MN0254 Managing Financial Performance

Synopsis of Module

This module develops further some year one topics, and introduces some new topics which the student may encounter in the modern manufacturing workplace. The key areas of management accounting are, planning, control and decision making. The student gains experience of each of these topic areas, including , budgeting for planning, standard costing for control and decision trees?? For decision making.. Other topic areas studied reflect the practical nature of the module, for example, cost bookkeeping and process costing. The module is year long and assessed by a 2 hour closed book exam at the end of each semester.

Aims of Module

•	To extend the students knowledge and comprehension of planning and control.

•	To develop further the topic areas of budgeting and standard costing.

•	To introduce the idea of uncertainty and how this can be incorporated in decision making.

•	To introduce contemporary issues affecting management accounting such as JIT and TQM.

Learning Outcomes

1.	Construct, evaluate and apply a variety of budgeting models

2.	Establish and interpret standard costs and variances.

3.	Use accounting information to support decision making

4.	Evaluate the impact of modern management approaches on management accounting systems.

5.	Discuss the factors which affect product or service pricing.

Outline Syllabus

Absorption costing , alternative methods of common cost apportionment and profit reporting under the absorption and marginal models.

Process costing including joint and common costs.

Establishing profit or loss in contract costing environments

Further standard costing (to include overheads / mix / yield / operating / planning etc)

Fixed and flexible budgets, alternative budget models. Behavioural issues.

Cost bookkeeping – integrated and interlocking

Relevant costs for decision making

Expected values and decision trees, learning curves

Pareto analysis

Further pricing issues

Resource planning systems (MRP etc), JIT, TQM and Back flush accounting

Cost reduction

Summative assessment

Assessment A: 2 Hour Closed Book Examination

The weighting of this assessment is 50%

Assessment B: 3 Hour Closed Book Examination

The weighting of this assessment is 50%