Description
Management Accounting - University of South Africa
12
Management Accounting
(offered by the Department of Management Accounting)
Telephone number 012 429 4753
1 Introduction
The Department of Management Accounting is one of four departments in the School of Accounting Sciences, the other three being the Departments
of Financial Accounting, Auditing and Taxation. The School of Accounting Sciences o?ers quali?cations for students in a comprehensive range from
certi?cates (vocational programmes) to Doctorates (formative programmes). Various Bachelor’s and Honours degrees are presented which are aimed at
professional quali?cations. The Bachelor of Accounting Science (BCompt) and other specialised BCom degrees with the corresponding Honours degrees
are examples of these professional programmes.
Management Accounting is a substantial part of the BCompt and Honours BCompt/CTA programmes (professional programmes) which are based on
the curriculum of the South African Institute of Chartered Accountants (SAICA) which ultimately leads to the successful candidate being registered as a
Chartered Accountant CA(SA).
The National Diploma Cost and Management Accounting (vocational programme) and the BCom (Accounting) and Honours BCom (Accounting) both
with specialization in Management Accounting (professional programmes) which are presented in the Department of Management Accounting, serve as
preparation towards various stages of the professional quali?cation as a Chartered Management Accountant (CMA), registered at the Chartered Institute
of Management Accountants (CIMA). Similarly, the National Higher Certi?cate in Accountancy presented by the School of Accounting Sciences also
serves as preparation towards one of the stages of the CIMA quali?cation, with Management Accounting being part of the curriculum. Refer to the CIMA
website at www.cimaglobal.com or contact CIMA at 011 268 2555 for present exemptions, if any.
Chartered Accountants CA(SA) and Management Accountants of various levels of expertise are not only in demand in the professions, but also in
commerce and industry.
Management Accounting provides information to managers within the organisation, placing them in a position to use the information for strategic
and tactical decision-making, planning, control and performance measurement. Management Accounting includes the processing, communication and
interpretation of current information which is used to make projections for expected future events, revenue and costs. The projections are used as a basis
for decisions on future courses of action.
Within the department of Management Accounting, modules in Accounting Data Processing (formative and professional quali?cations) and Business
Information Systems (vocational) are also presented. These modules are aimed at equipping students with a sound theoretical knowledge as well as the
application of an accounting data processing system in the business environment. Practical exposure to Windows, spreadsheet applications and Pastel
are included.
2 General information
Financial Accounting, Management Accounting and Auditing may be taken for the BCom general.
On second and third level, BCom and BAdmin students may choose between Financial Accounting, Management Accounting and Municipal
Accounting.
Students who wish to continue with postgraduate studies must have completed their major subject, in which the postgraduate studies will be
followed, within ?ve years prior to registration for their postgraduate quali?cation.
3 Syllabus
SECOND-LEVEL MODULE
ACN203S Cost accounting and control (S1 and S2)*
Prerequisite: ACN101 and (ACN102 or 103) and (QMG102 or QMS102 or QMI101)
Purpose: to introduce students to elements of cost; cost concepts; variable budgets; cost volume pro?t analysis; recovery of cost of service departments; job
costing; contract cost accounting; process costing; standard costing; direct and absorption costing; joint and by-products; ABC cost accounting.
THIRD-LEVEL MODULES
On third level, certain modules are common to di?erent quali?cations and therefore have di?erent module codes. The course material and content are
identical in all respects. For example:
the series ACN31 is o?ered for the BCompt degree and the BCom degree (with specialisation in Management Accounting)
the series ACN30 is o?ered for all other BCom degrees.
A non-programmable ?nancial calculator is a requirement for ACN306Y/ACN3164, ACN3073/ACN3175 and ACN3084/ACN3186
ACN306Y/ACN3164 Management accounting techniques as an aid in decision-making (S1 and S2)*
Prerequisite: ACN203
Purpose: to equip students with the knowledge, values and skills to act as consultants and advisors to other managers and to use management accounting
techniques to make recommendations for managerial decision-making purposes. Students should be able to apply this knowledge: management
accounting versus ?nancial accounting and the role of the management accountant; cost-volume-pro?t analysis; optimum utilisation of production
13
factors; relevant cost for non-routine decisions; decision-making under circumstances of risk and uncertainty, regression analysis; learning curves;
inventory and production models; and network analysis.
ACN3073/ACN3175 Financial planning and control (S1 and S2)*
Prerequisite: ACN203
Purpose: to gain knowledge and insight into the following subject mater as well as the ability to apply this knowledge by virtue of calculations, interpretation
and integration: time value of money; cost of capital; capital investment decisions; ?nancing decisions; standard costing and budgets.
ACN3084/ACN3186 Financial analysis, valuations and restructuring (S1 and S2)*
Prerequisite: ACN202
Purpose: to gain knowledge of and insight into the following subject mater as well as the ability to apply this knowledge: ?nancial analysis; risk;
valuation of business interests; changes in shareholder’s equity: reorganisations, arrangements and compromises, liquidations; changes in shareholding:
absorptions, amalgamations, conversions: partnerships to companies, close corporations to companies, companies to partnerships, and companies to close
corporations.
HONOURS PAPERS
NB
The prerequisites for the various postgraduate quali?cations and papers are included in the Calender Part 4, at every quali?cation.
Paper for the Postgraduate Diploma in Accounting Sciences:
DIPAC26 Advanced management accounting* (4-hour examination paper)
Purpose: to prepare students to meet the minimum admission requirements for direct access to Honours BCompt and includes functions of ?nancial
management; nature of costs; cost management: material, labour and overhead; management accounting information systems; absorption and variable
costing; cost-volume-pro?t analysis; activity-based costing; cash budgets; variance analysis in standard costing; decentralised performance; relevant costs;
price determination; risk and return; sources and forms of ?nance; the cost of capital; time value of money; NPV method for capital investment appraisal;
analysis of ?nancial information; dividend decisions; treasury function; valuation of debt instruments and earnings yield method for equity valuations
and working capital management.
Paper for the Honours BCompt degree/CTA
TOE408W/ZAC408H Applied management accounting* (5-hour examination paper)
Purpose: the curriculum and syllabus are designed for preparing students for Part 1 of the Qualifying Examination (QE1) of the South African Institute
of Chartered Accountants (SAICA) and includes nature of costs; cost management: material, labour and overhead; management accounting information
systems; absorption and variable costing; cost-volume-pro?t analysis; activity-based costing; budgeting and control; standard costing; performance
management; transfer pricing; decision making; capital investment appraisal; function of ?nancial management; risk and return; sources and forms of
?nance; the cost of capital; analysis of ?nancial information; the dividend decision; treasury function; valuations; management of working capital and
corporate transactions.
Papers for various Honours BCom Accounting Degrees:
NB
The following papers are only presented in English. Students may, however, answer assignment and examination questions in English or Afrikaans.
AAD000R Advanced accounting information systems* (3-hour examination paper)
Purpose: to equip students to de?ne, develop and implement accounting data processing systems; to manage information resources, including data and
technology, in compliance with technical and operational requirements; to meet user needs; to advise management on the development of accounting
data-processing strategies; to utilise accounting information to support the management activities of planning and decision making and to monitor and
control accounting data processing systems and services.
ACA000P Advanced cost and management accounting* (3-hour examination paper)
Purpose: to gain in-depth knowledge of and insight into the role of the management accountant in ensuring that the organisation survives in a competitive
business environment; the importance of the planning function to ensure the e?ective utilisation of resources; strategic planning and the seting of goals
and formulation of long-term strategies to ensure long-term survival; the supportive role that management accountants render to the various management
functions and e?ective management of resources.
ADMAATS Advanced management accounting techniques* (3 hour examination paper)
Purpose: to equip students with advanced management accounting techniques for managerial decision-making. These include advanced methods
and approaches to be applied under circumstances of risk and uncertainty, for pricing; overhead absorption; investment appraisal; costing systems;
developments in management accounting; non-?nancial performance measures and the management of information and knowledge.
AFM000U Advanced financial management* (3 hour examination paper)
Purpose: to gain in-depth knowledge of and insight into the planning, management and monitoring of ?nancing and investments; to equip a student to
identify the various sources of ?nance available; to teach students to appreciate investment and ?nancing proposals and formulate ?nancial strategy. The
topics covered are ?nancial policy formulation and action, the ?nancing function (?nance sources, capital structure), the investment function (valuations
and investment appraisal) as well as ?nancial analysis and forecasting.
FPC000A Financial planning and control* (3-hour examination paper)
Purpose: to equip students with in-depth knowledge of and insight into the planning and control functions and the management accountant’s role to ensure
e?ective planning and control; the importance of the planning function, both strategically and operational; performance measurement and management
control to ensure e?ective utilisation of resources; management audit to ensure e? ciency.
14
FST0005 The meaning, analysis, interpretation and design of financial statements* (3-hour examination paper)
Purpose: to equip students to analyse and interpret ?nancial information contained in ?nancial statements, to perform a complete analysis of a ?rm’s
business and ?nancial statements, to explain and apply forecasting and valuation techniques within the broad context of evaluating share investments,
mergers and takeover activities and to utilise the analysis results to support the management activities of planning and decision-making.
Paper for the Honours BCom Internal Auditing degree:
HBCMAC8 Advanced management accounting* (4-hour examination paper)
Purpose: to prepare students to meet the minimum admission requirements for direct access to Honours BCom and includes functions of ?nancial
management; nature of costs; cost management: material, labour and overhead; management accounting information systems; absorption and variable
costing; cost-volume-pro?t analysis; activity-based costing; cash budgets; variance analysis in standard costing; decentralised performance; relevant costs;
price determination; risk and return; sources and forms of ?nance; the cost of capital; time value of money; NPV method for capital investment appraisal;
analysis of ?nancial information; dividend decisions; treasury function; valuation of debt instruments and earnings yield method for equity valuations
and working capital management.
doc_357130713.pdf
Management Accounting - University of South Africa
12
Management Accounting
(offered by the Department of Management Accounting)
Telephone number 012 429 4753
1 Introduction
The Department of Management Accounting is one of four departments in the School of Accounting Sciences, the other three being the Departments
of Financial Accounting, Auditing and Taxation. The School of Accounting Sciences o?ers quali?cations for students in a comprehensive range from
certi?cates (vocational programmes) to Doctorates (formative programmes). Various Bachelor’s and Honours degrees are presented which are aimed at
professional quali?cations. The Bachelor of Accounting Science (BCompt) and other specialised BCom degrees with the corresponding Honours degrees
are examples of these professional programmes.
Management Accounting is a substantial part of the BCompt and Honours BCompt/CTA programmes (professional programmes) which are based on
the curriculum of the South African Institute of Chartered Accountants (SAICA) which ultimately leads to the successful candidate being registered as a
Chartered Accountant CA(SA).
The National Diploma Cost and Management Accounting (vocational programme) and the BCom (Accounting) and Honours BCom (Accounting) both
with specialization in Management Accounting (professional programmes) which are presented in the Department of Management Accounting, serve as
preparation towards various stages of the professional quali?cation as a Chartered Management Accountant (CMA), registered at the Chartered Institute
of Management Accountants (CIMA). Similarly, the National Higher Certi?cate in Accountancy presented by the School of Accounting Sciences also
serves as preparation towards one of the stages of the CIMA quali?cation, with Management Accounting being part of the curriculum. Refer to the CIMA
website at www.cimaglobal.com or contact CIMA at 011 268 2555 for present exemptions, if any.
Chartered Accountants CA(SA) and Management Accountants of various levels of expertise are not only in demand in the professions, but also in
commerce and industry.
Management Accounting provides information to managers within the organisation, placing them in a position to use the information for strategic
and tactical decision-making, planning, control and performance measurement. Management Accounting includes the processing, communication and
interpretation of current information which is used to make projections for expected future events, revenue and costs. The projections are used as a basis
for decisions on future courses of action.
Within the department of Management Accounting, modules in Accounting Data Processing (formative and professional quali?cations) and Business
Information Systems (vocational) are also presented. These modules are aimed at equipping students with a sound theoretical knowledge as well as the
application of an accounting data processing system in the business environment. Practical exposure to Windows, spreadsheet applications and Pastel
are included.
2 General information
Financial Accounting, Management Accounting and Auditing may be taken for the BCom general.
On second and third level, BCom and BAdmin students may choose between Financial Accounting, Management Accounting and Municipal
Accounting.
Students who wish to continue with postgraduate studies must have completed their major subject, in which the postgraduate studies will be
followed, within ?ve years prior to registration for their postgraduate quali?cation.
3 Syllabus
SECOND-LEVEL MODULE
ACN203S Cost accounting and control (S1 and S2)*
Prerequisite: ACN101 and (ACN102 or 103) and (QMG102 or QMS102 or QMI101)
Purpose: to introduce students to elements of cost; cost concepts; variable budgets; cost volume pro?t analysis; recovery of cost of service departments; job
costing; contract cost accounting; process costing; standard costing; direct and absorption costing; joint and by-products; ABC cost accounting.
THIRD-LEVEL MODULES
On third level, certain modules are common to di?erent quali?cations and therefore have di?erent module codes. The course material and content are
identical in all respects. For example:
the series ACN31 is o?ered for the BCompt degree and the BCom degree (with specialisation in Management Accounting)
the series ACN30 is o?ered for all other BCom degrees.
A non-programmable ?nancial calculator is a requirement for ACN306Y/ACN3164, ACN3073/ACN3175 and ACN3084/ACN3186
ACN306Y/ACN3164 Management accounting techniques as an aid in decision-making (S1 and S2)*
Prerequisite: ACN203
Purpose: to equip students with the knowledge, values and skills to act as consultants and advisors to other managers and to use management accounting
techniques to make recommendations for managerial decision-making purposes. Students should be able to apply this knowledge: management
accounting versus ?nancial accounting and the role of the management accountant; cost-volume-pro?t analysis; optimum utilisation of production
13
factors; relevant cost for non-routine decisions; decision-making under circumstances of risk and uncertainty, regression analysis; learning curves;
inventory and production models; and network analysis.
ACN3073/ACN3175 Financial planning and control (S1 and S2)*
Prerequisite: ACN203
Purpose: to gain knowledge and insight into the following subject mater as well as the ability to apply this knowledge by virtue of calculations, interpretation
and integration: time value of money; cost of capital; capital investment decisions; ?nancing decisions; standard costing and budgets.
ACN3084/ACN3186 Financial analysis, valuations and restructuring (S1 and S2)*
Prerequisite: ACN202
Purpose: to gain knowledge of and insight into the following subject mater as well as the ability to apply this knowledge: ?nancial analysis; risk;
valuation of business interests; changes in shareholder’s equity: reorganisations, arrangements and compromises, liquidations; changes in shareholding:
absorptions, amalgamations, conversions: partnerships to companies, close corporations to companies, companies to partnerships, and companies to close
corporations.
HONOURS PAPERS
NB
The prerequisites for the various postgraduate quali?cations and papers are included in the Calender Part 4, at every quali?cation.
Paper for the Postgraduate Diploma in Accounting Sciences:
DIPAC26 Advanced management accounting* (4-hour examination paper)
Purpose: to prepare students to meet the minimum admission requirements for direct access to Honours BCompt and includes functions of ?nancial
management; nature of costs; cost management: material, labour and overhead; management accounting information systems; absorption and variable
costing; cost-volume-pro?t analysis; activity-based costing; cash budgets; variance analysis in standard costing; decentralised performance; relevant costs;
price determination; risk and return; sources and forms of ?nance; the cost of capital; time value of money; NPV method for capital investment appraisal;
analysis of ?nancial information; dividend decisions; treasury function; valuation of debt instruments and earnings yield method for equity valuations
and working capital management.
Paper for the Honours BCompt degree/CTA
TOE408W/ZAC408H Applied management accounting* (5-hour examination paper)
Purpose: the curriculum and syllabus are designed for preparing students for Part 1 of the Qualifying Examination (QE1) of the South African Institute
of Chartered Accountants (SAICA) and includes nature of costs; cost management: material, labour and overhead; management accounting information
systems; absorption and variable costing; cost-volume-pro?t analysis; activity-based costing; budgeting and control; standard costing; performance
management; transfer pricing; decision making; capital investment appraisal; function of ?nancial management; risk and return; sources and forms of
?nance; the cost of capital; analysis of ?nancial information; the dividend decision; treasury function; valuations; management of working capital and
corporate transactions.
Papers for various Honours BCom Accounting Degrees:
NB
The following papers are only presented in English. Students may, however, answer assignment and examination questions in English or Afrikaans.
AAD000R Advanced accounting information systems* (3-hour examination paper)
Purpose: to equip students to de?ne, develop and implement accounting data processing systems; to manage information resources, including data and
technology, in compliance with technical and operational requirements; to meet user needs; to advise management on the development of accounting
data-processing strategies; to utilise accounting information to support the management activities of planning and decision making and to monitor and
control accounting data processing systems and services.
ACA000P Advanced cost and management accounting* (3-hour examination paper)
Purpose: to gain in-depth knowledge of and insight into the role of the management accountant in ensuring that the organisation survives in a competitive
business environment; the importance of the planning function to ensure the e?ective utilisation of resources; strategic planning and the seting of goals
and formulation of long-term strategies to ensure long-term survival; the supportive role that management accountants render to the various management
functions and e?ective management of resources.
ADMAATS Advanced management accounting techniques* (3 hour examination paper)
Purpose: to equip students with advanced management accounting techniques for managerial decision-making. These include advanced methods
and approaches to be applied under circumstances of risk and uncertainty, for pricing; overhead absorption; investment appraisal; costing systems;
developments in management accounting; non-?nancial performance measures and the management of information and knowledge.
AFM000U Advanced financial management* (3 hour examination paper)
Purpose: to gain in-depth knowledge of and insight into the planning, management and monitoring of ?nancing and investments; to equip a student to
identify the various sources of ?nance available; to teach students to appreciate investment and ?nancing proposals and formulate ?nancial strategy. The
topics covered are ?nancial policy formulation and action, the ?nancing function (?nance sources, capital structure), the investment function (valuations
and investment appraisal) as well as ?nancial analysis and forecasting.
FPC000A Financial planning and control* (3-hour examination paper)
Purpose: to equip students with in-depth knowledge of and insight into the planning and control functions and the management accountant’s role to ensure
e?ective planning and control; the importance of the planning function, both strategically and operational; performance measurement and management
control to ensure e?ective utilisation of resources; management audit to ensure e? ciency.
14
FST0005 The meaning, analysis, interpretation and design of financial statements* (3-hour examination paper)
Purpose: to equip students to analyse and interpret ?nancial information contained in ?nancial statements, to perform a complete analysis of a ?rm’s
business and ?nancial statements, to explain and apply forecasting and valuation techniques within the broad context of evaluating share investments,
mergers and takeover activities and to utilise the analysis results to support the management activities of planning and decision-making.
Paper for the Honours BCom Internal Auditing degree:
HBCMAC8 Advanced management accounting* (4-hour examination paper)
Purpose: to prepare students to meet the minimum admission requirements for direct access to Honours BCom and includes functions of ?nancial
management; nature of costs; cost management: material, labour and overhead; management accounting information systems; absorption and variable
costing; cost-volume-pro?t analysis; activity-based costing; cash budgets; variance analysis in standard costing; decentralised performance; relevant costs;
price determination; risk and return; sources and forms of ?nance; the cost of capital; time value of money; NPV method for capital investment appraisal;
analysis of ?nancial information; dividend decisions; treasury function; valuation of debt instruments and earnings yield method for equity valuations
and working capital management.
doc_357130713.pdf