ratios. Construction of Financial Statements from ratios - Judgment of financial stability through ratios - (Focus to be given to problems solving and Interpretation skills)
Module IV Fund Flow and Cash Flow Analysis: A. Fund Flow Statements: Meaning and concept of Fund - Current and Non Current Accounts Flow of fund - Preparation of Fund Flow statement - Uses and Significance. B. Cash Flow Statement: Difference between Fund flow Statement and Cash flow Statement - Preparation of Cash Flow Statement as per AS - 3 Norms - Direct and Indirect methods (Stress to be given to Problems).
Module-V
Managerial Decision making with the help of CVP Analysis : Marginal Costing - Fixed CostVariable Cost - Contribution - P/V Ratio - Break Even Analysis - Algebraic and Graphic
presentation - Decision making : Fixation of Selling Price - Exploring new markets - Make or
Buy - Key Factor - Product Mix - Operate or Shutdown