Managerial Accounting: Tools for Business Decision Making, 10ed (An Indian Adaptation)

Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell

ISBN: 9789377063245
774 pages

Edition ₹1,099.00

Description

Managerial Accounting: Tools for Business Decision Making, Tenth Edition, is the Indian adaptation of the market-leading text by Jerry J. Weygandt, Paul D. Kimmel, and Jill E. Mitchell. It shows students how managers use accounting information to plan, direct, and control a business, and it does so through the decisions managers actually face.

The book opens with managerial cost concepts and the three costing systems: job order, process, and activity-based. It then turns to decision-making, covering cost-volume-profit analysis, incremental analysis, and pricing. The third part addresses planning and control through budgeting, responsibility accounting, standard costs, the balanced scorecard, and capital investment decisions. The book closes on performance evaluation with the statement of cash flows and financial analysis.

For this adaptation, all content has been reviewed and revised for Indian classrooms. Every chapter ends with an India Insight section. Problems and illustrations are denominated in rupees, ethics coverage is grounded in the Companies Act, 2013 and the National Financial Reporting Authority, and examples draw on companies students recognize.

The tenth edition also brings data analytics into the core of the course. Data Analytics Insight boxes show how real companies use data to make managerial decisions, and Data Analytics in Action problems give students Excel templates to build charts, run regressions, and interpret the results. A continuing case on Current Designs kayaks runs through the book, and the hallmark pedagogy remains: learning objectives, DO IT! exercises, Using the Decision Tools, and a full Review and Practice section in every chapter.

About the Author

Jerry J. Weygandt, PhD, CPA, is Arthur Andersen Alumni Emeritus Professor of Accounting at the University of Wisconsin–Madison. His articles have appeared in The Accounting Review, Journal of Accounting Research, Accounting Horizons, and Journal of Accountancy. He has served as President and Secretary-Treasurer of the American Accounting Association, on the AICPA’s Accounting Standards Executive Committee, and as a trustee of the Financial Accounting Foundation. He is a recipient of the AAA’s Outstanding Educator Award.

Paul D. Kimmel, PhD, CPA, is a Senior Lecturer at the University of Wisconsin–Madison, following more than 25 years as an Associate Professor at the University of Wisconsin–Milwaukee. He has public accounting experience with Deloitte & Touche and is a recipient of the Elijah Watts Sells Award for Honorary Distinction. He has published widely on financial instruments and innovation in accounting education.

Jill E. Mitchell, MS, MEd, CIA, is a Professor of Accounting at Northern Virginia Community College and an adjunct instructor at George Mason University. She serves on the American Accounting Association Education Committee and co-chairs the Conference on Teaching and Learning in Accounting. Previously a senior auditor with Ernst & Young, she is a recipient of Virginia’s Outstanding Faculty Award

Cost Concepts for Decision-Makers

Chapter 1 Managerial Accounting 1-1

Just Add Water … and Paddle: Current Designs 1-1

Managerial Accounting Basics 1-3

Managerial Cost Concepts 1-7

Manufacturing Costs in Financial Statements 1-12

Cost of Goods Manufactured 1-14

Managerial Accounting Trends 1-16

The Value of Data Analytics 1-21

Data Analytics in Action 1-43

India Insight 1-47

Chapter 2 Job Order Costing 2-1

Profiting from the Silver Screen: Disney 2-1

Cost Accounting Systems 2-3

Job Order Cost Flow 2-5

Predetermined Overhead Rates 2-13

Entries for Jobs Completed and Sold 2-16

Job Order Costing for Service Companies 2-19

Applied Manufacturing Overhead 2-22

Under- or Overapplied Manufacturing Overhead 2-22

Data Analytics in Action 2-41

India Insight 2-45

Chapter 3 Process Costing 3-1

Famed Soft Drink in the Outback: Back o’ Bourke Cordials 3-1

Overview of Process Cost Systems 3-3

Recording Costs 3-6

Equivalent Units 3-9

The Production Cost Report 3-12

Costing Systems—Final Comments 3-17

Appendix 3A: FIFO Method for Equivalent Units 3-20

India Insight 3-46

Chapter 4 Activity-Based Costing 4-1

Wellness for Customers and the Company: Technogym SpA 4-1

Traditional vs. Activity-Based Costing 4-3

Activity-Based Costing 4-5

ABC and Manufacturers 4-7

ABC Benefits and Limitations 4-13

ABC and Service Industries 4-20

Appendix 4A: Just-in-Time Processing 4-24

India Insight 4-49

Decision-Making Concepts

Chapter 5 Cost-Volume-Profit 5-1

Don’t Worry—Just Get Big: Amazon.com 5-1

Cost Behavior Analysis 5-3

Mixed Costs Analysis 5-8

CVP Analysis 5-11

Break-Even Analysis 5-16

Target Net Income and Margin of Safety 5-20

CVP and Data Analytics 5-23

Appendix 5A: Regression Analysis 5-25

Data Analytics in Action 5-45

India Insight 5-49

Chapter 6 Cost-Volume-Profit Analysis: Additional Issues 6-1

The Secret to Supermarket Profitability: Aldi 6-1

Basic CVP Concepts 6-2

Sales Mix and Break-Even Sales 6-7

Sales Mix with Limited Resources 6-12

Operating Leverage and Profitability 6-14

Appendix 6A: Absorption Costing versus Variable Costing 6-19

Data Analytics in Action 6-47

India Insight 6-52

Chapter 7 Incremental Analysis 7-1

Keeping It Clean: Method Products 7-1

Decision-Making and Incremental Analysis 7-3

Types of Incremental Analysis 7-6

India Insight 7-41

Chapter 8 Pricing 8-1

They’ve Got Your Size—and Color: Zappos.com 8-1

Target Costing 8-3

Cost-Plus and Variable-Cost Pricing 8-5

Time-and-Material Pricing 8-9

Transfer Prices 8-13

Appendix 8A: Absorption-Cost and Variable-Cost Pricing 8-22

Appendix 8B: Transfers Between Divisions in Different Countries 8-25

Data Analytics in Action 8-43

India Insight 8-47

Planning and Control Concepts

Chapter 9 Budgetary Planning 9-1

What’s in Your Cupcake?: Erin McKenna’s Bakery NYC 9-1

Effective Budgeting and the Master Budget 9-3

Sales, Production, and Direct Materials Budgets 9-8

Direct Labor, Manufacturing Overhead, and S&A Expense Budgets 9-14

Budgeted Income Statement 9-17

Cash Budget and Budgeted Balance Sheet 9-19

Budgeting in Nonmanufacturing Companies 9-24

Data Analytics in Action 9-47

India Insight 9-52

Chapter 10 Budgetary Control and Responsibility Accounting 10-1

Pumpkin Madeleines and a Movie: The Roxy Hotel Tribeca 10-1

Budgetary Control and Static Budget Reports 10-3

Flexible Budget Reports 10-7

Responsibility Accounting and Responsibility Centers 10-14

Investment Centers 10-24

Appendix 10A: ROI versus Residual Income 10-30

Data Analytics in Action 10-50

India Insight 10-56

Chapter 11 Standard Costs and Balanced Scorecard 11-1

80,000 Different Caffeinated Combinations: Starbucks 11-2

Standard Costs 11-3

Direct Materials Variances 11-8

Direct Labor and Manufacturing Overhead Variances 11-13

Variance Reports and Balanced Scorecards 11-18

Appendix 11A: Standard Cost Accounting System 11-24

Appendix 11B: Overhead Controllable and Volume Variances 11-26

Data Analytics in Action 11-46

India Insight 11-50

Chapter 12 Planning for Capital Investments 12-1

Floating Hotels: Holland America Line 12-2

Capital Budgeting and Cash Payback 12-3

Net Present Value Method 12-6

Capital Budgeting Challenges and Refinements 12-12

Internal Rate of Return 12-17

Annual Rate of Return 12-19

Data Analytics in Action 12-35

India Insight 12-39

Performance Evaluation Concepts

Chapter 13 Statement of Cash Flows 13-1

Got Cash?: Microsoft 13-1

Statement of Cash Flows: Usefulness and Format 13-3

Preparing the Statement of Cash Flows—Indirect Method 13-6

Analyzing the Statement of Cash Flows 13-17

Appendix 13A: Statement of Cash Flows—Direct Method 13-20

Appendix 13B: Statement of Cash Flows—T-Account Approach 13-27

India Insight 13-53

Chapter 14 Financial Analysis: The Big Picture 14-1

Making Money the Old-Fashioned Way 14-2

Sustainable Income 14-3

Horizontal Analysis and Vertical Analysis 14-8

Ratio Analysis 14-14

Financial Analysis and Data Analytics 14-17

Comprehensive Example of Ratio Analysis 14-17

India Insight 14-55

Appendix A Time Value of Money A-1

Interest and Future Values A-2

Present Values A-8

Using Financial Calculators A-17

Company Index I-1

Subject Index I-3

Rapid Review: Chapter Content

Description

About the Author

Table of Contents