Course code Ekon3091

Credit points 2

Management Accounting

Total Hours in Course80

Number of hours for lectures16

Number of hours for seminars and practical classes16

Independent study hours48

Date of course confirmation21.06.2018

Responsible UnitInstitute of Finance and Accounting

Course developer

author lect.

Laila Kelmere

Mg. oec.

Prior knowledge

Ekon2120, Basics of Accounting

Ekon4102, Financial Accounting

Course abstract

The aim of this course is to provide students with knowledge about the main tasks of management accounting, including understanding the common and different between the management accounting and financial accounting. Learn the cost accounting and analysis system, methods and techniques for cost calculation, cost planning and control aimed at performing quality business management functions.

Learning outcomes and their assessment

1. Understand the practical feasibility of management accounting theories and management accounting methods in the provision and management of the company's economic activities, in the assessment of operational processes. Discussion in the lesson.
2. Understanding of costs, their classification; the use of full cost calculation, including addition rates, variable cost estimates, inventory valuation methods. Quiz with calculations.
3. Understanding the cost calculation using the add-on rate; process cost calculation, coverage point, profit or loss threshold; optimal determination of the production and sales volume of the product, cost classification in the profit or loss account and determination of the outcome of economic activity. Quiz with calculations.
4. Knowledge of the classification of costs and their inclusion in cost estimates, the planning, development and evaluation of the results of different budgets, cost control and regulation. Understanding of the overall cost-cutting system, the impact of stock assessment methods on the outcome of economic activity. Understanding the identification of the costs relevant for decision-making and the decision-making process. Independent work, group work, discussion in the lesson.
5. Be able to perform calculations, analyse the results obtained, understand the causes and develop proposals for troubleshooting or improving the situation. A quiz with calculations, an exam, estimates in the lesson.
6. Is able to constantly resolve various tasks, work together with colleagues to obtain the necessary information and draw up a paper on the selected subject, which includes examples and solutions of practical tasks, including proposals. Can present and explain your subject to the audience. Independent work, group work, discussion in the lesson.
7. Are able to plan the tasks assigned responsibly. Independent work.
8. Is able to select information and present calculations made, proposals made, collaborate with colleagues. Independent work, working in the group.

9. Be able to use the acquired knowledge to assess and ensure the production, supply of services, accounting of marketing processes and efficient operation in the undertaking. To make proposals for decision-making in line with economic changes. Practical works, group work, quiz, exam.

Course Content(Calendar)

1. Cost accounting tasks and targets (lecture – 1 hour)
2. Cost classification for cost calculation (lecture – 2 hours, practical work – 1 hour)
3. Inventory valuation methods and their impact on costs and profits (lecture – 1 hour, practical work – 1 hour)
4. Cost accounting per cost location (lecture – 2 hours, practical work – 1 hour)
5. Cost carrier unit cost estimates (full cost) (lecture – 2 hours, practical work – 2 hours)
6. Splitting costs into permanent and variable ones (lecture – 1 hour, practical work – 1 hour)
7. Cost control (lecture – 1 hour, practical work – 1 hour)
8. The break-even point and its methods of analysis (for decision-making) (lecture – 1 hour, practical work – 2 hours)
9. Calculation of the cost of the process (lecture – 1 hour, practical work – 1 hour)
10. Budget (lecture – 1 hour, practical work – 2 hours)
11. Identification of the optimal production and sales volume and structure of products under limited resource conditions (lecture – 1 hour, practical work – 1 hour)
12. Decisions, the process of their adoption (lecture – 1 hour, practical work – 1 hour)

13. Defen

Requirements for awarding credit points

At the end of the study course, an examination on the topics learned in the course of study should be completed.
During the course of study, 2 quizzes should be completed and 1 independent work should be developed, presented and established in the form of housework.

Description of the organization and tasks of students’ independent work

Learn and strengthen theory issues by studying literature and resolve tasks, preparing for quizzes and exams. Develop independent work and present it.

Criteria for Evaluating Learning Outcomes

1. Costs, their classification; calculation of the full cost, including add-on rates; calculation of variable cost costs, calculation of process costs, use of inventory valuation methods. Quiz (written). Valuation rate of 15%.
2. Calculation of the cost of the product using add-on rates; break-even point, profit or loss threshold; price calculation; determination of the optimal production and sales volume of the product; preparation of the profit or loss account. Quiz (written). Valuation rate of 15%.
3. Individual handling of practical tasks. Working in the group – prepare a report on the selected topic, containing examples and solutions for practical tasks, and should be defended in the form of a presentation. Independent work, in the working group. 20% valuation rate.
4. The examination, written, consists of a test, open questions and tasks regarding the issues discussed in the course and the tasks addressed. 50% valuation rate.

10% corresponds to one party on the scoreboard of 10-party studios.

Compulsory reading

1. Alsiņa R., Marinska K., Bojarenko J. Vadības grāmatvedība: teorija un prakse. Rīga: SIA KIF „Biznesa komplekss”, 2011. 239 lpp.
2. Bojarenko J., Tjurina A. Finanšu grāmatvedība piemēros un uzdevumos. Grāmatvedības un finanšu koledža. Rīga, 2017. 180 lpp.
3. Benze J. Izmaksu uzskaite un pašizmaksas kalkulācija. Rīga: Auditorfirma “Grāmatvedis”, 1996. 134 lpp.
4. Pelšs A. Vadības grāmatvedība. Rīga: KIF Biznesa komplekss, 2001: 1. daļa – Izmaksu uzskaite un pašizmaksas kalkulācija.
2. daļa – Izmaksu analīze lēmumu pieņemšanai.
5. Latvijas Grāmatvedības metodiskā padome. Ernst & Young. Vadības grāmatvedība. Latvijas Republikas Finansu ministrija, Rīga 1995:
1. daļa – Izmaksu uzskaite un pašizmaksas kalkulācija.
2. daļa – Lēmumu pieņemšana.
3. daļa – Lēmumu pieņemšana, plānošana un kontrole.
6. Vītola Ī., Soopa A. Vadības grāmatvedība. Jelgava, 2002. 225 lpp.
7. Purvgalis A. Komercdarbības izmaksas, ieņēmumi un peļņa. Mācību līdzeklis. Jelgava: LLU Meža fakultāte, 2005. 52 lpp.
8. Januška M. Finanšu un grāmatvedības kontrole firmā: praktiskas rekomendācijas uzņēmējiem. Rīga: Merkūrijs Info 2010. 112 lpp.
9. Бюджетирование: шаг за шагом. Е.Добровольский, Б.Карабанов, П.Боровков, Е.Глухов, Е.Бреслав. 2е изд. дополн. СПб: Питер, 2014. 480 c.
10. Друри K. Введение в управленческий и производственный учет. Москва : Аудит; Издательское объединение ЮНИТИ, 1998. 774 c.

Further reading

1. Ludboržs A. Finanšu grāmatvedība tirdzniecībā. Lietišķas informācijas dienests, Rīga 2003, 282 lpp.
2. Brūna I., Kaire L. Apgrozāmo līdzekļu uzskaite. Latvijas Universitāte, Rīga 2004, 97 lpp.
3. Gada pārskatu un konsolidēto gada pārskatu likums. Pieņemts: 22.10.2015. Stājas spēkā: 01.01.2016. Pieejams: https://likumi.lv/ta/id/277779-gada-parskatu-un-konsolideto-gada-parskatu-likums
4. Ministru kabineta 2015. gada 22. decembra noteikumi Nr. 775 “Gada pārskatu un konsolidēto gada pārskatu likuma piemērošanas noteikumi”. Stājas spēkā: 01.01.2016. Pieejams: https://likumi.lv/ta/id/278844-gada-parskatu-un-konsolideto-gada-parskatu-likuma-piemerosanas-noteikumi
5. Likums “Par nodokļiem un nodevām”. Pieņemts: 02.02.1995. Stājas spēkā: 01.04.1995. Pieejams: https://likumi.lv/doc.php?id=33946
6. Bruto seguma aprēķins zemnieku saimniecībai. SIA “Latvijas Lauku konsultācijas un izglītības centrs”. Ozolnieki, 2005., 2006., 2007., 2008., 2009., 2010., 2011. 2012., 2016. gadi
7. Introduction to management Accounting (Twelfth Edition) chapters 1-19, Charles T. Horngren (Stanford University), Gary I. Sundern (University of Wasington – Seattle), William O. Stratton (Pepperdine University) International. USA, Mexico, or Canada, 2002, 789 pp. ISBN 0-13-042352-1
8. Alan Upchurch Cost Accounting Principles and Practice, Britich Library Cataloguing Data, 2002, 685 pp. ISBN 0-273-64365-7
9. Бухгалтерский учет в зарубежных странах. (под редакцией проф. Ф.Ф. Бутынца), вторая часть. Житомир: ЖГПУ, 2008. – 300 cтp. (Особенности бухгалтерского учета, аудита и анализа в Латвийской Республике. Cоавторы учебного пособия: Витола И., Калныня Г., Есемчика А., Зариня В., Кейш С., Лейбус И., Соопа А., и др).

10. Савицская E. Анализ хозяйственной деятельности. М. Финансы и статистика. 2001.

Periodicals and other sources

1. Bilance: žurnāls par grāmatvedību, likumdošanu un finansēm. Rīga: SIA Lietišķās informācijas dienests, 2000. ISSN 1407-5709
2. Žurnāls: Grāmatvedība un Ekonomika. ISSN 1691-1172.
3. iFinanses – žurnāls par nodokļiem, grāmatvedību, darba un komerctiesībām. Rīga: iŽurnāli. ISSN 2255-985x Pieejams: http://ifinanses.lv
4. Elektroniskais žurnāls: http://plz.lv

Notes

Restricted elective study course in the “Economics” academic bachelor's study programme