English   Danish

2011/2012  KAN-IMM_IM45  Management Accounting

English Title
Management Accounting

Course Information

Language English
Point 7,5 ECTS (225 SAT)
Type Mandatory
Level Full Degree Master
Duration One Semester
Course Period Autumn
Time Table Please see course schedule at e-Campus
Study Board
Study Board for MSc in Economics and Business Administration
Course Coordinator
  • Alex Yu Lichen - Department of Operations Management
Alex Yu Lichen
Main Category of the Course
  • Financial and management accounting
Last updated on 29 maj 2012
Learning Objectives
The purpose of this course is to present and discuss management technologies that can be considered useful for controlling companies that operate world wide.
  • Describe and understand the notion of opportunity cost and organizational architecture and explain how they together constitute a framework for analysing management accounting systems in a decision making and a control perspective
  • Describe and understand different management accounting systems and discuss their strengths and limitations from a decision making as well as a control perspective
  • Analyse the cost of improving accounting systems decision making ability and effectiveness as a control devices and reflect upon the trade-off between the use of accounting for different purposes
  • Critically reflect on and assess the value and relevance of specific management accounting systems in a particular organizational setting.
Management Accounting:
Assessment Written Exam
Marking Scale 7-step scale
Censorship No censorship
Exam Period Autumn Term and February
Aids Closed Book
Duration 4 Hours
Individual 4-hour written (closed book) exam (Neither written nor technical aids are allowed at the exam, except from certain calculators specified by the course responsible). Cf. The Regulations for written tests at CBS. The exam is internal and the evaluation is made by one teacher alone. The regular exam will be held in November. The final exam date will be announced by the secretariat. The make-up/re-exam takes place in February. Irrespective of the above provisions, make-up exams and re-exams can be held as oral exams, if the situation calls for this, please see section 17(2) in Rules and Regulations. 
Course Content

Companies operating internationally face the same challenges as national companies, but a few more are added because of language, cultures, laws, finance etc. The perspective taken in this course is that of setting up an organization, designing and implementing performance controls, measuring and reporting performance, planning etc. Management accounting and management control serve as the theoretical platform for the problems discussed and models presented. Some issues will deal with aligning a strategy to an international implementation and other issues have an operational perspective where budgeting, transfer pricing are tools that must be considered. Behavioural and cultural aspects are central to all international operations. Where applicable these will add perspectives to the discussion of how to implement the management technologies that are under consideration.

The content of the course will be partly case-driven and partly theory-driven. Extensive cases will serve as discussion fora where analysis of management issues and argued solutions are the expected outcome.
These are subsequently confronted with selected models and theories for a theory driven discussion. Some issues and cases will depend on analysis of various financial statements
and financial tools where others will focus on arguing benefits and drawbacks of various organisational set ups. Textbooks and cases supplemented with recent journal articles will serve as the documentary material for this course.

Please note that exchange students who want to follow the course need at least two courses in accounting/financial accounting/finance and one course in management (e.g. a B. Com. or B. Bus).

Teaching Methods
The teaching mainly takes place in large classes where e.g. extensive cases will serve as discussion fora where analysis of management issues and argued solutions are the expected outcome.

Indicative literature.

Jerold L. Zimmerman. Accounting for Decision Making and Control. 6th edition. Mcgraw-Hill Irwin.