Cost and Management Accountancy syllabus

Cost and Management Accountancy

• 1 Fundamentals of Cost and Management Accounting (3 LHs)

  • Branches of accounting and Limitations of financial accounting
  • Cost accounting and management accounting
  • Management Accounting in Decision Making
  • Relationship and Limitations of Cost and management accounting
• 2 Cost concept, Classification & Estimation (6 LHs)

  • Classification of cost and method of costing
  • Menu costing and Accommodation costing
  • High Low Method and Least square method
  • Estimation of cost
• 3 Cost Volume Profit approach to Decisions (6 LHs)

  • Cost volume profit analysis
  • Assumption of Cost volume profit analysis
  • Formula and Graphical approaches to Break even analysis
  • Contribution margin analysis
• 4 Income Recognition (5 LHs)

  • Absorption costing and Variable costing
  • Income Measurement under Variable Costing and Absorption Costing
• 5 Price Determination in the Hospitality Industry (4 LHs)

  • Meaning and importance of pricing
  • Cost plus pricing and Gross profit or gross margin method
  • Pricing hotel accommodation
  • Pricing food and beverage
• 6 Budgeting and Budgetary Control (6 LHs)

  • Budget, budgeting and budgetary control
  • Sales revenue, Production and Operating expenses budgets
  • Cash budget
  • Fixed and flexible budgets
• 7 Capital Investments decision in the Hospitality Industry (8 LHs)

  • Capital investment Decision
  • Cash flow Estimation
  • Net cash outlay (NCO) and Cash flows after tax (CFAT)
  • Evaluation techniques of capital investment project
• 8 Decisions regarding alternative choices in the Hospitality Industry (10 LHs)

  • Costs related with Decision Making
  • Make or buy decision
  • Drop or continue decision
  • Accept or reject order decision
  • Continue or closure in off season