Management Accounting and Cost Accounting

Management accounting is also called cost accounting, is a branch of accountancy that records, analyzes, interprets and reports the financial and non-financial information of the companies for assisting corporate executives and managers to make business decisions, for budgeting, performance evaluation of management, individual, department or whole company, cost management, asset management and involved in strategic planning or the development of company  

Ratios & Analysis

2- Statistical Method 

3- Cost-Volume-Profit & Break-even 

4- Contribution Margin Analysis

5- Throughput Analysis and Theory of Constraints

Management Techinques

1- Current Assets and Working Capital

   1.1- Cash And Cash Equivalent

   1.2- Temporary Investment

   1.3- Accounts Receivables

2- Non-Current Assets

   2.1- Long-term Investment

3- Current Liabilities and Working Capital

   3.1-  Accounts Payables

4- Non-current liabilities

   4.1- Loan and bonds

5- Equity

   5.1- Common Shareholders' equity

   5.2- Preferred stock

6- Sales/Revenue

7- Cost of goods sold (operating costs)


9- Interest expense

10- Tax

11- Net Income

Non-Routine Decision Analysis

1- Further Processing product

2- Concentrate on product

3- Accept Sales order below normal selling price

4- Determining bid price

5- Adding or dropping product line

6- Make-or-Buy decision

7- Maintain same profit with lower sale levels

Investment and Project Analysis 

1- Payback period

2- Accounting Rate of Return

3- Internal Rate of Return

4- Net Present Value

5- Income Tax effect on investment 

6- Cost Variance and Cost Variance Index

7- Schedule Variance and Schedule Variance Index

8- Cost At Completion and Cost To Complete