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JOHN CABOT UNIVERSITY

COURSE CODE: "FIN 202-1"
COURSE NAME: "Managerial Accounting"
SEMESTER & YEAR: Fall 2015
SYLLABUS

INSTRUCTOR: Silvia Pulino
EMAIL: [email protected]
HOURS: TTH 3:00 PM 4:15 PM
TOTAL NO. OF CONTACT HOURS: 45
CREDITS: 3
PREREQUISITES: Prerequisite: FIN 201
OFFICE HOURS: By appointment

COURSE DESCRIPTION:
This course focuses on the role of accounting in the management process and where accounting can provide critical support to management decision making. Cost-volume relations are introduced, along with identification of costs relevant to management decisions. Process costing and job costing systems, the development of a master plan, preparation of flexible budgets and responsibility accounting are covered, and the influences of quantitative techniques on managerial accounting are introduced.
SUMMARY OF COURSE CONTENT:

Review of Financial Accounting (Recording Business Transactions, The Adjusting Process, Completing the Accounting Cycle, Merchandising Operations, Merchandise Inventory, The Balance Sheet). The Statement of Cash Flows. Financial Statement Analysis. Job Costing. Process Costing. Activity-Based Costing and Other Cost Management Tools. Cost-Volume-Profit Analysis. The Master Budget and Responsibility Accounting. Flexible Budgets and Standard Costs. Short-Term  Business Decisions. Capital Investment Decisions and Time Value of Money.

LEARNING OUTCOMES:

Students having successfully completed the course should be able to:

  • Prepare and interpret simple financial statements (income statement, balance sheet and statement of cash flows)
  • Distinguish financial accounting from managerial accounting
  • Identify trends in the business environment and use cost-benefit analysis to make business decisions
  • Identify ethical issues in managerial accounting decisions
  • Distinguish between job costing and process costing and use each method as appropriate to determine cost of goods sold
  • Use cost-volume-profit analysis to compute breakeven points and to perform sensitivity analyses
  • Prepare operating and financial budgets and use sensitivity analysis in budgeting
  • Prepare a flexible budget and use it to show why actual results differ from the static budget
  • Use activity-based management (ABM) to make business decisions
  • Appropriately use payback, accounting rate of return and discounted cash flow models to make short- and long-term capital budgeting decisions
TEXTBOOK:
Book TitleAuthorPublisherISBN numberLibrary Call NumberCommentsFormatLocal BookstoreOnline Purchase
Accounting, 8th editionHorngren, Harrison, OliverPrentice Hall978-0-13-609342-8 Students may use any standard Managerial Accounting textbook as long as it contains all the topics covered during the course. One copy of the recommended textbook is on reserve in the Library. ADDITIONAL REQUIREMENT A financial calculator is required for exams. Other computing devices (such as laptops or smart phones) that can access the Internet will not be allowed during tests and the final exam. Students are advised to get a financial calculator early on in the course, so they have time to learn how to use it and feel familiar with it.   
REQUIRED RESERVED READING:
NONE

RECOMMENDED RESERVED READING:
NONE
GRADING POLICY
-ASSESSMENT METHODS:
AssignmentGuidelinesWeight
Class preparation and participation The class participation grade will reflect preparation, attendance and quality and frequency of participation. Class preparation will require students to read all the assigned material and, at the end of each unit, to practice problems at home for further discussion in class. Class participation will help students understand the material better and build confidence in public speaking. In each class, I will ask a student to make a brief presentation of the material s/he prepared, but all students are encouraged to participate in almost every class at least once and if possible more than once, actively engaging in the debate. The instructor may also indicate university open lectures that are relevant to the course; students are expected to attend such lectures (unless there is a scheduling clash with another course) as part of their class participation activities. Assignments and deadlines will be posted on Moodle. Students are required to sign up and keep up to date with all Moodle postings for the course.13%
Term Paper – Financial Statement Analysis Students will be required to conduct a financial statement analysis of a company using company reports and other market data. The analysis will include industry assessment (key trends, structural risks/weaknesses, opportunities), competition (strengths and weaknesses, positioning, strategy), Company analysis (strategy, positioning, strengths, weaknesses, opportunities and threats) and ratio analysis. The project is designed as a stretch assignment to enable students to apply what they have learnt to a real-life situation, and to give them a glimpse of how the skills they are acquiring may be used in the job market. Guidelines for the submission will be provided in Moodle. 20%
The Master BudgetStudents will be working in the Computer Lab to prepare a full set of Budgeted Financial Statements for a company. At the end of the three-day period, students will submit the resulting spreadsheet. In addition to learning about budgeting, the exercise is intended as practice in developing and presenting a simple Excel model. The spreadsheet will be evaluated on the basis of accuracy, strength of the model, and presentation. Guidelines for the submission will be provided in Moodle.20%
Topic Mini-Tests (9 in total)At the conclusion of each topic there will be a one-question, 15 minute test in class. The test will consist of one problem selected from the relevant chapter in the textbook or from the Problems Workbook provided by the instructor. This portion of the grade will consist of the simple average of these tests. The dates of the tests will be posted on Moodle. A missed test will count as zero; there will be no make-up for the tests.3% each, for a total of 27%
Comprehensive Final ExaminationThe final examination is comprehensive and will test students on all the topics covered throughout the course. The exam will require the use of a financial calculator.20%

-ASSESSMENT CRITERIA:
AWork of this quality directly addresses the question or problem raised and provides a coherent argument displaying an extensive knowledge of relevant information or content. This type of work demonstrates the ability to critically evaluate concepts and theory and has an element of novelty and originality. There is clear evidence of a significant amount of reading beyond that required for the cour
BThis is highly competent level of performance and directly addresses the question or problem raised.There is a demonstration of some ability to critically evaluatetheory and concepts and relate them to practice. Discussions reflect the student’s own arguments and are not simply a repetition of standard lecture andreference material. The work does not suffer from any major errors or omissions and provides evidence of reading beyond the required assignments.
CThis is an acceptable level of performance and provides answers that are clear but limited, reflecting the information offered in the lectures and reference readings.
DThis level of performances demonstrates that the student lacks a coherent grasp of the material.Important information is omitted and irrelevant points included.In effect, the student has barely done enough to persuade the instructor that s/he should not fail.
FThis work fails to show any knowledge or understanding of the issues raised in the question. Most of the material in the answer is irrelevant.

-ATTENDANCE REQUIREMENTS:

Students are expected to come to class and to arrive on time.

Absences: students are allowed up to 3 absences during the semester.

Tardiness: students arriving more than 5 minutes late for class will be marked as absence (though they may stay and follow the lesson).

Persistent absence or tardiness usually precludes satisfactory performance in the course, and will result in a lower class participation grade. In any case, students are responsible for all material covered by the syllabus and/or discussed in class, whether or not they are actually present.

ACADEMIC HONESTY
As stated in the university catalog, any student who commits an act of academic dishonesty will receive a failing grade on the work in which the dishonesty occurred. In addition, acts of academic dishonesty, irrespective of the weight of the assignment, may result in the student receiving a failing grade in the course. Instances of academic dishonesty will be reported to the Dean of Academic Affairs. A student who is reported twice for academic dishonesty is subject to summary dismissal from the University. In such a case, the Academic Council will then make a recommendation to the President, who will make the final decision.
STUDENTS WITH LEARNING OR OTHER DISABILITIES
John Cabot University does not discriminate on the basis of disability or handicap. Students with approved accommodations must inform their professors at the beginning of the term. Please see the website for the complete policy.

SCHEDULE

SCHEDULE AND ASSIGNMENTS

The following schedule is tentative and subject to change.  The up-to-date schedule and assignments will be posted on Moodle.

Class

 

Date

Topic

Activities

 

Assignments

 

PART I – REVIEW OF FUNDAMENTALS

1

Introduction and review of Financial Accounting

Assessment test (ungraded)

 

 

 

2

Statement of Cash Flows

 

 

 

 

3

Statement of Cash Flows

 

 

 

 

4

Financial Statement Analysis

 

 

 

 

5

Financial Statement Analysis

Mini-test on Statement of Cash Flows

 

 

 

PART II – COSTING METHODS

6

Job Costing

 

 

 

 

7

Job Costing

Mini-test on Financial Statement Analysis

 

 

 

8

Process Costing

 

 

 

 

9

Process Costing

 

 

 

 

10

Activity Based Costing

Mini-test on Job Costing

Mini-test on Process Costing

 

 

 

11

Activity Based Costing

 

 

 

 

12

Activity Based Costing

 

 

 

 

13

Cost-volume-profit analysis

 

 

 

 

14

Cost-volume-profit analysis

Mini-test on Activity Based Costing

 

 

 

PART III – FINANCIAL PLANNING

15

The Master Budget

 

 

 

 

16

The Master Budget

Mini-test on Cost-volume-profit analysis

 

 

 

17

The Master Budget

 

 

 

 

18

Flexible Budgets

Flexible Budget Spreadsheet due

 

 

 

19

Flexible Budgets

 

 

 

 

20

Flexible Budgets

 

 

 

 

PART VI – OTHER STRATEGIC ISSUES

21

Short-term business decisions

 

 

 

 

22

Short-term business decisions

Mini-test on Flexible Budgets

 

 

 

23

Short-term business decisions

 

 

 

 

24

Capital Budgeting and Time Value of Money

Mini-test on Short-term business decisions

 

 

 

25

Capital Budgeting and Time Value of Money

 

 

 

 

26

Capital Budgeting and Time Value of Money

 

 

 

 

27

Term Paper presentations

Mini-test on Capital Budgeting and Time Value of Money

 

 

 

28

Term Paper presentations

 

 

 

 

 

 

TBD

FINAL EXAM