National College of Business Administration and Economics

Course

Programs

: Managerial Accounting

: BBA/B.Com/BS A&F

Total Marks : 100

Department : Business Administration

Semester

Instructor

: 5

th

: Abdullah Bin Omar

COURSE OBJECTIVES

To develop the skills in students so that are be able to make proper distinction

between different types of costs.

To equip the students with emerging new concepts and its application in the field of

managerial accounting.
To develop the skills in students to design the costing system that help in decision
making
COURSE OUTLINE

Lecture

Topics

s
(3 Hours)

Difference between data and information, attributes of good information,

1

cost centers, profit centers, investment centers and revenue centers under
responsibility

accounting,

difference

between

financial

accounting,

management accounting and cost accounting

Cost classification with regard to element (material, labor and overhead),
1

nature (direct or indirect ), behavior (fixed, variable, semi-variable and

stepped fixed) and function (production or nonproduction), direct and
indirect costs
Accounting procedure for ordering, purchasing, receiving and issuing
inventory, Goods Received Notes (GRN), physical inventory and book

inventory, stocktaking (periodic and continuous), purpose of stocktaking,

inventory losses and waste
Questions practice
Accounting for Labor: direct and indirect labor cost, overtime and overtime
premiums, calculating labor in products and services, remuneration

methods, time based systems, piece work systems, labor turnover, labor
efficiency, capacity and production volume ratios

Questions practice
Direct and indirect expenses, fixed production overheads, absorption
costing,

allocation

and

reapportionment,

basis

of

reapportionment,

reapportionment of service cost center cost to production cost centers,

appropriate basis for absorption rates, departmental OARs, predetermined
OARs, under and over-absorption of overheads, working backwards
Mid-term Exam
1
1
1
1
1

CASE STUDY

RECOMMENDED BOOKS:
1. International Finance: Putting Theory into Practice by Piet Sercu Leuven
School of Business and Economics
2. Multinational Business Finance by D. K. Eiteman, A. I. Stonehill and M. H.
Moffett, 12th Edition, Pearson Prentice Hall
3. International Finance: an analytical approach by Imad A.Moosa
4. Derivatives: Markets, Valuation, and Risk Management by ROBERT E.
WHALEY

COURSE FORMAT
The course combines lectures, exercises and discussions on actual problems.

COURSE ASSESSMENT
Students will be graded on the basis of:
Mid-Term Exam

= 30%

Final Examination = 50%

Solving practical problem/assignment/presentation or case study discussion = 20 %