Paper 5: Advanced Management Accounting<\/strong><\/p>\n (One paper \u2013 Three hours \u2013 100 marks)<\/strong><\/p>\n Level of Knowledge: Advanced knowledge<\/strong><\/p>\n Objective:<\/p>\n To apply various management accounting techniques to all types of organizations for planning, decision making and control purposes in practical situations. 3. Pricing Decisions 4. Budgets and Budgetary Control 5. Standard Costing and Variance Analysis (a) Investigation and interpretation of variances and their inter relationship 6. Transfer pricing 7. Cost Management in Service Sector<\/p>\n 8. Uniform Costing and Inter firm comparison<\/p>\n 9. Profitability analysis – Product wise \/ segment wise \/ customer wise<\/p>\n 10. Financial Decision Modeling<\/p>\n (a) Linear Programming<\/p>\n (b) Network analysis – PERT\/CPM, resource allocation and resource leveling<\/p>\n (c) Transportation problems<\/p>\n (d) Assignment problems<\/p>\n (e) Simulation<\/p>\n (f) Learning Curve Theory<\/p>\n (g) Time series forecasting*<\/p>\n (h) Sampling and test of hypothesis*<\/p>\n","protected":false},"excerpt":{"rendered":" Advanced Management Accounting CA Final Syllabus Paper 5: Advanced Management Accounting (One paper \u2013 Three hours \u2013 100 marks) Level of Knowledge: Advanced knowledge Objective: To apply various management accounting techniques to all types of organizations for planning, decision making and control purposes in practical situations. To develop ability to apply quantitative techniques to business … Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":""},"categories":[4731],"tags":[],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/posts\/21752"}],"collection":[{"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/comments?post=21752"}],"version-history":[{"count":0,"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/posts\/21752\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/media?parent=21752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/categories?post=21752"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.kopykitab.com\/blog\/wp-json\/wp\/v2\/tags?post=21752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nTo develop ability to apply quantitative techniques to business problems
\n1. Cost Management
\n(a) Developments in the business environment; just in time; manufacturing resources planning; (MRP); automated manufacturing; synchronous manufacturing and back flush systems to reflect the importance of accurate bills of material and routings; world class manufacturing; total quality management.
\n(b) Activity based approaches to management and cost analysis
\n(c) Analysis of common costs in manufacturing and service industry
\n(d) Techniques for profit improvement, cost reduction, and value analysis
\n(e) Throughput accounting
\n(f) Target costing; cost ascertainment and pricing of products and services
\n(g) Life cycle costing
\n(h) Shut down and divestment.
\n2. Cost Volume Profit Analysis
\n(a) Relevant cost
\n(b) Product sales pricing and mix
\n(c) Limiting factors
\n(d) Multiple scarce resource problems
\n(e) Decisions about alternatives such as make or buy, selection of products, etc.<\/p>\n
\n(a) Pricing of a finished product
\n(b) Theory of price
\n(c) Pricing policy
\n(d) Principles of product pricing
\n(e) New product pricing
\n(f) Pricing strategies
\n(g) Pricing of services
\n(h) Pareto analysis<\/p>\n
\nThe budget manual, Preparation and monitoring procedures, Budget variances, Flexible budgets, Preparation of functional budget for operating and non-operating functions, Cash budgets, Capital expenditure budget, Master budget, Principal budget factors.<\/p>\n
\nTypes of standards and sources of standard cost information; evolution of standards, continuous -improvement; keeping standards meaningful and relevant; variance analysis; disposal of variances.<\/p>\n
\n(b) Behavioural considerations.<\/p>\n
\n(a) Objectives of transfer pricing
\n(b) Methods of transfer pricing
\n(c) Conflict between a division and a company
\n(d) Multi-national transfer pricing.<\/p>\n