Other university all, General , Management Accounting (Introduction to Management Accounting) Syllabus

Management Accounting (Introduction to Management Accounting)

Unit - 1 Introduction to Management Accounting
Meaning, Features, Scope, Importance, Functions, role of Management Accounting, Management Accounting Framework, Tools, Management Accounting and Financial Accounting

Unit - 2 Analysis and Interpretation of Accounts
a)Vertical Forms of Balance Sheet and Profit and Loss Account suitable for analysis
b) Trend Analysis.
c) Comparative Statement.
d) Common Size Statement.
NOTE: Practical Problems based on the above (a) to (d)

Unit - 3 Financial Statement analysis: Ratio analysis
Meaning of financial Statement Analysis, steps, Objective and types of Analysis.
Ratio analysis: Meaning, classification, Du Point Chart, advantages and Limitations.
Balance Sheet Ratios:
i) Current Ratio
ii) Liquid Ratio
iii) Stock Working Capital Ratio
iv) Proprietary Ratio
v) Debt Equity Ratio
vi) Capital Gearing Ratio
Revenue Statement Ratios:
i) Gross Profit Ratio
ii) Expenses Ratio
iii) Operating Ratio
iv) Net Profit Ratio
v) Net Operating Profit Ratio
vi) Stock Turnover Ratio
Combined Ratio
i) Return on Capital employed (Including Long Term Borrowings)
ii) Return on proprietor’s Fund (Shareholders Fund and Preference Capital)
iii) Return on Equity Capital
iv) Dividend Payout Ratio
v) Debt Service Ratio
vi) Debtors Turnover
vii) Creditors Turnover

Unit - 4 Cash Flow Analysis
Preparation of Cash Flow Statement with reference to Accounting Standard No.3. (Indirect method only))

Unit - 5 Working Capital Management
A. Concept, Nature of Working Capital , Planning of Working Capital
B. Estimation / Projection of Working Capital Requirement in case of Trading and Manufacturing Organization
C. Operating Cycle Practical Problems