AC208-Management Information

Module Provider: International Business and Strategy
Number of credits: 20 [10 ECTS credits]
Terms in which taught: Autumn / Summer term module
Pre-requisites: AC101 Introduction to Accounting
Non-modular pre-requisites:
Modules excluded: AC201 Management Accounting
Module version for: 2016/7

Module Convenor: Innocent Okwuosa


Summary module description:
This module provides an introduction to management accounting concepts and techniques and how financial information can be used by managers to aid decision-making.

This module aims to provide students with an understanding of the techniques, principles and underlying concepts relating to the provision and use of financial information in organisational decision-making, planning and control. This involves a consideration of the technical language and practices of management accounting, their location within the organisational and business context, and the theoretical and empirical evidence concerning the development and current practice of management accounting.

Assessable learning outcomes:
By the end of the module it is expected that students will be able to:
1. Explain the role of management accounting in providing information to managers for decision making, planning and control.
2. Describe and discuss the changes taking place in organisations and the business environment and their influence on management accounting systems and practices.
3. Produce effective solutions to practical decision-making, planning and control scenarios including:
a. the calculation of contribution and its use it in CVP and limiting factor analysis
b. the application of costing techniques and their relevance to pricing, including transfer prices
c. the difference in profit calculations using marginal and absorption costing and their reconciliation. Looking at ABC and absorption costing.
d. the calculation of performance measures, including residual income and return on investment
e. the preparation of budgets especially those relating to cash
f. the calculation of basic marginal costing variances. The extension to looking at planning and operational variances.
g. the calculation of payback periods, NPV, IRR and ARR.
4. Recognise the qualitative aspects, including behavioural aspects, of decision-making, planning and control and appraise these in relation to management accounting problems.
5. Organise and present information clearly, succinctly and in the required format, both under timed conditions and in assessed work.

Additional outcomes:
The module also aims to encourage the development of oral communication skills and the students’ effectiveness in group situations. Structured activities are designed to develop independent learning, including reflective, adaptive and collaborative learning. Students are encouraged to develop additional IT skills through use of relevant web resources and electronic communication techniques, including Blackboard.

Outline content:
• The role and nature of management accounting;
• Cost classification and behaviour;
• Cost-volume-profit analysis;
• Identifying relevant costs and revenues for decision making including limiting factor analysis and marginal costing;
• Cost assignment and full (absorption) costing; Extending to look at Activity based costing and Activity based management.
• Reconciliation of profits under marginal and absorption costing;
• Pricing decisions and profitability analysis including transfer pricing;
• Budgeting and forecasting including individual and group behaviour;
• Functional and master budgets;
• Standard costing and variance analysis; Looking at planning and operational variances.
• Performance measurement including return on investment and residual income;
• Capital investment appraisal.

Brief description of teaching and learning methods:
The module is delivered through a combination of interactive lectures which will introduce students to topic areas and practical workshops where students will consolidate their understanding through guided question practice and discussion.

Contact hours:
  Autumn Spring Summer
Lectures 30 8
Practicals classes and workshops 20
Guided independent study 142
Total hours by term 192.00 8.00
Total hours for module 200.00

Summative Assessment Methods:
Method Percentage
Written exam 80
Class test administered by School 20

Other information on summative assessment:
Two 45 minute closed book unseen objective tests attempted under exam conditions during the Autumn term (each contributing 10% of the total module mark).

Formative assessment methods:
Formative assessments are available in the text book for all topics. In addition, exam style questions are available on Blackboard and students will practice exam style questions in workshops. Marking guides and feedback are provided where appropriate so that students can assess their own performance.

Penalties for late submission:
The Module Convenor will apply the following penalties for work submitted late, in accordance with the University policy.

  • where the piece of work is submitted up to one calendar week after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for the piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of five working days;
  • where the piece of work is submitted more than five working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded.

  • The University policy statement on penalties for late submission can be found at:
    You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work.

    Length of examination:
    One two hour closed book unseen written exam in the Summer term.

    Requirements for a pass:
    A minimum mark of 40% is required for a University pass.
    This module contributes to the Management Information module of the ACA Professional Stage Knowledge level. In order to apply for ICAEW credit for prior learning, a minimum mark of 50% must be obtained in this module.

    Reassessment arrangements:
    Reassessment is through exam only in August / September of the same year.

    Additional Costs (specified where applicable):
    1) Required text books:
    2) Specialist equipment or materials:
    3) Specialist clothing, footwear or headgear:
    4) Printing and binding:
    5) Computers and devices with a particular specification:
    6) Travel, accommodation and subsistence:

    Last updated: 21 December 2016

    Things to do now