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-.

A small business specializing in handmade furniture needs to understand how changes in the price of wood impact its production costs and profitability. A sporting goods manufacturer is considering adding a new product line and needs to determine how it will affect its profit margin. An automobile manufacturer needs to gauge product demand and decide whether to invest in building another plant. Amazon Web Services (AWS), a cloud storage provider, needs to know how future technology costs will affect price and overall profitability. Managerial accounting is the field of accounting aimed at providing managers with financial information to help them make decisions, such as those depicted in the above scenarios…and more. It involves product costing and cost behaviors, budgeting and profit planning, cost control, capital budgeting decisions, and statement analysis. It examines the financial "insides" of a business organization to understand the essential components for effective decision making.

By the end of this course, I am hoping that you can: 1) Recognize the importance of managerial accounting in an organization. 2) Develop an understanding of managerial accounting concepts. 3) Apply product costing methods and examine cost behaviors. 4) Analyze financial statements and reports to provide internal decision makers with information to make effective decisions. 5) Prepare budgets to forecast financial information and trends. 6) Use capital budgeting tools to choose among various projects and find the one(s) that will maximize a company's return on its financial investment.

4 tests (each 25% of the grade)