Business Administration: Managerial Accounting

Introduction to use of accounting for planning, cost behavior, budgeting, analysis, and decision making. Prerequisites: BUS 1610 with a minimum grade of C-; ECON 1450 with a minimum grade of C-; Business Administration, Engineering Management, Dietetics, Nutrition and Food Sciences, Computer Science & Information Systems major, Business Administration, Accounting minor by permission; minimum Sophomore standing.

BSAD, 2BUS Co-Major, CSIS, EMGT and DNFS majors, ACCT and BSAD minors; Open to degree and PACE students. Minimum Sophomore standing. Prereqs enforced by the system: BUS 1610 and ECON 1450 with a minimum grade of C-.

This course surveys accounting for products/services and analytical tools for managerial decision making, planning, and control. Specific objectives include: identifying cost objects and classifying costs as direct or indirect with respect to cost objects chosen; computing manufacturing costs, cost of goods manufactured, cost of goods available for sale, and cost of goods sold; identifying when a product/service cost is reflected in the income statement; distinguishing between fixed and variable costs using various cost estimation methods; determining the activity level required for achieving a desired target profit; preparing various operating budgets; explaining how accounting information is used in subunit and managerial performance evaluations; and utilizing relevant information in short-term and long-term business decisions.

Class time will be devoted to a discussion of the outlines and examples contained in the Class Notes. The Class Notes will be available on Brightspace. You must print out the Class Notes so you can use them to take notes each class day. A textbook (TBD) will also be assigned as required reading. One week before classes begin I will email enrolled students information to purchase the text online. One hundred percent class attendance is expected and vital for student understanding.

Course performance is evaluated by three exams (25% each) and homework (25%). Grades follow a conventional 10-point scale with pluses and minuses given (e.g., 80 < B- < 83, 83 < B < 87, 87 < B+ < 90). Exam grades may be “curved” using the distribution of class scores.