The first part of this course is designed to provide students with an insight into key financial accounting concepts needed for effective decision-making. This includes a brief discussion of how to record transactions using T accounts; preparing adjusted trial balances; preparing income statements, balance sheets, and statements of cash flows. Techniques for analyzing financial statements to examine a company’s financial status with respect to profitability, liquidity, and solvency are also discussed. This course subsequently builds on traditional concepts of managerial accounting (break-even analysis; strategic decisions involving product line decisions; downsizing, outsourcing; profit planning and how to set and examine budgets; and transfer pricing to maximize company value. We will also explore strategic cost reduction and waste/inefficiency reducing techniques such as Value Chain Management and Activity Based Management. The focus of the course, in summary, relates to how to effectively understand and use managerial accounting data in executive planning and control. This course is very intensive since we will be trying to cover a large amount of material over the semester. Absolute student commitment is required. Students must allocate a certain amount of time each day on this course. I will leave it up to you to judge for yourself the time required based on your learning ability.
Organization: New Jersey Institute of Technology