AMERICAN INTERNATIONAL UNIVERSITY – BANGLADESH

Faculty of Business Administration

Department of Accounting
BBA Program
COURSE OUTLINE
I. Course Code and Title : BBA – 2210, Managerial Accounting
II. Credit : 3 credit hours
III. Course Description
This course introduces management accounting as an interactive discipline among the learners and
covers a wide range of issues leading to managerial decision making such as: Definition and features
of managerial accounting; cost terms, concepts, and classifications; cost behavior analysis and use;
cost-volume-profit analysis; variable costing; job-order costing; profit planning; standard costing;
relevant costing and segment reporting.
IV. Course Objectives
The prime objective of this course is to make the students familiar with the traditional and
contemporary management accounting techniques and to develop the skill of using these techniques,
as manager, in financial and non-financial decision making. Upon the successful completion of the
course, the students will be able to:

1. identify the areas where management accounting can play an important decision making role
2. apply different decision making tools to cope with the changing business environment
3. apply management accounting techniques in planning, control and decision making situations
4. prepare and evaluate plans, budgets and forecasts
5. understand the recent conceptual and analytical developments in the area of management
accounting.
V. Topics to be Covered:

Time Suggested Teaching

Topics Specific objective(s)
frame activities Strategy(s)
Overview of the Mission and Vision of AIUB; Explain 1 Group Power point
university and the what is managerial accounting; lecture discussions presentation
course comparison of financial accounting and
(Ch-1) management accounting;
Introduction to Expanding role of management 1 Group Power point
managerial accounting in changing business lectures discussions presentation
accounting(Ch-1) environment – JIT, TQM, TOC.
Cost terms, General cost classifications; product 3 Group Power point
concepts, and costs versus period costs; cost lectures discussions, presentation
classifications classifications on financial statements; problem and problem
(Ch-2) Cost classification for predicting cost solving, solving using
behavior, assigning costs to cost object, assignment white board
decision making classification;
schedule of COGM.

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 Time Suggested Teaching
Topics Specific objective(s)
frame activities Strategy(s)
Cost behavior Cost behavior and its pattern; types of 2 Group problem solving
analysis and use variable and fixed costs; fixed costs and lectures discussions, using white
(Ch-5) relevant range; mixed cost – problem board
segregation of mixed cost into variable solving, seat
and fixed portion; contribution format work
income statement.
Cost-volume-profit Contribution margin ratio; 3 Group Power point
analysis assumptions of CVP analysis; lectures discussions, presentation
(Ch-6) application of CVP concepts; break- problem and problem
even analysis; target profit analysis; the solving, solving using
margin of safety; operating leverage. assignment white board
Variable costing Absorption costing and variable 2 Group problem solving
(Ch-7) costing; income comparison of lectures discussions, using white
absorption costing and variable problem board
costing; effect of changes in production solving, seat
on net income; impact of cost method work,
on the manager; Mathematical homework
problems relating to income
comparison under absorption costing
and variable costing.
MID TERM EXAMINATION 1 week
Profit planning The basic framework of budgeting; the 4 Group Power point
(Ch-9) self imposed budget; the matter of lectures discussions, presentation
human relations; the budget problem and problem
committee; the master budget; zero- solving, seat solving using
based budgeting; Mathematical work, white board
problems relating to preparing master assignment
budget. Cash budget.
Standard costing Standard costs – management by 3 Group Power point
(Ch-11) exception; setting standard costs – lectures discussions, presentation
ideal vs practical standards; a general problem and problem
model for variance analysis – solving solving using
calculation of various price and white board
quantity variances; advantages and
disadvantages of using standard costs;
basics of balanced scorecard.
Relevant costing Cost concepts for decision making; 3 Group Problem solving
(Ch-13) Identification of relevant costs benefits; lectures discussions, using white
The make or buy decision; special problem board
orders; Sell or process further solving
decisions; Mathematical problems
relating to relevant costing.
Segment reporting Advantage and disadvantages of 2 Group Power point
and responsibility decentralization; responsibility center; lectures discussions, presentation
accounting traceable and common fixed costs; problem and problem
(Ch-12) building a segmented income solving solving using
statement; concept of responsibility white board
centers; ROI and RI.
FINAL EXAMINATION 1 week

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VI. Course Requirements
Quizzes
Total 4 quizzes will be taken during the semester. No make-up quizzes will be taken. Students are
strongly recommended not to miss any quizzes.

Individual / Group Assignment – Case Studies

The topic of the Case Study will be informed in the class & will be uploaded in the VUES. All the
assignments must be submitted on or before the due date. No late submission of assignments will be
accepted. (10% Mark Deduction per day will be applied)
VII. Evaluation
Grades will be calculated as per the university grading structure and individual student will be
evaluated based on the following criteria with respective weights.
1. Quizzes 20%
2. Assignments (On campus/Home) 10%
3. Class attendance 10%
4. VIVA 5%
5. Class participation 5%
6. Term Examination 50%
Total 100%
VIII. Textbook/Reference Materials
Required text: Garrison, R. H., Noreen, E. W., and Brewer, P. C., Managerial Accounting, Twelfth
edition (2008), McGraw-Hill Irwin, USA. *
Reference texts
1. Atkinson, A. A., Kaplan, R. S., Matsumura, E. M., and Young, S. M., Management Accounting:
Information for Decision-Making and Strategy Execution, 6 th Edition (2011), Pearson Education,
Inc. UK.
2. Hilton, R. W., Managerial Accounting: Creating Value in a Dynamic Business Environment, Ninth
Edition (2011), McGraw-Hill, USA.
3. Horngren, C. T., Datar, S. M., Foster, G., Rajan, M. V., and Ittner, C., Cost Accounting: A
Managerial Emphasis, Thirteenth Edition (2009), Pearson Prentice Hall, India.
4. Horngren, C. T., Sundem, G. L., Stratton, W. O., Burgstahler, D., and Schatzberg, J., Introduction to
Management Accounting, Fourteenth Edition (2009), Pearson Prentice Hall, India.
Reference Journals
1. Cristiano, B., Paolo, Q. and Angelo, R. (2007). Management Accounting: Issues in interpreting its
nature and change.  Management Accounting Research, Volume 18, Issue 2, pp. 125 – 149.
2. Falconer, M. and Gavin, C. R. (2000). Editorial. Problems, challenges and opportunities: the small
business as a setting for management accounting research.  Management Accounting
Research, Vol 11, No. 4, pp. 385 – 390.
3. Tony, D., and Marc, W. (2006). Management Accounting in the Manufacturing Sector: Managing
Costs at the Design and Production Stages.  Handbooks of Management Accounting
Research, Volume 2, pp. 831 – 858.
Website references
1. American Institutes of CPA’s: http://www.aicpa.org/
2. Management and Accounting Web: http://www.maaw.info/

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QUIZ/ASSIGNMENT SCHEDULE - BBA - 2210, MANAGERIAL ACCOUNTING
Before Mid-Term
Quiz 1 Week 4 (Chapter 1 and 2) October 06 (Tuesday)
Quiz 2 Week 6 (Chapter 5 and 6) October 18 (Sunday)
VIVA October 27 (Tuesday)
After Mid-Term
Quiz 3 Week 10 (Chapter 9) November 22 (Tuesday)
Quiz 4 Week 13 (Chapter 11 and 13) December 08 (Tuesday)
VIVA December 15 (Tuesday)

ALL DATES ARE FINAL. THERE WILL BE NO MAKE-UP QUIZ. "TIME MANAGEMENT” IS A VERY
IMPORTANT SKILL YOU NEED TO LEARN AS A STUDENT. IN CASE OF ANY “12/24 HOURS”
HARTAL/DISRUPTIONS OR PUBLIC HOLIDAYS – ANY OF THE ABOVE QUIZZES WILL BE
SHIFTED TO THE NEXT CLASS AUTOMATICALLY.

PREPARED BY:
Niaz Mohammad
Faculty
Department of Accounting
Campus-1, 1st Floor, (Beside Room-123)
Phone: +880-2-8820865 Ext-553
E-mail: [email protected]

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