Semester: II Course: Management Accounting Faculty: Dr.

Mobin
Shaikh

Gujarat National
Law University
Gandhinagar, Gujarat (India)

Course Outline

of

MANAGEMENT ACCOUNTING

For

(B.Com. LL.B. & B.B.A. LL.B.)

Semester: II

Session: (January – June 2020)

Faculty:
Dr. Mobin Shaikh
Assistant Professor of Management
Gujarat National Law University
E-Mail: mshaikh@gnlu.ac.in
Mob: 081286 57561

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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh
Sl. No. Contents Page No.
1.0 Objectives of the course 2
2.0 Proposed teaching schedule 3
3.0 Detailed course-outline 3-5
4.0 Prescribed/Recommended readings 5-6
5.0 Teaching methodology 6
6.0 Evaluation pattern 6
7.0 Tentative dates for test/submission of project/GD, etc. 6
8.0 Important instructions to students 7
9.0 Contact hours 7

1.0 Objectives of the Course

 
The course intends to equip the students with the ability to apply managerial accounting and cost
concepts in business as well as professional decision making. At the end of the course, the
students are expected to have learnt methods, techniques and application of cost and management
accounting information for the formation of policies and in the planning and control of the
operations of the organization/s.

The course covers the topics on nature of management accounting, financial statement analysis,
cost accumulation, cost control, decision making techniques and tools etc.

The completion of the course will help the students:

(a) To gain comprehensive knowledge of analysis of accounting and non-accounting
information.
(b) To learn concepts, techniques and tools of management accounting.
(c) To use accounting information for planning, control and decision making.
(d) To gain working knowledge of application of accounting information for decision making
both about a firm as well as by a firm.
(e) To gain working knowledge of specific provisions, their underlying philosophy and their
application to different practical situations.

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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh

2.0 Proposed Teaching Schedule:

No. Modules No. of Sessions

II.6.1 Nature of management accounting 03
II.6.2 Understanding corporate financial statements and reports 03
II.6.3 Financial statement analysis 12
II.6.4 Cost accumulation: methods, tools and techniques 20
II.6.5 Profit planning and cost control 09
II.6.6 Decision making : tools and techniques 06
II.6.7 Recent developments in management accounting 02
Total 55

3.0 Detailed Course Outline

MANAGEMENT ACCOUNTING

Module-II.6.1 Nature of management accounting 03 Sessions

 Introduction
 Branches of accounting
 Nature and scope of management accounting
 Objectives and functions of management accounting
 Advantages and limitations
 Setting management accounting system

Module- II.6.2 Understanding corporate financial statements and reports 03

Sessions
 Provisions of the Companies Act, 2013 w.r.t. financial statements and reports
 IFRS converged accounting standards relating to reporting
 Transparency and accountability : The Companies Act, 2013 (Provisions w.r.t to reporting)
Module- II.6.3 Financial statement analysis 12
Sessions

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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh
 Analysis of cash flow statement
 Introduction
 Sources and uses of cash and its usefulness
 Preparation of cash flow statement

 Financial Statement Analysis

 Introduction
 Ratio Analysis
 Comparative Statements, Common Size statement and Trend analysis
Module- II.6.4 Cost accumulation: methods, tools and techniques 20
Sessions
 Cost concepts and management needs
 Cost concepts relating to profit planning
 Cost concepts relating to control
 Cost concepts relating to decision making

 Costing and control of materials

 Prerequisites of effective material control
 Purchase and issue procedures
 Inventory control techniques
 Inventory costing and pricing methods

 Costing and control of labor

 Accounting for labor
 Special problems relating to accounting for labor
 Minimum guaranteed wage and incentives plan

 Costing and control of factory(manufacturing) overheads

 Cost allocation
 Cost apportionment
 Absorption of factory overheads

 Unit, Job-order and Batch costing

 Accounting and methods of Job-order costing
 Method of batch costing

 Process costing, Operations costing

 Nature, comparison and suitability

Module- II.6.5 Profit planning and cost control 09 Sessions

 Volume-Cost-Profit (CVP) analysis
 Breakeven point
 Breakeven application in determining sales
 Budgeting and profit planning
 Planning process

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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh
 Definition, meaning and purpose of budget
 Types of budges
 Marginal costing
 Meaning and definition of marginal cost
 Marginal costing
 Contribution

Module- II.6.6 Decision making: tools and techniques 06

sessions
 Short term decision analysis
 Sales volume related decisions
 Sell or further process
 Make or buy
 Product line/division/departments

Module- II.6.7 Recent developments in management accounting 02

Sessions
 Cost accounting standards
 Role of management accountants

Total Teaching Sessions (55 Minutes Each): 55 Sessions

4.0 Prescribed/Recommended Readings

Prescribed Readings

1. Khan, M.Y. and Jain, P.K., Management Accounting, Tata McGraw-Hill, 7th Edition, 2014
2. Khan, M.Y. and Jain, P.K., Management Accounting, Tata McGraw-Hill, 6th Edition, 2013
3. Maheshwari, S N and Maheshwari S.K., a Text book of Accounting for Management, Vikas
Publishing House, 3rd Edition, 2012
4. Maheshwari, S N and Maheshwari S K., a Text book of Accounting for Management, Vikas
Publishing House, 1st Edition, 2006

Recommended Readings

1. Horngren Charles T. George Foster and Srikanta M. Datar: Cost Accounting; A Managerial
Emphasis, Pearson Education, Delhi, 2011
2. Horngren, C.T. Gary L. Sundem and William O. Stratton; Introduction to Management
Accounting, Pearson Education, Delhi, 2011
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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh
3. Jawahar Lal, Cost Accounting, Tata McGraw-Hill, New Delhi, 2010
4. Khan, M.Y. and Jain, P.K., Cost Accounting, Tata McGraw, 2010
5. Kishore, R.M., Cost and Management Accounting, Taxman Publications, 2010
6. Drury, C., Management and Cost Accounting, Thompson, 2010
7. Maheshwari, S.N., Principles of Cost Accounting, Sultan Chand, 2010
8. Lal, B.M., and I.C. Jain, Cost Accounting: Principles and Practice, PHI, 2009
9. Banerjee, B., Cost Accounting, PHI, 2009
10. Shukla, Grewal & Gupta, Cost Accounting, Sultan Chand Publications, 2009
11. Kaplan, Management Accounting, Prentice Hall of India, 2009
12. Pandey, I.M, Management Accounting, Vani Publication, Delhi, 2008
13. The Management Accountant, ICAI (Previous ICWAI and ICMAI) Monthly Journal

NB: The above is the non-exhaustive list of reading references. Additional references will be
given by the faculty member from time to time. Nevertheless, students are advised to explore
further reading references independently.

5.0 Teaching Methodology

 
• Lecture for explanation of concepts, applicability
• Numerical Problem solving
• Case analysis
• Class discussion
• Student’s presentations
• Expert Talk, Seminar
• Workshop participation
• Learning aids; such as, power point presentation etc. will be frequently used

6.0 Evaluation Pattern

1. End Semester Examination: 50 Marks

2. Mid Term Examination: 30 Marks
3. Project Submission/Group Discussion/
Viva voce/Presentations: 10 Marks

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Semester: II Course: Management Accounting Faculty: Dr. Mobin
Shaikh
4. Class Tests/Quiz 10 Marks
Total: 100 Marks
7.0 Tentative Dates for Continuous Evaluation Tests/ Submission of Projects

 Mid-term examination: As per the university schedule

 Class tests/quiz: End of respective module/topic
 Project/Assignment submission: 3rd week of February, 2020 and last week of March,
2020

8.0 Important Instructions to Students

 This is a proposed course outline. The faculty-member may modify it while

preparing the reference material and engaging the classes.

 The teaching methodology of the subject will not necessarily be bound by the
parameters shown here.

 Active and positive class participation is mandatory. Maintaining the dignity and
decorum of the class is equally important.

 The students are not permitted to enter the class room after the commencement
of class.

 The students are required to come to the class with necessary preparation for
better understanding and participation in the topics being discussed in the class.

 The students are required to maintain continuity in attending classes. Irregular

attendees may face problems to cope up with the topics being taught.

 The students must have any of the prescribed readings at their disposal for
maintaining correlation with the classroom discussions.

9.0 Contact Hours

Days: Tuesday, Friday

Timings: 3.30 p.m.to 5.00 p.m.

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