Horngren, Foster, and Datar, Cost Accounting: A Managerial Emphasis, Twelfth
Edition (Prentice. Hall, 2005) ... as possible, even though you may not be able to
fully complete the solution or answer the questions. To be successful in this class,
...
This syllabus reflects the nature of the course when it was most recently taught. All syllabi are subject to change by the instructor.
Carnegie Mellon University The H. J. Heinz School of Public Policy and Management 91-851 : Management Accounting Summer Term, 2005
Instructor Kathy Smith
Course Prerequisites or Co-Requisites • •
A financial accounting course, such as: • 90-724 Financial Management and Control • 91-804 Financial Analysis for Managers Proficiency with Microsoft Excel
Text Horngren, Foster, and Datar, Cost Accounting: A Managerial Emphasis, Twelfth Edition (Prentice Hall, 2005)
Course Management System Class information will be relayed via Blackboard and email. You can access Blackboard at http://www.cmu.edu/blackboard/. You are responsible for checking Blackboard regularly for announcements, changes and other information.
Course Objectives This course will provide an introduction to the principles and methods of cost accounting, cost analysis and cost management. Through the use of class examples, textbook problems, cases and current articles you will learn to analyze and evaluate costs for the purposes of pricing inventory and products, selecting between alternative courses of action, and evaluating performance.
Class Format and Suggested Study Aids I have divided the material into 11 topics, which fit into five units. Each class, information about the topic scheduled that week will be distributed to you. This includes a list of key terms and points, suggested practice problems, and class examples. Please pick up the material before class begins.
In general, each topic will be split over two class meetings. A new topic or method will be introduced during the second part of each class. I will spend time discussing the topic, demonstrating the mechanics of how to solve related problems, and showing how the resultant numbers are used in managerial decision making. Problems for discussion will be assigned weekly. These problems will be related to the topic introduced, but often ask you to apply the concepts to atypical situations, extend your knowledge to more rich settings, or use the numbers to make managerial decisions. Although they will not be collected and graded, we will discuss them during the first part of the next class meeting. To maximize the benefit that you receive from this course, you should complete as much of each problem as possible, even though you may not be able to fully complete the solution or answer the questions. To be successful in this class, you must come well-prepared. I suggest that you budget at least three hours a week of your time to prepare for class. Expect to spend more than four hours if your quantitative or spreadsheet usage skills are not strong.
Performance Measures Assignments: Four assignments will be made during the term. They are to be completed individually (although you may discuss them with other students). Grading will be on form and completeness and correctness of answers. Good form is described in the handout, “Management Accounting Style Sheet.” Each assignment will constitute 15 % of your final grade. Due dates for the assignments are shown on the last page of this syllabus. No late assignments will be accepted unless you have either made prior arrangements with me or an emergency occurs which prevents you from submitting the assignment on time.
Class Participation: Your participation in class contributes field specific knowledge and international perspectives to the problems and situations discussed. I strongly encourage you to share your experiences with the rest of the class. While I will not specifically grade on class participation, it does provide me with additional information that may cause your final grade to “bump up” if you are on the border between two grades.
Final Exam: The final exam will be comprehensive. It will be designed to test how well you recognize and apply the concepts and main points that I made during the course. Questions on the final exam will be shorter than those on the assignments. It will be given in class on August 4, and will be open book and open notes.
Individual and Group Work: You may work with other students on the assignments. Group interaction and discussion of solution strategies is a very valuable learning tool, and I encourage you to do this. However, the submitted assignment must be your work alone. If you work with other students, I realize that your analyses may essentially say the same thing. However, the words that you submit must be your own, and written in the style that you use on exams and other items. If anything is copied from the text or another 2
published source, it must be documented. If this is not done, it is plagiarism. If anything is copied from (that is, you use the same words as) another student, it will be considered to be cheating. If you submit plagiarized or copied work, you will receive a grade of zero on the assignment or paper. Also, as per university and Heinz School policy, all cheating and plagiarism infractions will be reported in writing to the Associate Dean for the program, the Associate Dean for Faculty, the Dean of Student Affairs, and the Dean. They will review and determine if expulsion should be recommended. The report will become part of the student’s permanent record. Further information about cheating and your rights can be found on the CMU website at http://www.cmu.edu/policies/documents/Cheating.html
Performance Evaluation: Your final grade for the course will consist of grades from the indicators above. They will be weighted as follows: 60 % Assignments 40 % Final Exam Your final grade will be determined by your placement on the following scale: A+ A AB+ B BC+ R
98 - 100 % 91 - 97 % 86 - 90 % 80 - 85 % 74 - 79 % 68 - 73 % 60 - 67 % below 50%
3
COURSE SYLLABUS Summer, 2005
Date
Due / Prepare to Discuss
1
Cost Behavior/ CVP Analysis
May 19 2 May 26 3 June 2 4 June 9 5 June 16 6 June 23 7 June 30 8 July 7 9 July 14
Topic
Readings Ch 1: 1-7, 16-19 Ch 2: 26-27, 30-34 Ch 3: 60-71
3-38, 3-39 (Walk Rite Shoes) 3-47 (Forman Fork) Bogside vs. Sterling Farms
CVP Analysis
Ch 3: All, skip Appendix Ch 10: 332-343 (skim)
Cable Vision problem Carlsbad Home Care case
Cost Allocation – Product Costing Systems
Ch 2: 27-29,34-38, skim 39-45 Ch 4: 97-109, 118,122-123
ASSIGNMENT # 1 DUE 6/7 4-31, 4-32 Wendy’s Chili case Neighborhood Servings case
Cost Allocation – Activity Based Costing
Ch 5: All Ch. 10: 348
5-34, 14-22 (Pharmacare) 5-22 (Harmon Academy) City Motor Pool problem
Allocating Common Costs Behavioral Issues
Ch 14: 492-508 Ch 15: 531-537
14-18 (Remb. Hotels & Casino) 23-27 (Pike Enterprises) Port City Municipal League prob
Short Term Decision Making
Ch 11: 378-391, 393-399
ASSIGNMENT # 2 DUE 6/28 11-34 (Grossman Co.) 11-24 (Dept. of Defense) 12-21 (Snappy Tiles)
Short Term Decision Making
Ch 11: 391-392 Ch.12: 419-424,432-434
11-37, 11-38 (Class Company) Hare Company problem
Long Term Decision Making
Ch. 21: All, plus appendix
ASSIGNMENT # 3 DUE 7/12 21-27 (Superfast Chips) 21-29 (Bristol Engineering) Riverside Park case
Long Term Decision Making
Ch 21: All, plus appendix Focus Box on page 741
4
Date 10 July 21 11 July 28
Prepare to Discuss Chippewa County Jail problem Hiking Food Company problem Rocky Mountain Catering prob. 12-22, 15-30, 9-38 ASSIGNMENT # 4 DUE 7/26 Harlan Foundation case The Nuclear Disaster problem Fry Company problem
Topic Review for Final Exam
Performance Evaluation ROI, RI, EVA, NPV Variable Costing
12 FINAL EXAM
Readings
FINAL EXAM
Aug. 4
5
Ch 9: 294-305 Ch 23: 791-798, 805-813
