Management and Cost Accounting For Dummies - UK

Mark P. Holtzman, PhD, CPA, is Chair of the Department of Accounting and Taxation, Seton Hall University. He has taught accounting at college level for 17 years. Sandy Hood is a lecturer in management and cost accounting. He also lectures on the Peter Jones Enterprise Academy course, a one-year course that helps budding entrepreneurs set up their own businesses and learn practical business skills.

Introduction 1

Part I: Getting Started with Management and Cost Accounting 7

Chapter 1: Planning and Control: The Role of Management Accounting 9

Chapter 2: Using Management Accounting in Your Business 27

Part II: Understanding and Managing Costs 45

Chapter 3: Classifying Direct and Indirect Costs 47

Chapter 4: Allocating, Apportioning and Absorbing Overhead 71

Chapter 5: Costing Products Flowing Through a Business 95

Chapter 6: Job Costing: Pricing Individual Orders 105

Chapter 7: Process Costing: Tracking What’s Produced and How Much it Costs 119

Chapter 8: Observing How Variable and Fixed Costs Behave 143

Part III: Planning and Budgeting 161

Chapter 9: Using Contribution Analysis to Make Better Decisions 163

Chapter 10: Decision-Making Within the Reality of Limited Capacity 189

Chapter 11: Deciding on Long-Term Purchases: Capital Budgeting 205

Chapter 12: Naming Your Price: Approaches to Decision-Making 229

Chapter 13: Doing Deals between Company Divisions: Transfer Prices 243

Chapter 14: Planning Budgets for the Future 259

Part IV: Using Management Accounting for Evaluation and Control 279

Chapter 15: Using Flexible Budgets to Exert Control 281

Chapter 16: Variance Analysis: Flexing Standard Costs 293

Chapter 17: Establishing Accountability with Responsibility Accounting 317

Chapter 18: The Balanced Scorecard: Reviewing Your Business’s Report Card 329

Chapter 19: Squeezing Out of a Tight Spot with the Theory of Constraints 347

Part V: The Part of Tens 357

Chapter 20: Ten Key Management Accounting Formulas 359

Chapter 21: Ten Careers in Management Accounting 371

Index 375