The Programme Structure

The philosophy of the Institute of Certified Management Accountants (ICMA) is predicated on the idea that
an active commitment toward excellence is fundamental to the process of education.

The educational objectives of the Institute of Certified Management Accountants (ICMA) are to further the
development of management accounting education in the universities and schools of Australia and
internationally, to encourage research into the application of management accounting theory and practice,
and to provide continuing professional development for its members.

In order to achieve the above objectives, the following educational programme has been implemented by
the Institute. The programme covers both the requirements to obtain “Graduate” and “Associate” status in
the Institute, and also the advanced programme for certification as a “Certified Management Accountant”.
Three intermediary qualifications, the Registered Business Administrator (RBA) the Registered Cost
Accountant (RCA), and the Certified Accounting Technician (CAT) that form part of the Graduate
programme are also covered.
Entry routes in Sri Lanka

An overview of the Graduate, Associate and CMA membership programmes are illustrated in the following
figure.

Holders of university degrees and professional qualifications in disciplines other than accounting could
undertake a Graduate Conversion Program of 4 subjects to satisfy the requirements of Graduate
membership (GMA status).

All Graduate and Associate members must satisfactorily complete the CMA programme of the Institute
prior to being certified as a Certified Management Accountant.
SUBJECT DETAILS – GRADUATE CONVERSION PROGRAMME

1. Financial Modelling
C O N T E N T S

Subject Guide 3

Introductory Information 3

Subject Pre-Requisites 3

Aim 3

Learning Objectives 4

Time Management 4

Schedule of Topics 5

Prescribed Text 5

Additional References 6

Assessment 6

Study Pathway 8
Introductory information

This Subject guide provides you with information about the subject Financial
Modelling

You will find that the material for this Subject is organised in the following manner:

• a Subject Guide containing the Subject outline and aims, Subject prerequisites, schedule of topics,
prescribed text and additional references, assessment requirements and a study pathway.

• Topic Chapters with study materials cross referenced to specific topic readings.

Please ensure that you have all the requisite Subject material and that you understand the requirements of
the Subject. Please note that this is a selfstudy Subject, and therefore requires significant dedication
and motivation from you. However, if you wish, a Subject adviser can be made available to you for an
additional fee. This Subject adviser will provide one-hour of his/her time per week (for 12 weeks) at a cost of
$100 per hour for the answering of Subject related queries and the setting of further homework
assignments.

Subject pre-requisites

There are no prerequisite Subjects required for entry into Financial Modelling, apart from the normal entry
requirements into The Syme Business School.

Aim

Financial Modelling is a crucial and extremely relevant subject for those who wish to also qualify as a
professional accountant in the Graduate (GMA), Associate (AMA) and Certified Management
Accountant (CMA) certification programs. This subject enables students to develop the skills of analysis,
evaluation and interpretation in the areas of financial and management accounting from a user’s
perspective and in the process, create an awareness of some current developments in the accounting
profession. This subject examines the information requirements of two major groups: external users such as
owners, shareholders, investors, potential investors; and internal users such as managers of an entity at
various levels of managerial responsibility. The emphasis throughout the subject is on the information
provided by accountants and accounting systems and on the use of that information for decision-making
purposes.
Learning Objectives

On completing all the assigned chapter and specific readings, completing assigned exercises and problems
you should be able to:

1. Identify accounting as an information process and act as informed users in making decisions based on
accounting information.
2. Understand the accounting concepts, principles and procedures used in recognising assets, liabilities,
revenues, expenses and the implication of these for users.
3. Understand the workings of the accounting cycle, in terms of both manual and computerised accounting
systems.
4. Undertake the analysis and interpretation of financial accounting information in order to evaluate entity
profitability, solvency and financial structure, especially of corporate entities.
5. Understand the basics of financial modelling using Excel spread sheeting techniques.
6. Use cost data in making short-run and long-run decisions.
7. Appreciate the development of budgets in organisations.
8. Demonstrate an understanding of working capital management.
9. Evaluate organisational and divisional performance using financial models.

Time management

The schedule below provides you with the Subject’s sequence of topics. This sequence has been
determined by the ICMA as being the most appropriate sequence for your acquisition of the required
knowledge and skills.

Make sure you complete the readings and exercises on a regular basis and you won’t be so rushed in the
last few weeks, especially in the lead up to the Final Examination.
Schedule of topics

A summary of the semester’s topics is as follows:

Topic No. Topic Description Subject Module (SM)

Topic & Text Book (TB)
Chapter

- Excel for Managers: Pre-Reader (before Topic 2 SM Topic 1-6 & TB Chapters 1-6
commences)

Topic 1 Accounting: A Profession SM Topic 1.

Topic 2 Modelling the Accounting Equation SM Topic 2 & TB

Chapter 1
Topic 3 Modelling Depreciation Methods SM Topic 3 & TB
Chapter 2
Topic 4 Modelling the Accounting Cycle SM Topic 4 & TB
Chapter 3
Topic 5 Company Accounts SM Topic 5

Topic 6 Financial Statement Modelling SM Topic 6 & TB

Chapter 4
Topic 7 Product Cost Modelling SM Topic 7 & TB
Chapter 9
Topic 8 Profitability Planning Models SM Topic 8 & TB
Chapter 10
Topic 9 Budgetary Modelling SM Topic 9 & TB
Chapter 11
Topic 10 Modelling in Financial Mathematics SM Topic 10 & TB
Chapter 5
Topic 11 Investment Decision Models SM Topic 11 & TB
Chapter 6
Topic 12 Modelling Working Capital SM Topic 12 & TB
Chapter 7

Assessment : Final examination 60% Assignment 40%

Pass Marks : Final marks 50% AND Examination only 50%

Learning Time : Face to face teaching : 72 hours

Self Study : 50 hours

Assignments : 15 hours

Examination Preparation : 15 hours

152 hours

Additional References:

Anthony, R.N., Hawkins, D.F. & Merchant, K.A., Accounting – Text and Cases Latest Edition, McGraw-Hill
International.

Atrill,P., McLaney,E., Accounting and Finance for Non-Specialists, Latest Edition , Prentice-Hall 1997

Atrill,P., McLaney,E., Management Accounting for Non-Specialists, Latest Edition , Prentice-Hall.

Bazley, M., Hancock, P., Berry A., Jarvis, R., Contemporary Accounting: A Conceptual Approach Latest
Edition, Nelson.

Granof, M.H., Accounting for Managers and Investors, Latest Edition, Prentice Hall.

Horngren, C.T., Foster, G. & Datar, S., Cost Accounting: A Managerial Emphasis Latest Edition, Prentice
Hall,

Langfield-Smith, K., Throne, H., and Hilton, R., Management Accounting: An Australian Perspective, Latest
Edition, McGraw-Hill.

Newman, R.L., Accounting Concepts for Managers, Latest Edition, Longman Cheshire.
 2. Management Accounting
C O N T E N T S

Subject Guide 3

Introductory Information 3

Subject Pre-Requisites 3

Aim 3

Learning Objectives 4

Time Management 5

Schedule of Topics 5

Prescribed Text 6

Additional References 6

Assessment 6

Study Pathway 7

Introductory information

This Subject guide provides you with information about the subject Management Accounting

You will find that the material for this Subject is organised in the following manner:

• a Subject Guide containing the Subject outline and aims, Subject prerequisites, schedule of
topics, prescribed text and additional references, assessment requirements and a study pathway.

• Topic Chapters with study materials cross referenced to specific topic readings.

Please ensure that you have all the requisite Subject material and that you understand the requirements of
the Subject. Please note that this is a selfstudy Subject, and therefore requires significant
dedication and motivation from you. However, if you wish, a Subject adviser can be made available to
you for an additional fee. This Subject adviser will provide one-hour of his/her time per week (for 12 weeks)
at a cost of $100 per hour for the answering of Subject related queries and the setting of further homework
assignments.
Subject pre-requisites

The prerequisite Subjects required for entry into Management Accounting, apart from the normal entry
requirements into The Syme Business School, is the subject Financial Modelling or equivalent.

Aim

Management Accounting is a crucial and extremely relevant subject for those who wish to also qualify as
a professional accountant in the Graduate (GMA), Associate (AMA) and Certified Management
Accountant (CMA) certification programs. This subject enables students to develop an understanding
of the information needs of managers and how management accounting techniques can be applied to
support decision making. Recent developments in the theory and practice of management accounting and
developments in information technology in relation to the provision of management accounting information
are also examined.
Learning Objectives

On completing all the assigned chapter and specific readings, completing assigned exercises and
problems you should be able to:

1. Explain the role of product costing for decision making purposes.

2. Describe the functions of divisional performance evaluation and transfer pricing.

3. Classify costs for different purposes.

4. Identify the procedures involved with costing and pricing goods and services.

5. Allocate product costs using job costing and process costing.

6. Design and implement activity-based costing system.

7. Perform standard costing and variance analysis.

8. Perform cost-volume-profit analysis.

Time management

The schedule below provides you with the Subject’s sequence of topics. This sequence has been
determined by the ICMA as being the most appropriate sequence for your acquisition of the required
knowledge and skills.

Make sure you complete the readings and exercises on a regular basis and you won’t be so rushed in the
last few weeks, especially in the lead up to the Final Examination.
Schedule of topics

A summary of the semester’s topics is as follows:

Topic No. Topic Description Subject Module (SM) Topic &
Text Book (TB) Chapter

Topic 1 Management Accounting: SM Topic 1 & TB

Basic Terms and Concepts Chapter 1

Topic 2 Cost Categories and CostVolume- SM Topic 2 &

Profit Analysis TB Chapters 2 & 3

Topic 3 Product Costing SM Topic 3 &

TB Chapters 13 & 14
Topic 4 Cost Allocation SM Topic 4 & TB
Chapter 12
Topic 5 Budgeting (covered over 2 weeks) SM Topic 5 & TB
Chapter 7

Topic 6 Standard Cost Analysis SM Topic 6 & TB

Chapter 8
Topic 7 Activity Based Techniques SM Topic 7 & TB
Chapter 4
Topic 8 Relevant Costing for Decision SM Topic 8 &
Making TB Chapters 5 & 6

Topic 9 Responsibility Centres and SM Topic 9 & TB

Transfer Pricing Chapter 9

Topic 10 Performance Evaluation SM Topic 10 & TB

Chapter 10
Topic 11 Inventory Management and SM Topic 11
Quality Control

Assessment : Final examination 60% Assignment 40%

Pass Marks : Final marks 50% AND Examination only 50%

Learning Time : Face to face teaching : 72 hours

Self Study : 50 hours

Assignments : 15 hours

Examination Preparation : 15 hours

152 hours
Additional References:

Drury, C., Management and Cost Accounting, Latest edition, Chapman and Hall, London.

Hansen, D.R. and Mowen, M.M., Cost Management, Latest edition, SouthWestern Publishing Company,
Cincinnati, Ohio.

Heitger, L., Ogan, P. and Matulich, S., Cost Accounting, Latest edition, SouthWestern Publishing
Company, Cincinnati, Ohio.

Langfield-Smith, K., Thorne, H. and Hilton, R., Management Accounting: An Australian Perspective, Latest
edition, McGraw-Hill, Sydney.

Rayburn, L.G., Principles ofCost Accounting, Latest edition, Irwin, Boston.

Anthony, R.N., Hawkins, D.F & Merchant, K. A., Accounting – Text and Cases Latest Edition, McGraw-Hill
International.

Horngren, C.T., Foster, G. & Datar, S., Cost Accounting: A Managerial Emphasis Latest Edition, Prentice-
Hall.
 3. Financial Statement Analysis
Contents

Lecture Outline

A Framework for Business Analysis and Valuation Using

Topic 1 Financial Statements Chapter 1

Chapter 2
Topic 2 Strategy Analysis

Chapter 3
Topic 3 Accounting Analysis

Chapter 4
Topic 4 Earnings and Balance Sheet “Management”

Chapter 5
Topic 5 Financial Ratio Analysis

Chapter 6
Topic 6 Prospective Analysis

Chapter 7
Topic 7 Valuation Theory & Issues – Cash flows

Chapter 8
Topic 8 Valuation Theory & Issues – Accrual measures

Chapter 9
Topic 9 Security Analysis

Chapter 10
Topic 10 Credit Risk Analysis

Chapter 11
Topic 11 Takeovers

Chapter 12
Topic 12 Financial Policy

Topic Syllabus

Topic 1: A Framework for Business Analysis and Valuation Using Financial Statements

This topic defines financial statement analysis and the types of situations that financial statement analysis
occurs in practice, such as in security analysis and credit risk evaluations. Who are the users of financial
statements and how can they benefit from FSA? The role of financial and information intermediaries in
capital markets is examined. The topic also examines institutional features of the accounting system which
impacts on the quality of financial reports, including accrual accounting, the role of accounting standards
and auditing, and the effects of managers' reporting strategy. The topic discusses the role of business
strategy analysis generally, accounting analysis, financial analysis and prospective analysis. The topic
also discusses efficient capital markets, and the role of financial reporting and FSA in the functioning of
efficient markets.
Topic 2: Strategy Analysis

This topic discusses the importance of strategy analysis. Strategy analysis allows the analyst to probe the
economics of an organisation at a qualitative level so that the subsequent accounting and financial
analysis is grounded in business reality. What are the key profit drivers and risks which enable the analyst
to assess the sustainability of the organisation's performance and make realistic forecasts of future
performance? The topic discusses the dynamics of industry analysis and how systematic differences
between the profitability of different industries exist and change over time. The profitability of an
organisation is influenced not only by its industry structure but also by the strategic choice it makes in
positioning itself competitively in the industry. Corporate strategy analysis, or the way in which an
organisation expects to create and exploit synergies across the range of businesses in which it operates,
is a key component of strategy analysis.

Topic 3: Accounting Analysis

This topic examines the concept of accounting analysis, the purpose of which is to evaluate the degree
which an organisation's accounting captures its underlying business reality. The topic covers the
institutional framework for financial reporting, and discusses the roles and functions of the financial
statements, including the statement of financial position, the statement of comprehensive income, the
statement of changes in equity, and the cash flow statement. The topic examines the concept of earnings
and how it relates to cash flow analysis. The topic provides a demonstration of how a cash flow statement
is calculated and discusses role of operating, financing and investing cash flows in financial analysis. The
topic examines limitations in measuring cash flow. The topic addresses factors which influence accounting
quality and provides a framework for evaluating accounting quality.

Topic 4: Earnings and Balance Sheet “Management”

This topic defines the concept of earnings and balance sheet “management” and identifies factors or
incentives companies may have to manage earnings (such as managerial incentive schemes and debt
covenants). How do companies typically try to manage their financial statements and what should the
financial analysis be on the lookout for? Models of earnings management are introduced to explain and
detect earnings management. The topic also considers how analysts can “adjust” financial statements
where appropriate.

Topic 5: Financial Ratio Analysis

This topic introduces the student to a number of methods and techniques for analysing financial
statements. The topic discusses the uses and purposes of financial ratio analysis and the assumptions
which underpin ratio analysis. The topic discusses time series and cross section ratio techniques and the
advantages and limitations with both methods. The topic provides an extended coverage of profitability
analysis using the DuPont equation, including a number of key ratios relating to cash flow, activity, capital
structure and liquidity. Special attention is placed on how these ratios are calculated and interpreted.

Topic 6: Prospective Analysis

Prospective analysis involves two elements: (1) forecasting and (2) valuation. The topic of valuation is
covered in topics 7-8. This topic covers the key principles of forecasting and includes a discussion of
random walk concepts, long term trend analysis and the factors which drive trends. We discuss the
principles behind forecasting sales growth, earnings and cash flows. We discuss how to utilise the balance
sheet for forecasting purposes. The concept of sensitivity analysis is also examined – for example, how
financing decisions as distinct from operating and investing affect predicted outcomes. The topic includes
a discussion of analyst consensus forecasts and recommendations.
Topic 7: Valuation Theory & Issues – Cash Flows

This topic deals with the fundamental principles of valuation from a cash flow perspective. The topic
examines the cash flow methodology to valuation, which cash flows should be used, as well as introducing
measures of value creation (such as EVA and other techniques). The topic discusses the dividend
irrelevance principle, and how well it holds in practice. Also discussed is the concept of levered and
unlevered free cash flow models, nominal vs. real cash flows, how far we should forecast in the future (ie
does it matter that the main value driver is the “terminal value”) and the pro forma assumptions that have
been used. The topic discusses measure of wealth creation, particularly the EVA and its variants,
including Tobin’s Q and Market-to-Book ratios. We discuss the limitations of various approaches and
consider relevant empirical evidence.

Topic 8: Valuation Theory & Issues – Accrual Measures

This topic introduces earnings-based measures to company valuation, whereas Topic 7 discussed
valuation largely from a cash flow approach. In topic 8 we explore conventional valuation multiples such
as Price Earnings (PE), and how PE ratio is related to other measures, such as Market-to-Book (MB). The
topic discusses several issues in the construction and interpretation of PE ratios, why PEs are so popular
and what the limitations of this and related measures are. The topic then provides a detailed discussion of
the “clean surplus” concept and the relationship between residual income models and EVA.

Topic 9: Security Analysis

This topic introduces the concept of security analysis, the relationship between financial data and security
analysis, and the role of market efficiency. The topic discusses some recent research evidence on market
efficiency following the recent global financial crisis (GFC). The topic also introduces the concepts of
fundamental and technical analysis to security analysis. Which method is superior? Different approaches
to fundamental analysis are examined as well as the relevant research literature. The topic also discusses
international dimensions to security analysis.

Topic 10: Credit Risk Analysis

The topic discusses the concept of “risk” which parties are most interested in credit analysis. The focus of
risk analysis is on short term liquidity risk, long term solvency risk, firm failure prediction and debt ratings.
The topic examines which variables and indicators are most predictive of bankruptcy and debt ratings,
including macro-economic indicators, stock market and financial variables. The topic also introduces
models of bankruptcy prediction.

Topic 11: Takeovers

This topic examines the types of takeover activity which frequently occur in practice (such as friendly and
hostile takeovers) and the different motives for merger and acquisition activity in the business world. The
topic explores pricing issues (premium to target), financing methods for takeovers (i.e. cash vs. shares),
valuation of the target, defence mechanisms to parry hostile takeover bids, and the role of independent
expert reports in the takeover process. The topic features a prominent takeover case which has occurred
in recent Australian corporate history.
Topic 12: Financial Policy

Financial policy is often viewed as involving two key issues: the debt/equity mix and dividend policy.
Financial policy is particularly relevant to business analysis in terms of how value is created. This topic
addresses a fundamental question: If financial policy affects value, how do we evaluate financial policy?
This raises several questions all of which require FSA skills learned in topics 1-11 of this unit. Such
questions might include: Is a firm primarily growth or income? Can leverage/dividend policy change (as in
an LBO)? How does this affect value? Is the capital structure/dividend policy consistent with the business
objectives? Given current (and expected) financial policy, what is the lending risk?

Assessment : Final examination 60% Assignment 40%

Pass Marks : Final marks 50% AND Examination only 50%

Learning Time : Face to face teaching : 54 hours

Self Study : 60 hours

Assignments : 15 hours

Examination Preparation : 15 hours

144 hours

Additional References:

Arthur Andersen, AA Limited Annual and Half-Year Financial Statements,1998

ASCPA/ICA, Accounting Handbook, (latest edition)

Company Annual Reports - various (use - Web resources)

Deloitte Touche Tohmatsu, Summary of Australian Accounting Requirements (l0th edition),1998

Foster, G., Financial Statement Analysis (2nd edition),Prentice Hall, 1986

Stickney, C. P.,Financial Reporting and Statement Analysis: A Strategic Perspective, (3 edition), Dryden
Press, 1996

Henderson, S. M. & G. Peirson, Issues in Financial Accounting, (8th edition),Longman, 1998

Selected Journal Articles from Academic and Professional Journals Last Revised:
15/06/2000
 4. Financial Management
C O N T E N T S

Subject Guide 3

Introductory Information 3

Subject Pre-Requisites 3

Aim 3

Learning Objectives 4

Time Management 5

Schedule of Topics 5

Assessment 6

Prescribed Text 7

Additional References 7

Calculator 7

Study Pathway 8

Introductory information

This subject guide provides you with information about the subject Financial
Management

You will find that the material for this subject is organised in the following manner:

• a Subject Guide containing the subject outline and aims, subject prerequisites, schedule of topics,
prescribed text and additional references, assessment requirements and a study pathway.

• Topic Chapters with study materials cross referenced to specific topic readings.

Please ensure that you have all the requisite subject material and that you understand the requirements of
the subject. Please note that this is a self-study subject, and therefore requires significant
dedication and motivation from you. However, if you wish, a subject adviser can be made available to
you for an additional fee.
This subject adviser will provide one-hour of his/her time per week (for 12 weeks) at a cost of $100 per
hour for the answering of subject related queries and the setting of further homework assignments.

Subject pre-requisites

There are no prerequisite subjects required for entry into Financial Management, apart from the normal
entry requirements into the Graduate Conversion program.

Aim

Financial Management is a crucial and extremely relevant subject for students who wish to also qualify as
a professional accountant in the Graduate (GMA), Associate (AMA) and Certified Management Accountant
(CMA) certification programs. Financial Management is designed to develop application skills in corporate
finance to solve key financial management problems of for-profit non-financial organisations. These
problems are: capital budgeting, financing acquisition; and dividends, and therefore is an extremely
relevant subject for students completing the ICMA’s Graduate Conversion program. The aim of this
subject is to extend the development in general managers the ability to use the various tools and
techniques available in finance, and to enhance the quantitative and qualitative aspects of decision-
making.

This subject is designed as an introduction to corporate finance theories and application of theories so that
solutions to key financial management problems of for-profit non-financial organisations can be identified.

The four key financial management decisions (capital budgeting, financing, acquisition and dividend) of
mangers in non-financial firms will be examined. Students will learn analytical skills to solve these
practical problems using the body of knowledge that comes from finance discipline.

In developing the skills in the professional, the emphasis will be on managerial decision-making by
applying received knowledge (given the capital market behaviour in Australia and Asian economies) to
address recurring financial problems of all firms.

Learning Objectives of Subject

On completing all the assigned chapter and specific readings, completing assigned exercises and
problems you should be able to:

On successful completion of this subject student will be able to:

1. Develop application skills in financial management.

2. Develop skill in corporate financial strategy modelling.

3. Understand corporate asset pricing theories and financial policy formulation techniques.

4. Apply capital budgeting principles and techniques to investment proposals in order to facilitate
optimum decision-making.
5. Describe the risk/return trade-off inherent in portfolio analysis and selection.

6. Apply techniques suitable for valuing various debt and equity securities.

7. Explain the nature, purpose and limitations of financial ratios and other data to evaluate performance
and credit risks.

8. Examine and evaluate empirical research relating to the concepts of market efficiency, optimum
financial structure and optimum dividend policy of the firm.

Time management

The schedule below provides you with the subject’s sequence of topics over the semester. This sequence
has been determined by the ICMA as being the most appropriate sequence for your acquisition of the
required knowledge and skills.
Make sure you complete the readings and exercises on a regular basis and you won’t be so rushed in the
last few weeks, especially in the lead up to the Final Examination.

Schedule of Topics
A summary of the subject’s topics is as follows:

Topic No. Topic Description Subject Module

(SM) Topic & Text
Book (TB) Chapter

1 Fundamental Concepts of Financial SM Topic 1

Mathematics TB Chapters 1 & 5

2 Introduction to the Theory of Valuation SM Topic 2

TB Chapter 6
3 Portfolio Returns and Risks SM Topic 3
TB Chapter 8
4 Capital Asset Pricing Model SM Topic 4
TB Chapter 9
5 Efficient Markets Theory SM Topic 5
TB Chapter 9A
6 Dividend Policy SM Topic 6
TB Chapter 14
7 Bond Yields and Bond Pricing SM Topic 7
TB Chapter 7
8 Introduction to Capital Markets and SM Topic 8
Funding Sources TB Chapter 2
 9 Evaluation and Selection of Capital SM Topic 9
Investment Projects TB Chapter 11

10 Estimating Project Cash Flows SM Topic 10

TB Chapter 12
11 Capital Budgeting SM Topic 11
TB Chapter 11
(cont.)
12 Cost of Capital SM Topic 12
TB Chapters 10 & 13

Assessment : Final examination 60% Assignment 40%

Pass Marks : Final marks 50% AND Examination only 50%

Learning Time : Face to face teaching : 54 hours

Self Study : 60 hours

Assignments : 15 hours

Examination Preparation : 15 hours

144 hours

Additional References:

Ball, Brown, Finn & Officer, Share Markets and Portfolio Theory: Readings & Evidence, 2nd Ed.,
University of Queensland Press (a reference for Australia)

Bruce,R., McKern,B., Pollard T., & Skully,M., Handbook of Australian Corporate Finance, 5th Ed.,
Butterworth (a reference for Australia)

Arrif, M., & Johnson,L., Securities Markets and Stock Pricing Evidence in a Developing Asian Equity
Market, Longman Professional Books, International, 1990 (an Asian perspective)

Ariff, M., Shamsher, M., & Nasir, A.M., Stock Pricing in Malaysia, UPM Press, 1998 (Malaysian resource)

Ross, S., Westerfield,W., & Jaffe, R., Corporate Finance, 3 Ed., Irwin, Homewood, Illinois (any edition).

(Other books may be included after discussion with the instructor).

SUBJECT DETAILS – CMA PROGRAMME

1. Strategic Cost Management

Objectives:

On completion of this subject students should have developed skills of analysis, evaluation and synthesis in
cost and management accounting and, in the process, create an awareness of current developments and
issue in the area. The subject covers the complex modern industrial organisations within which the various
facets of decisionmaking and controlling operations take place; the subject includes discussion of costing
systems and activity based costing, activity management, and implementation issues in modern costing
systems.

Synopsis :

• Identify the basic conventions and doctrines of managerial and cost accounting and other
generally accepted principles which may be applied in the contemporary cost
management models.
• Identify major contemporary issues that have emerged in managerial accounting.
• Discuss a number of issues relating to the design and implementation of cost
management models in modern firms.

Contents

1. Management Control Systems

2. Lean Manufacturing & Quality Control
3. Cost Accounting and Cost Management in a Lean Environment
4. Life Cycle Costing Systems
5. Benchmarking
6. Activity Based Cost Allocation Systems
7. Customer Profitability Analysis
8. Process Control and Activity Based Management
9. Implementing Cost Analysis and Control Systems
10. Strategic Performance Management Systems
11. Emerging Issues 1: Triple Bottom Line Accounting and Carbonomics
12. Emerging Issues 2: Governance, Empowerment and the Strategic Audit

Assessment : Final assignment/Examination 100%

Pass Marks : Final marks 50%

Learning Time : Face to face teaching : 25 hours

Self Study : 25 hours

Assignment/Examination : 15 hours
75 hours
2. Strategic Business Analysis
Objectives:

On completion of this subject students should have developed skills of analysis, evaluation and synthesis in
cost and management accounting and, in the process, create an awareness of current developments and
issue in the area. The subject covers the complex modern industrial organisations within which the various
facets of decisionmaking and controlling operations take place; the subject includes discussion of costing
systems and activity based costing, activity management, and implementation issues in modern costing
systems.

Synopsis :

• Identify the basic conventions and doctrines of managerial and cost accounting and other
generally accepted principles which may be applied in the contemporary cost
management models.
• Identify major contemporary issues that have emerged in managerial accounting.
• Discuss a number of issues relating to the design and implementation of cost
management models in modern firms.

Contents

1. Corporate Objectives, Strategy and Structure

2. Strategic Marketing Analysis and Budgeting
3. Financial Analysis in Product Portfolio Management
4. Pricing Methods and Strategies
5. Financial Dimensions of Pricing in International Business Strategies
6. Promotion: Push Strategy and Human Resource Management
7. Promotion: Pull Strategy and Integrated Marketing Communication
8. Supply Chain Management and the Place-Distribution Decision
9. Performance Valuation and Strategic Financial Structures
10. Free Cash Flows and Strategic Value Analysis
11. Risk Management - Corporate Radar and Early Warning Systems
12: Strategic Scorecards and Key Performance Indicators

Assessment : Final assignment/examination 100%

Pass Marks : Over all marks 50%

Learning Time : Face to face teaching : 25 hours

Self Study : 25 hours

Assignments/examination : 15 hours
65 hours