International program

Accountant of Management Accounting

Management Accounting

Accountant of Management Accounting

Modules

1. Nature of Management Accounting. Cost Classification for Decision Making

2. Cost Management Concept. Methods of Costing. Cost-Volume-Profit Analysis. Break-Even Point

3. Managerial Format of the Income Statement. Analysis of Sales Structure and Profitability of Individual Product Types

4. Pricing

5. Budgeting; Types of Budgets; Master Budget; Responsibility Centers

6. Financial Control: Financial Performance Indicators. Financial Control Tools: Flexible Budget and Transfer Pricing

7. Segment Reporting. Management Control: Non-Financial Performance Indicators

8. Development of Management Control System: Balanced Scorecard

9. The concluding assessment. Mock exam.

Topics

1.1. Nature of management accounting

Definition of management accounting
Fundamental differences between management and financial accounting
Components of management accounting
Essence of management accounting
Objectives of management accounting
Key users of management accounting
Individuals responsible for establishing the management accounting system in an organization
Tasks of management accounting
Main components of the management accounting system in an organization
Primary processes ensuring the formation and operation of the management accounting system
Factors influencing the establishment of the management accounting system in organizations

1.2. Conceptual and methodological basis of finance reporting

Definition of costs and methods of cost classification
Cost categories: fixed, variable, average, marginal
Other types of costs
Models and methods of product costing

Topics

2.1 Budgeting

The planning process in an enterprise
Budgeting system
Strategic, tactical, and operational planning

2.2. Intangible assets and asset impairment

Forecasting. Key stages of forecasting
Basic forecasting methods
Sales forecasting

2.3. Financial reporting forecasting

Forecasting financial statements
Factors influencing the need for external financing
Forecasting financial needs in the presence of fluctuating financial indicators for the company

Topics

3.1. Management analysis: profit maximization methods

Cost structure analysis
Analytical profit and loss statement with emphasis on marginal profit
Break-even analysis of the enterprise
Operating leverage effect
Choosing the optimal product mix structure

Topics

4.1. Sources of business financing

Internal and external sources of financing for organizational activities, factors of financial equilibrium. Concept, structure, and purpose of financial markets
Financial institutions, their purpose, and tasks
Types of short-term credits. Conditions of trade credit
Minimizing the cost of short-term credit
Securities as a tool for attracting financial resources
Types of securities
Methods of securities valuation
Evaluation of bonds
Evaluation of stocks

Topics

5.1. Working capital management

Definitions, significance, and characteristics of working capital management. Operational and financial cycles
Inventory management
Accounts receivable management
Cash management
Working capital financing policy

Topics

6.1. Long-term financial decisions

Definition of investments, types of investments. Nature of investment decisions. Time value of money concept. Annuities. Future and present value of annuity
Methods of investment appraisal
Consideration of inflation, taxation, risks, and uncertainty

Topics

7.1. Risk and return: basic concepts

Interest rate risk and currency risk. Methods and tools for risk management
Methods of financial risk neutralization
Insurance, hedging, diversification

7.2. Cost of capital and capital structure decisions

Cost of capital. Weighted average cost of capital
Factors influencing the capital structure
Corporate capital structure policy and the impact of capital structure on enterprise value
Dividend policy
Types of dividend policies
Factors influencing the choice of dividend policy
Dividend policy and stock price regulation

Topics

8.1. Measurement of business value for shareholders

Concept of value and types of value. Creating value for shareholders. Methods for determining the value of an ongoing enterprise
Cost approach valuation
Income approach valuation
Comparable sales approach
Managing business through Shareholder Value Analysis (SVA)
Economic Value Added (EVA). Comparing EVA and SVA

Topics

Module 9 represents an equivalent of the upcoming online exam:

It includes a test (20 questions, 2 points each, maximum score - 40 points, automatically checked and assessed).
And assignments (4 tasks, maximum total score - 60, evaluated by the instructor).
Just like in the exam, the goal is to achieve a total of 60 points out of 100 for both the test and assignments.

Part 1. Professional Accountant (IFRS)

Nature of Management Accounting. Cost Classification for Decision Making

Topics

1.1. Nature of management accounting

Definition of management accounting
Fundamental differences between management and financial accounting
Components of management accounting
Essence of management accounting
Objectives of management accounting
Key users of management accounting
Individuals responsible for establishing the management accounting system in an organization
Tasks of management accounting
Main components of the management accounting system in an organization
Primary processes ensuring the formation and operation of the management accounting system
Factors influencing the establishment of the management accounting system in organizations

1.2. Conceptual and methodological basis of finance reporting

Definition of costs and methods of cost classification
Cost categories: fixed, variable, average, marginal
Other types of costs
Models and methods of product costing

Module 2. Cost Management Concept. Methods of Costing. Cost-Volume-Profit Analysis. Break-Even Point

Topics

2.1 Cost management concept. Costing methods

Segregation of costs into fixed and variable
Costing of production costs

2.2. Cost-Volume-Profit analysis. Break-even point

Essence of CVP analysis. Break-even analysis
Companies with high fixed and variable costs

Module 3. Managerial Format of the Income Statement. Analysis of Sales Structure and Profitability of Individual Product Types

Topics

3.1. Managerial analysis: profit maximization methods. Managerial Income Statement format

Income Statement for managerial decision-making. Possible options for constructing an Income Statement
Algorithm for compiling an Income Statement for management accounting purposes

3.2. Analysis of sales structure and profitability of individual product types

Sales analysis. ABC sales analysis
XYZ sales analysis
Analysis of sales profitability
Factor analysis of sales profitability

Module 4. Pricing

Topics

4.1. Pricing

Objectives of pricing
Types of сosts
Cost-based pricing methods
Market-based pricing methods
Conclusions on pricing methods
Price elasticity of demand
Parametric pricing methods

Module 5. Budgeting; Types of Budgets; Master Budget; Responsibility Centers

Topics

5.1. Budgeting, types of budgets, Master Budget

Budget and types of budgets
What is budgeting
Factor analysis of cost by cost categories

5.2. Responsibility centers

Essence of responsibility centers, their role, advantages, and disadvantages
Financial responsibility centers and their key Indicators
Cost center accounting

Module 6. Financial Control: Financial Performance Indicators. Financial Control Tools: Flexible Budget and Transfer Pricing

Topics

6.1. Financial control: financial performance indicators

System of financial ratios
Essence of responsibility centers, their role, advantages, and disadvantages
Operational analysis indicators
Operational cost indicators
Efficiency indicators for asset management
Liquidity indicators
Profitability indicators
Capital structure indicators
Debt service indicators
Market Indicators

6.2. Financial control tools: flexible budget and transfer pricing

Flexible budgets and control
Transfer pricing
Essence, necessity, and objectives of transfer pricing
Factors influencing the establishment of transfer prices
Mechanism of transfer pricing based on market price
Pricing based on market prices
Types of pricing based on full and marginal costs
Other types of transfer pricing

Module 7. Segment Reporting. Management Control: Non-Financial Performance Indicators

Topics

7.1. Segment reporting

Role of segment reporting with a real example
Procedure for forming segment management reporting

7.2. Management control: non-financial performance indicators

Internal non-financial indicators
External non-financial indicators
Interconnection of financial and non-financial indicators

Module 8. Development of Management Control System: Balanced Scorecard

Topics

8.1. Development of management control system: Balanced Scorecard

Objectives of developing the Balanced Scorecard (BSC)
Components of the Balanced Scorecard
Typical project for developing the Balanced Scorecard
Utilizing financial analysis within the Balanced Scorecard framework

Module 9. The concluding assessment. Mock exam.

Topics

Module 9 represents an equivalent of the upcoming online exam:

It includes a test (20 questions, 2 points each, maximum score - 40 points, automatically checked and assessed).
And assignments (4 tasks, maximum total score - 60, evaluated by the instructor).
Just like in the exam, the goal is to achieve a total of 60 points out of 100 for both the test and assignments.

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