Registry

Module Specifications

Current Academic Year 2012 - 2013
Please note that this information is subject to change.

Module Title	Management Accounting: Cost Systems
Module Code	AC223
School	DCUBS
Online Module Resources
NFQ level	8	Credit Rating	5
Pre-requisite	None
Co-requisite	None
Compatibles	None
Incompatibles	None

Description

This module develops an understanding of issues pertaining to the elements of costs and costs systems. It develops abilities to prepare, analyse and interpret accounting information on cost elements in various cost systems. It will enhance an appreciation of the interplay of management accounting and organisational management within dynamic settings.

Learning Outcomes

1. Outline issues relating to product costs and cost systems
2. Describe the role and uses of different types of cost systems
3. Select appropriate methods for costing elements of cost (e.g. labour, materials and overhead) into products or services
4. Select and apply cost systems appropriate to the organisation type
5. Prepare profit statements approriate to the costing system

Workload	Full-time hours per semester
*Type*	*Hours*	*Description*
Lecture	24	Weekly lecture
Tutorial	12	Weekly tutorial
Independent learning time	50	Practice material and exercises
Examination	14	Continuous review of course material
Examination	25	Preparation for final examination
Total Workload: 125

All module information is indicative and subject to change. For further information,students are advised to refer to the University's Marks and Standards and Programme Specific Regulations at: http://www.dcu.ie/registry/examinations/index.shtml

Indicative Content and Learning Activities

Review of cost elements.
Material Cost: Benefits and limitations of holding stocks and derivation of optimum stock holding policy (including EQQ). Material Requirements Planning, Just-in-Time.Labour cost: Changing significance of labour cost and labour cost accounting; identify, classify, record and charge labour costs. Overhead cost: Revision of the nature of overhead cost and traditional allocation methods.Problems and limitations of traditional systems..

Activity Based Costing (ABC).
Principal features of ABC. Apply ABC to product/service cost calculations. Benefits and limitations of ABC for cost calculations, cost management and other purposes..

Cost Systems.
Job and contract costing systems: Calculation of costs for jobs and contracts. Recording costs and revenue information using an integrated accounting system. An appreciation of throughput accounting and Back-flush costing.Process costing systems:The nature of process costing. Recording information within a process costing system cognisant of equivalent units of production, FIFO and Weighted average approaches, losses and gains in processes..

Joint and By-Products.
Methods of allocating and recording costs to joint and by-products using methods such as physical measure, sales value at split-off and net realisable value..

Cost planning and analysis.
A brief introduction to some of the following topics: life cycle costing; value chain analysis; business process re-engineering (BPR); customer profitability analysis (CPA); continuous improvement (Kaizen); gain sharing arrangements, pareto analysis and cost of quality..

Absorption and variable costing.
Differences between absorption and variable costing systems. Choosing between systems. Preparing profit statements using both systems and reconciliation of profits from both systems..

Assessment Breakdown
Continuous Assessment	20%	Examination Weight	80%

Course Work Breakdown
Type	Description	% of total	Assessment Date
Short answer questions	Class test	20%	Once per semester

Reassessment Requirement
Resit arrangements are explained by the following categories; 1 = A resit is available for all components of the module 2 = No resit is available for 100% continuous assessment module 3 = No resit is available for the continuous assessment component
This module is category 1

Indicative Reading List

Garrison, R.H, Noreen, E.W. and Seal, W.: 2009, Management Accounting, 3rd edition, McGrawHill,
Drury, C.: 0, Management and Cost Accounting, 7th edition, Cengage Learning,
Horngren, C.T., Bhimani, A., Foster, G. and Datar, S.: 2005, Management and Cost Accounting, 3rd edition, FT Prentice Hall,

Other Resources

3271, Electronic Journal, 0, Accountancy Ireland, http://web.ebscohost.com/ehost/detail?vid=1&hid=9&sid=2debff42-f87c-4f9e-9c5e-ab4aeaf2129b%40session, 3272, Electronic Journal, 0, Financial Management, CIMA, 'Financial Management', http://web.ebscohost.com/ehost/detail?vid=1&hid=6&sid=e6c18ace-f4ad-4f,

Array

Programme or List of Programmes

BA in Accounting & Finance

BSSA

Study Abroad (DCU Business School)

BSSAO

Study Abroad (DCU Business School)

Timetable this semester: Timetable for AC223

Date of Last Revision

30-SEP-10

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