University of Manitoba I. H. Asper School of Business Department of Accounting and Finance Winter 2013 ACC 1110 - INTRODUCTORY MANAGERIAL ACCOUNTING A01 A02 Tuesday and Thursday 8:30 a.m. 9:45 a.m. Tuesday and Thursday 10:00 a.m. 11:15 a.m. Instructor: Jean Pai, CGA Office: 372 Drake Centre Office Hours: Tuesday and Thursday from 11:30 a.m. to 12:30 p.m. E-mail: jean.pai@ad.umanitoba.ca COURSE OBJECTIVES This first course in managerial accounting introduces students to the use of accounting information for internal management decision-making. The internal user focus is a notable contrast to the emphasis in financial accounting of reporting the results of a company s operations to external users. The course is designed from the perspective of the general manager, and its primary purpose is to develop the ability to use rather than to prepare accounting information. Specifically, this course should help you to understand how basic cost concepts are applied to develop costing systems that will determine the cost of a company s products or services. Accurate cost data is an essential prerequisite for proper managerial decision-making. understand and apply management accounting concepts and techniques in order to make wise choices between competing alternatives. This requires the ability to extract relevant information from accounting records, reports or statements, and to properly use this information. understand basic concepts of management control systems and utilize these concepts in evaluating the performance of managers, products, or economic units.
LEARNING GOALS This course will also address the following learning goals: 1. Ethics: students will be exposed to ethical situations in assigned homework questions and classroom discussions 2. Communications: students will be encouraged to participate in classroom discussions and will be evaluated on written communication skills on examination papers 3. Quantitative methods: students will develop skills in basic quantitative analyses in assigned homework questions and classroom activities 4. Critical thinking: students will be expected to apply concepts learned in new situations while completing homework assignments, in-class assignments and examinations REQUIRED TEXT and DESIRE-TO-LEARN (D2L) SITE Garrison et al., Managerial Accounting, Ninth Canadian Edition, McGraw-Hill Ryerson, 2012. ISBN 0-07-040189-6. The textbook is available for purchase at the campus bookstore. Do not throw away the Connect access code card that comes with your new textbook. You can use it to register in the Connect site provided by the publisher for more resources including practice questions. Desire-to-learn site provide solutions to textbook questions and other course materials. Follow the instructions below to log on Desire to Learn (D2L): 1. Go to https://umanitoba.ca/d2l. 2. Log into D2L using your UMnetID. You must claim your university UMnetID to log into D2L. If you have not done so, claim your UMnetID at the claimid website. 3. If you are having problems logging into your course, call 474-8600 or 474-6992 or email support@cc.umanitoba.ca. 4. On your D2L home page, then click on the ACC 1110 course title under My Courses. MARK ALLOCATION: Midterm Examination One Midterm Examination Two Final Examination Thursday 7 th February, 2013 from 6:00 p.m. to 7:30 p.m, Day 1 to Day 7, inclusive; location to be announced Thursday 21 st March, 2013 from 6:00 p.m. to 8:00 p.m., Day 1 to Day 17, inclusive; location to be announced Comprehensive; location to be announced by the Registrar s Office 25% 35% 40% 2
WHAT TO BRING TO EACH CLASS 1. Class Notes: Prior to each class students must print a copy of the relevant class notes found in the course D2L site and bring the class notes to class. The class notes are required to complete class activities. Note that course materials from McGraw Hill Ryerson sources have been used with permissions. 2. Calculator. 3. Name Card: A blank one will be provided on the first day of class. COURSE LABS Friday course labs are compulsory for all students. Attendance will be taken at each of the labs and students may have one mark deducted from their final exam for each lab that was not attended. CONDUCT OF THE COURSE Readings and homework problems have been selected and assigned for each topic covered in the course. Students are expected to complete the text readings and attempt assigned homework problems prior to class. Students should spend at least four hours per lecture hour completing readings, reviewing lecture material and completing homework assignments. Given that the text provides ample coverage on most topics, class time will not focus on covering content. Class time will primarily consist of in-class discussion and learning activities involving the application of concepts covered in the text. GUIDELINES FOR STUDENT CONDUCT A student s conduct in class will depend on the nature of the class, the technologies available and the professor. To avoid misunderstandings, I include here a list of guidelines that will hopefully enhance the managerial accounting for all students. The guidelines are derived from general principles of professional courtesy, contribution and service that will serve you well throughout your career. Classroom conduct Bring your class notes in hard copies (not electronic version) and turn off cell phones. Be on time. The class will start promptly at the time set by the university. Students should be seated and the professor s presentation properly set up by this time. Occasionally, things happen that will get in the way, but these things should be rare. Address your comments in class to the professor. Talking with your neighbour distracts students sitting around you and the professor. Questions directed to the professor, on the other hand, almost always help to clear up confusion that other students in the room have. To minimize distraction during lecture, you are expected to leave the 3
class room voluntarily if you wish to chat with your fellow students in class, text or surf on a mobile devise or laptop. Be here now. If you come to class, come to class. Put away cell phones, newspapers, mp3 players, and IPods, and other materials that are not related to the class. GUIDELINES FOR STUDENT CONDUCT CONTINUED: Asking questions/asking for help Questions are important as they help me to deal with your difficulties and help to point out problems with the textbook and my materials. I encourage questions in class and during my office hours. Many students like to ask questions immediately before and after class but this can be problematic. Before class, I am usually setting up the computer, projector and class materials. After class, I have to pack up and get out before the next instructor comes in. Please be understanding and let me do the setup/takedown before asking me questions. In the interest of fairness to the other students, please do not ask for information or resources (e. g., exam study tips, and my lecture notes) that are not available to all students. E-mail E-mail can be a useful way of dealing with smaller issues. I respond to all e-mails and answer questions where practical. If the question is too complicated (e. g., Can you explain pension accounting to me?), I will ask you to come and see me in my office. Some more specific guidelines: Use your university e-mail account (cc or ad account) to communicate with me. The university s spam program frequently filters out messages from hotmail and gmail accounts in particular. Do not use the Angel Intra Mail as it is disconnected and would not be read. Tell me who you are. Please give your full name and your class when you write to me. Emails with no subject or name will be ignored and deleted. Use a brief but descriptive subject line to help me get back to your e-mail if I need to do some research first. Please avoid unhelpful subject lines like Question. ACADEMIC INTEGRITY Students are encouraged to become familiar with the faculty s policy on academic integrity attached. The typical penalty for a first-time offence includes an F in the course with a notation on the transcript and being barred from taking any courses in the I. H. Asper School of Business for a period of six to eight months. 4
EXAMINATIONS For any examination, each student will be allowed to bring calculators (non-programmable and without text storage capacity), erasers, rulers, pens other than red and pencils. No other materials will be permitted. Conflicts with employers do not qualify as legitimate reasons to miss any examination. A grade of zero will be given to a missed midterm examination without a legitimate reason. Students who miss the midterm examination for a legitimate reason (medical, compassionate, academic conflict or university sports team travel) should inform me with suitable documentation within 5 days of the missed examination to have the weight of the missed midterm added to the final examination. In order to obtain an excused medical absence for an exam, the student must obtain a doctor s certification that the student s condition is severe enough to prevent the student from taking the exam or test. It is recommended that the student ask the doctor filled out the Medical Absenteeism Form attached to this course outline as the suitable documentation for an excused medical absence. It is NOT SUFFICIENT to provide a note that only indicates the student visited the doctor s office or a note not covering the date of the examination. Students who miss the final examination must apply to the Undergraduate Program Office in their faculty for possible deferred examination privileges. Successful applicants will be informed the time and location of the deferred final examination at time of application. GRADING After a through comparison to the marking key provided, any request for remarking the midterm examination must be made within 10 working days of the class when it was returned. The question(s) and page number should be indicated clearly on the cover page of the examination to assist regarding process. BONUS QUESTIONS OR MARKS There may be bonus questions or marks included in an examination. Alternatively, additional questions may be distributed or assigned in class for extra marks toward your course grade. There is no make-up opportunity for bonus questions or bonus marks offered in a class. Any student informs me of error in the textbook solution or past exam solution that leads to a revision of solution or clarification of question shall receive 1 bonus mark added to his or her midterm or final exam score. 5
TENTATIVE CLASS SCHEDULE Class Date Topic Assigned Readings Suggested Practice Questions Notes Intro & 1 Jan. 8 Managerial Accounting and the Business Environment Ch. 1 Q 1-1, 1-4, 1-7, 1-9, 1-12, 1-17 E 1-1, 1-2 P 1-4, 1-5 2 Jan. 10 Cost Terms, Concepts, and Classifications Ch. 2 pages 29-43 Q 2-1, 2-2, 2-3, 2-5, 2-6, 2-8, 2-15, 2-16 E 2-1, 2-2, 2-9 3 Jan. 15 Cost Terms, Concepts, and Classifications Ch. 2 pages 43-46 Q 2-9, 2-10, 2-11, 2-12, 2-13, 2-14 E 2-5, 2-11 P 2-13, P2-15, 2-20 4 Jan. 17 Cost Terms, Concepts Ch. 2 pages 46-49 P 2-18, 2-25 and Classification 5 Jan. 22 System Design: Job- Order Costing, excluding the journal entry preparation Ch. 3 and Appendix 3A Q 3-1, 3-4, 3-6, 3-7, 3-8, 3-11 E 3-3, 3-5, 3-6 (requirement 2 compute COGM), 3-8, 3-11 (omit requirement 2) P 3-24, 3-29, 3A-2 6 Jan. 24 System Design: Job- Order Costing, excluding the journal entry preparation 7 Jan. 29 System Design: Job- Order Costing, excluding the journal entry preparation 8 Jan. 31 Activity Based Costing I Ch. 3 and Appendix 3A Q 3-14, 3-15, 3-16 E 3-14 P 3-17 Ch. 3 and Appendix 3A P 3-19, 3-20, 3-22, 3-25 Ch. 5 omit appendices Q 5-1, 5-2, 5-5, 5-6, 5-10, 5-11 E 5-1, 5-2, 5-3, 5-4, 5-9 9 Feb. 5 Activity Based Costing II Ch. 5 omit appendices Case Two P 5-17 C 5-21 February 7. Mid Term 1 10 Feb. 12 11 Feb. 14 Rooms to be announced in class Cost Behaviour: Analysis and Use Cost-Volume-Profit Relationships Ch. 6 including appendix Ch. 7 (omit pages 291-292) Q 6-2, 6-3, 6-8, 6-11, 6-13, 6-14 E 6-1, 6-3, 6-5, 6-7, 6-10 E 6A-1 P 6-11, 6-12, 6-16 Q 7-1, 7-3, 7-4, 7-5, 7-6, 7-11 E 7-3, 7-4, 7-6, 7-7, 7-8, 7-12, 7-13 part a only, 7-16 P 7-19, 7-22, 7-27, 7-30 6
Class Date Topic Assigned Readings Suggested Practice Questions Notes 12 Feb. 26 Variable Costing: A Tool for Management Ch. 8 Q 8-1, 8-2, 8-3, 8-6, 8-7, 8-9, 8-10 E 8-1, 8-4, 8-8, 8-9 P 8-14, 8-16, 8-16, 8-17, 8-18 C 8-21 13 Feb. 28 Budgeting I Ch. 9 Q 9-1, 9-3, 9-5, 9-8, 9-11, 9-16 E 9-1, 9-2, 9-3, 9-5, 9-6, 9-7, 9-8, 9-9, 9-10 14 Mar. 5 Budgeting II Ch. 9 P 9-11, 9-12, 9-18, 9-24, 9-25 15 Mar. 7 Standard Costs and Overhead Analysis 16 Mar. 12 17 Mar. 14 18 Mar. 19 March 21, Mid Term 2 19 Mar. 28 20 Mar. 28 Standard Costs and Overhead Analysis Standard Costs; Reporting for Control: Segmented Reporting Reporting for Control: Transfer Pricing Rooms to be announced in class Reporting for Control: Measuring Managerial Performance Reporting for Control: Cost of Quality 21 Apr. 2 Relevant Costs for Decision-Making I C 9-27 Ch. 10 omit appendices Q 10-1, 10-3, 10-4, 10-7, 10-10, 10-12, 10-15, 10-17 E 10-2, 10-3, 10-4, 10-5, 10-7, 10-9 Ch. 10 omit appendices; pp421 433 for reference only, not to be tested in exams Ch. 11 pages 473-485 P 10-18, 10-20, 10-21, 10-24, 10-31 C 10-36 Q 11-2, 11-4, 11-5 E 11-2, 11-3 P 11-20, 11-21 Ch. 11 pages 485-492 Q 11-1, 11-9, 11-10 E 11-6, 11-7 P 11-23, 11-24 Ch. 11 pages 492-507 Q 11-14, 11-16, 11-17, 11-20 E 11-8, 11-19, 11-12, 11-15 P 11-26, 11-19, 11-29 C 11-40 Ch. 11 pages 507-514 Q 11-21, 11-22 E 11-16 Ch. 12 including appendix P 11-37 Q 12-1, 12-2, 12-5, 12-6, 12-9, 12-10 E 12-2, 12-4, 12-7, 12-8, 12-9, 12-10 22 Apr. 4 Relevant Costs for Decision-Making II 23 Apr. 9 Relevant Costs for Decision-Making III Ch. 12 including appendix Ch. 12 including appendix Q 12-14, 12-17 E 12-6, 12-11,12-12 P 12-18, 12-19, P12-20, 12-21, 12-24,12-25 P12-22, P12-26 E 12A-1, 12A-4 7
Academic Integrity It is critical to the reputation of the I. H. Asper School of Business and of our degrees, that everyone associated with our faculty behave with the highest academic integrity. As the faculty that helps create business and government leaders, we have a special obligation to ensure that our ethical standards are beyond reproach. Any dishonesty in our academic transactions violates this trust. The University of Manitoba General Calendar addresses the issue of academic dishonesty under the heading "Plagiarism and Cheating". Specifically, acts of academic dishonesty include, but are not limited to: - using the exact words of a published or unpublished author without quotation marks and without referencing the source of these words - duplicating a table, graph or diagram, in whole or in part, without referencing the source - paraphrasing the conceptual framework, research design, interpretation, or any other ideas of another person, whether written or verbal (e.g., personal communications, ideas from a verbal presentation) without referencing the source - copying the answers of another student in any test, examination, or take-home assignment - providing answers to another student in any test, examination, or take-home assignment - taking any unauthorized materials into an examination or term test (crib notes) - impersonating another student or allowing another person to impersonate oneself for the purpose of submitting academic work or writing any test or examination - stealing or mutilating library materials - accessing tests prior to the time and date of the sitting - changing name or answer(s) on a test after that test has been graded and returned - submitting the same paper or portions thereof for more than one assignment, without discussions with the instructors involved. Group Projects and Group Work Many courses in the I. H. Asper School of Business require group projects. Students should be aware that group projects are subject to the same rules regarding academic dishonesty. Because of the unique nature of group projects, all group members should exercise special care to insure that the group project does not violate the policy on Academic Integrity. Should a violation occur, group members are jointly accountable unless the violation can be attributed to a specific individual(s). Some courses, while not requiring group projects, encourage students to work together in groups (or at least do not prohibit it) before submitting individual assignments. Students are encouraged to discuss this issue as it relates to academic integrity with their instructor to avoid violating this policy. In the I. H. Asper School of Business all suspected cases of academic dishonesty are passed to the Dean's office in order to ensure consistency of treatment. 8
UNIVERSITY OF MANITOBA I. H. Asper School of Business - Medical Absenteeism Form Student Identification: (please print clearly) Last Name First Name Middle Initial U of M Student Id. Number I hereby authorize to verify with the attending physician (Name of Instructor/Administrator) or his/her staff or colleagues that the contents of this form are true. Student s Signature Date To be completed by the attending physician: (after the above section is completed) Physician s Last Name Physician s First Name Middle Initial Street Address City, Province Postal Code Telephone Number Fax Number To the attention of the physician: Your evaluation of the student s condition is being used for the purpose of determining whether or not the student has a valid reason to miss an important exam or assignment. Your professional evaluation is necessary to ensure that only valid cases are excused. I certify that the nature of the student s condition is severe enough to prevent the student from taking an exam or completing an assignment. If requested, my associates or I will verify for the above-named instructor/administrator that this information is accurate. The student s condition will likely span the following dates: (indicate start date) Physician s Signature until (indicate end date) Date Notes to physician: Please make a note in the student/patient s file indicating that the student has given the above-named instructor/administrator permission to verify with you, your staff, or your colleagues, that the information contained on this form is correct. Thank you for your professional evaluation of this student s condition. PLEASE ATTACH THIS FORM TO YOUR REGULAR OFFICE STATIONERY THAT INDICATES THE STUDENT VISITED YOUR OFFICE. Note to student: The use of this form is at the option of the student. However, in order to obtain an excused absence for an assignment or exam, the student must obtain a doctor s certification that the student s condition is severe enough to prevent the student from taking the exam or completing the assignment. It is NOT SUFFICIENT to provide a note that only indicates the student visited the doctor s office.