Resources must be obtained and managed efficiently so that organizations can survive and develop in a changing environment, which is characterized by uncertainty, complexity, and hostility. Within this background, the Cost Accounting is increasingly needed as a source of information for planning activities, organization, operations control and decision making.
OBJECTIVES AND LEARNING OUTCOMES
This course aims to put students in touch with the fundamental aspects of Management Accounting,
providing the development of skills of:
1. Understand the scope, objectives and concepts related to Management Accounting;
2. Characterize the components of industrial cost;
3. Identify product costs and period costs;
4. Calculate the cost of finished products or services rendered through direct and indirect methods;
5. Identify and characterize the main costing systems.
SKILLS TO BE DEVELOPED
Learning outcomes of the course unit at the end of the course unit the learner is expected to be able to:
1. Recognize the importance of Management Accounting as an information system;
2. Identify the objectives of Management Accounting;
3. Characterize the different types of expenses;
4. Characterize the components of the cost of production;
5. Identify and characterize indirect cost allocation methods;
6. Characterize existing account systems;
7. Apply the monist and dualist systems;
8. Distinguish the direct method from the indirect method in calculating the cost of production and interpret the information provided by each method;
9. Characterize the various costing systems;
10. Distinguish the application of each system and know how to interpret the differences of results by the alternative use of each of them.
Programme
Chapter I - Management Accounting Framework
1.1. Define Management Accounting;
1.2. Identify the scope of Management Accounting;
1.3. Identify the objectives of Management Accounting.
Chapter II - Concepts and Cost Classification
2.1. Differentiate expenses, expenses and payments;
2.2. Differentiate income, revenues and receipts;
2.3. Classify costs by combining nature, function and activity;
2.4. Distinguish direct and indirect costs;
Chapter III - Calculation of production cost and period
3.1. Direct Matters;
3.2. Direct labor;
3.3. Overheads;
3.4. Non-industrial expenses.
Chapter IV - Accounting articulation systems and the determination of the cost of products.
4.1. Accounting Articulation Systems: Monistic versus Dualistic Systems;
4.2. Costing Method:
4.2.1. Direct method (by order or by manufacturing order);
4.2.2. Indirect method (by process);
4.2.3. Mixed method.
Chapter V - The Costing Systems
5.1. Total costing or absorption system (Full Cost);
5.2. Variable costing system;
5.3. Rational costing system.
Demonstration of the syllabus coherence with the curricular unit's learning objectives
The syllabus were delineated in an integrated way, according to the objectives to be achieved and competences foreseen in the objectives, as:
- Chapters I and II respond to objective 1, as the scope and objective of Management Accounting are studied;
- Chapter III meets the objectives of objectives 2 and 3, as it addresses the components of the cost of production;
- Chapter IV is in line with objective 4, explaining the costing methods;
- Chapter V covers the study of costing systems responding to objective 5.
Main literature
Caiado, A;Contabilidade Analítica e de Gestão, Áreas Editora, 2015
Franco, V. S., Oliveira, A., Morais, A. I., Oliveira, B., Lourenço, I., Major, M. J.; Jesus, M. A. & Serrasqueiro, R. ;Temas de Contabilidade de Gestão: Os Custos, os resultados e a informação para a Gestão, Livros Horizonte, 2015. ISBN: 9789722416467
Supplementary Bibliography
Trancoso, Tiago e Gomes, Sofia;Princípios de Contabilidade de Gestão, 2018
Drury, C. ;Management and Cost Accounting. Student's manual, (9ht Ed.), Cengage Learning EMEA, 2015
Learning Methods
Presentation and discussion of theoretical and practical cases, with supply of support material on the matters to be addressed as well as the literature considered indispensable for various items of the program.
Assessment Components
Avaliação distribuída com exame final
Assessment Components
Description
Type
Time (hours)
Conclusion Date
Attendance (estimated)
Lessons
45
Seminar
Study
2
Evaluation
Teste/Exame
3
Individual autonomous study
Study
95
Others
Study
15
Total:
160
Continuous Assessment
2 Individual written tests: 40% each
2 Group worksheets submitted trough E-Learning platform: 10% each
Under the terms of the Bachelor's Regulation:
a) The students' attendance in classes will be recorded and, if the number of absences per student exceeds 30% of the total number of lessons scheduled for each course unit, the student will be automatically transferred to the final evaluation (regular season);
b) In the written tests and other assessment elements mentioned in paragraph 2 of Art. 39 it is necessary to obtain a minimum grade of 7.5 (seven point five) points;
c) If the student misses a test or receives a grade lower than 7.5 points in the tests or in another assessment element mentioned in the previous number, the student will be automatically transferred to the final evaluation (regular season);
d) If the student misses or obtains less than 7.5 in the second written test, held in the same date of the final exam in the regular season, they may apply for further evaluation in the Appeal season;
e) All written academic work provided for in the assessment (reports, case studies, etc.) must be submitted to the Turnitin database, available on the ISAG E-Learning platform, with a similarity rate up to 30% acceptable.
Final Exam
1 Individual written exam: 100%
Proofs and special works
Demonstration of the coherence between the teaching methodologies and the learning outcomes
The teaching methodologies aim to promote learning, both in the theoretical and practical dimensions. It seeks to expose the student to a diverse set of concepts essential to the treatment and analysis of accounting data. Likewise, it is intended to use critical reasoning in the interpretation of the financial statements, and logical reasoning in solving practical problems.