Effective: Late Fall 8-Week, 2018/2019

BUSI 562: Managerial Accounting

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  Course Description

Examination of the strengths and limitations of an organization’s accounting system in many different organizational settings. Discussions focus on the different roles of managers within organizations; the importance of cross-functional skills; being an integral part of the firm’s organizational infrastructure; and analysis of the information generated by the accounting system for both planning and control decisions.

Prerequisite: None

Proctored Exams: None


As part of TruitionSM, students will receive their course materials automatically as described below.


  •  Brewer, P. Introduction to Managerial Accounting. 8th ed, McGraw-Hill, 2018.  eText

Bookstore Information

Visit https://www.ccis.edu/bookstore.aspx for details.

eText Information

If a course uses an eText, (see Textbook information above) the book will be available directly in Desire2Learn (D2L) and through the VitalSource eText reader the Friday before the session begins, if registered for courses prior to that date.  Students will have a VitalSource account created for them using their CougarMail email address. Upon first login to VitalSource, students may need to verify their account and update their VitalSource password.  More information about how to use the VitalSource platform, including offline access to eTexts, can be found in D2L.  Students that would like to order an optional print-on-demand copy of eligible eTexts can do so through the VitalSource bookshelf at an additional cost.  Once orders are placed, it can take approximately five to seven business days for students to receive their print-on-demand books.

Physical Course Materials Information

Students enrolled in courses that require physical materials will receive these materials automatically at the address on file with Columbia College.  Delivery date of physical materials is dependent on registration date and shipping location.  Please refer to confirmation emails sent from Ed Map for more details on shipping status.

Returns: Students who drop a course with physical course materials will be responsible for returning those items to Ed Map within 30 days of receipt of the order.  More specific information on how to do so will be included in the package received from Ed Map.  See here for Ed Map's return policy. Failure to return physical items from a dropped course will result in a charge to the student account for all unreturned items.

Note: Students who opt-out of having their books provided as part of TruitionSM are responsible for purchasing their own course materials.

  Course Overview

In this course, we will look at various aspects of management accounting, starting with basic terms and moving into the role management accounting plays within an organization, how the systems are designed, and how cost information is collected, organized, and used to make decisions. As we talk about costs, we will consider overhead costs and the behavior of various costs within an organization to begin to predict future costs and exercise control over them. Later, we will graduate into cost-volume-profit relationships and planning for profit using a master budget. Finally, we will analyze a variety of techniques used by managers to evaluate performance and make budgeting decisions.

Although the course does not carry a formal prerequisite, the instructor assumes that in Accounting I and II, students have developed a working knowledge of:

• Journal entries using debits and credits
• Revenues and expenses; assets and liabilities
• Financial statements: Income statement, balance sheet, statement of owners’ equity

If your familiarity with these topics is not current, it is suggested you review a Principles of Accounting text.

  Technology Requirements

Participation in this course will require the basic technology for all online classes at Columbia College:
  • A computer with reliable Internet access
  • A web browser
  • Acrobat Reader
  • Microsoft Office or another word processor such as Open Office

You can find more details about standard technical requirements for our courses on our site.

You must have access to McGraw-Hill Connect per the textbook information above.

You must have access to Microsoft Excel, as several homework problems require it.

  Course Learning Outcomes

  1. Describe the role of managerial accounting and related cost concepts.
  2. Perform Job-order and Activity Based Costing.
  3. Conduct Cost/Volume/Profit Analyses.
  4. Prepare a Master Budget, a Flexible Budget, and compare the two using variance analysis.
  5. Demonstrate decision-making through differential analysis and capital budgeting.
  6. Analyze a firm’s operations by means of Performance Measurement and Financial Statement Analysis.


Grading Scale

Grade Points Percent
A 540-600 90-100%
B 480-539 80-89%
C 420-479 70-79%
F 0-419 0-69%

Grade Weights

Assignment Category Points Percent
Homework 150 25%
Discussions 50 8%
Exams 400 67%
Total 600 100%

  Schedule of Due Dates

Week 1

Assignment Points Due
Introductions 2 Wednesday
Discussion 1 8 Friday/Sunday
Connect Homework: Chapter 1 15 Sunday

Week 2

Assignment Points Due
Connect Homework: Chapters 2 & 4 30 Sunday
Connect Exam 1: Chapters 1, 2 and 4 100

Week 3

Assignment Points Due
Discussion 2 8 Friday/Sunday
Connect Homework: Chapter 6 15 Sunday

Week 4

Assignment Points Due
Discussion 3 8 Friday/Sunday
Connect Homework: Chapter 8 15 Sunday
Connect Exam 2: Chapters 6 & 8 100

Week 5

Assignment Points Due
Discussion 4 8 Friday/Sunday
Connect Homework: Chapter 9 15 Sunday

Week 6

Assignment Points Due
Connect Homework: Chapters 10 & 11 30 Sunday
Connect Exam 3: Chapters 9-11 100

Week 7

Assignment Points Due
Discussion 5 8 Friday/Sunday
Connect Homework: Chapter 12 15 Sunday

Week 8

Assignment Points Due
Discussion 6 8 Thursday/Saturday
Connect Homework: Chapter 14 15 Saturday
Connect Exam 4: Chapters 12 & 14 100
Total Points: 600

  Assignment Overview

Homework Assignments

Graded Homework is found on Connect, the online resource associated with your text. This program allows you to work the end-of-chapter material online and submit it for immediate grading and feedback. The actual exercises you need to work are listed on the McGraw-Hill Connect website (See Course for URL). Each chapter’s Connect homework consists of two components:Exercises and LearnSmart.

Exercises: The Exercises consist of 10 exercises per chapter, for a total of 10 points. You are allowed two attempts at each exercise, and the highest score will be recorded in the grade book.

LearnSmart: The LearnSmart for each chapter is an adaptive Learning Program (5 points per chapter). When you open this assignment, you will see two buttons at the bottom left of the screen: "Read" and "Practice." The "Read button will present you with the on-line text for that chapter. The "Practice" button contains the questions for you to answer. You can toggle back and forth between the two to read about the topic in question. If you miss a question, the program will feed you another question on that topic. You’ll have a 100% when you have worked through all the topics.

The deadline for each assignment block is 11:55 p.m. each Sunday evening (Saturday for the last week of class). Late homework is not accepted without prior approval from the instructor. It is highly recommended that you work on the homework well ahead of the due date, so questions are addressed before assignments are due.


The first discussion is for Introductions. Please introduce yourself to the class by Wednesday. Feel free to respond to any other student’s posting.

The next discussion, “General Discussion,” will be available for discussion of any topic related to the class throughout the eight-week session. Use of this discussion is neither required nor graded. Participation in this discussion is the equivalent of “raising your hand in class.” You are welcomed and encouraged to use this forum to discuss any topic in the course.

If you have a question, I usually respond within 24 hours, but if you have something substantive to respond to another student’s question, by all means, contribute to the discussion. Your comments here will not be graded.

There will also be six required, graded discussion topics during the course. (Weeks 2 and 6 will not have a required discussion, as those weeks cover two chapters in the text, and end with an exam.) I will post a question/problem/issue related to the week’s topic. Your first posting, worth a maximum of 5 points, is due each Friday; it may require analysis or research or critical thinking. Your second post, worth a maximum of 3 points, is due each Sunday; it should be a response to at least one other student’s post. Your response should be “value added.” In other words, not just “I agree,” or “Good job,” but a response that indicates you read the first student’s post and can offer a substantial comment. I do ask that each week you respond to a different student, and that you respond to a student that doesn’t have a response yet.

Your discussion grade will be based upon the following criteria:
Your initial post demonstrates familiarity with the assigned readings, without copying directly from the text, or other source. Your posting is unique, in that in contains original thought and analysis from you. Your response is complete and concise, written in your own words. Your postings are a model for other students to learn from.

No late postings will be accepted.


There will be four exams, one every two weeks. Exams are located on Connect. Exams will be available on Thursday at 5:00 p.m. of exam week until Sunday at 11:55 p.m. (Saturday for the last week). You can take the test at any time after it is posted, but once you begin, you have two hours to complete it. Under no circumstances can it be worked on or submitted after the due date, unless the instructor has approved a different time or date prior to the test deadline.

The tests are of course, open-book, but the work is to be exclusively your own. Collaboration with anyone (other students, colleagues, professors, your accountant, etc.) is not permitted. Discussion of test material with anyone is not allowed. Roommates, spouses, colleagues and friends taking the same course should be particularly careful. See the policies related to academic honesty below (especially “Plagiarism”). The exams will be multiple choice questions and exercises from the 2 or 3 chapters covered in the previous two weeks.

Other Resources

On Connect you will find two other helpful tools, neither of which count towards your grade. For each chapter you will find Practice Quizzes and Interactive Presentations.

Practice Quizzes: The Practice Quizzes are ungraded, but they are very much like the actual tests. It is highly recommended that you take the practice quizzes well before the actual test. They will give you a feel for the real exam and provide immediate feedback and opportunity to work through topics that need more attention.

Interactive Presentations: The Interactive Presentations, also ungraded, are just what they sound like: Multimedia slide shows that take you through each chapter with topics explained and sample problems worked out. Students who prefer a more visual and aural style of learning may appreciate these presentations.

  Course Outline

Click on each week to view details about the activities scheduled for that week.

Brewer: Chapter 1
Please post a brief description of yourself, including, at a minimum, where you live, work and play. Include where and in what you earned your undergraduate degree. Please post by Wednesday evening at 11:55 p. m.
Discussion 1

Describe your current occupation in terms of how your employer classifies your pay: (Answer all three.)

  1. Product or Period
  2. Variable or Fixed
  3. Direct or Indirect

Discuss cost classifications described in the chapter. (If you are not currently employed, describe a past job, or your desired job.)

Connect Homework: Chapter 1
Complete Connect Chapter 1 assignments.
Brewer: Chapters 2 and 4
Connect Homework: Chapters 2 & 4

Complete Connect Chapters 2 and 4 assignments.

Connect Exam 1: Chapters 1, 2 and 4

Complete Exam 1 on Connect, covering Chapters 1, 2, and 4.

Brewer: Chapter 6
Discussion 2
Most of the examples in the text apply job costing to products, but it can also be used by firms providing a service (tax preparer, plumber, real estate agent etc.). Think of a service you have been involved with and describe how job-costing might be implemented by that service provider. In other words, how would that service provider determine the full cost of, say, preparing a complicated 1040 tax return, or unclogging a drain at your house?
Connect Homework: Chapter 6

Complete Connect Chapter 6 assignments.

Brewer: Chapter 8
Discussion 3
Describe the type of budget or budgeting process used in your place of business. If not working, use a past job or experience with a volunteer organization. Discuss positives and negatives you have experienced with budgeting in this organization. If you do not have first-hand knowledge of the budgeting, then interview someone in the firm who does. Be sure to include a description of the type of business, your role and how the budget or budgeting process affected you.
Connect Homework: Chapter 8

Complete Connect Chapter 8 assignments.

Connect Exam 2: Chapters 6 & 8

Complete Exam 2 on Connect, covering Chapters 6 and 8.

Brewer: Chapter 9
Discussion 4

When Walmart sells an item for $100, what was their cost on that item?  Do you have a number in your head?  OK, now let’s find out.

Here is a link to Walmart’s 2018 annual report.  

Look on page 55 of the report (page 61 of the PDF) and you will find their income statement. You will see that their net sales for the year were $495,761  (that’s in millions; i.e. they left off six zeros, so it is actually $495,761,000,000;   just under half a trillion dollars).

A few lines below that you’ll see:
Cost of Sales: $393,396;  Our book uses the term Cost of Goods Sold; it’s the same thing:  what they paid for the stuff the sold.

Take their ratio of Cost of Sales/Net Sales and you get 79.3%.  That means, on average, Walmart buys an item for $79.30 and sells it for $100.  Their gross margin is the difference, $19.70.

For your first posting of the week, look up the income statement of some other retailer and do the same analysis. Use the company's actual income statement from their annual report.  DO NOT get data from an aggregator like Yahoo Finance, Nasdaq, Morningstar, etc.  Post a link to you source, and a page number so we can easily find it.

Every student should do a different company.  Put the company name in your heading.

For your Sunday response posting, look at the figures supplied by two other students and compare them. Why do you suppose one company is higher than the other?

Connect Homework: Chapter 9

Complete Connect Chapter 9 assignments.

Brewer: Chapters 10 and 11
Connect Homework: Chapters 10 & 11

Complete Connect Chapters 10 and 11 assignments.

Connect Exam 3: Chapters 9-11

Complete Exam 3 on Connect, covering Chapters 9, 10, and 11.

Course Evaluation
Please evaluate the course. You will have an opportunity to evaluate the course near the end of the session. A link sent to your CougarMail will allow you to access the evaluation. Please note that these evaluations are provided so that I can improve the course, find out what students perceive to be its strengths and weaknesses, and in general assess the success of the course. Please do take the time to fill this out.
Brewer: Chapter 12
Discussion 5

Do an internet search on Medical Loss Ratio (MLR) and spend a few minutes reading about it.  Under the Health Care Reform law, insurers and HMOs have to pay rebates to policyholders if they don’t meet an MLR standard of at least 80 percent (for individuals and small groups) or 85 percent (for large groups).

Here is an example:  Look at Aetna's 2017 annual report at the following link: 

Click on “2017 Form 10K” to download the report. On page 88, you’ll find their income statement. It shows they collected Health Care Premiums of $52,022 and spent Health Care Costs of $42,753.  That is about 82%.  Thus, for every dollar collected in premiums, they paid out 82 cents in benefits. 

Look up the annual report and income statement (again, actual income statement—no aggregators) of a publicly-traded health insurance company. 

Calculate their Medical Loss Ratio.  Which benchmark (80%/85%) applies to them?  Are they within the guideline?
Post a link to the income statement you are using, including page numbers. Put the company name in the header of your post. Each student should pick a different company.

Connect Homework: Chapter 12

Complete Connect Chapter 12 assignments.

Brewer: Chapter 14
Discussion 6

By Thursday, pick a company (manufacturer or retailer), find their annual report, calculate the following ratios and comment on each one. By Saturday, respond to another post by comparing and contrasting two or three of your ratios with the other company.

• Current Ratio
• Average Sale Period
• Debt-to-Equity Ratio
• Net Profit Margin Percentage
• Dividend Yield Ratio

Post a link to the annual report you are using (including page numbers, if applicable.). Put the company name in the header of your post. Each student should pick a different company.

Connect Homework: Chapter 14

Complete Connect Chapter 14 assignments.

Connect Exam 4: Chapters 12 & 14

Complete Exam 4 on Connect, covering Chapters 12 and 14.

  Course Policies

Student Conduct

All Columbia College students, whether enrolled in a land-based or online course, are responsible for behaving in a manner consistent with Columbia College's Student Conduct Code and Acceptable Use Policy. Students violating these policies will be referred to the office of Student Affairs and/or the office of Academic Affairs for possible disciplinary action. The Student Code of Conduct and the Computer Use Policy for students can be found in the Columbia College Student Handbook. The Handbook is available online; you can also obtain a copy by calling the Student Affairs office (Campus Life) at 573-875-7400. The teacher maintains the right to manage a positive learning environment, and all students must adhere to the conventions of online etiquette.

Plagiarism and Academic Integrity

Academic integrity is a cumulative process that begins with the first college learning opportunity. Students are responsible for knowing the Academic Integrity policy and procedures and may not use ignorance of either as an excuse for academic misconduct. Columbia College recognizes that the vast majority of students at Columbia College maintain high ethical academic standards; however, failure to abide by the prohibitions listed herein is considered academic misconduct and may result in disciplinary action, a failing grade on the assignment, and/or a grade of "F" for the course.

Additionally, all required papers may be submitted for textual similarity review to Turnitin.com for the detection of plagiarism. All submitted papers may be included in the Turnitin.com reference database for the purpose of detecting plagiarism. This service is subject to the Terms and Conditions of Use posted on the Turnitin.com site.


There will be no discrimination on the basis of sex, race, color, national origin, sexual orientation, religion, ideology, political affiliation, veteran status, age, physical handicap, or marital status.

Student Accessibility Resources

Columbia College is committed to creating a learning environment that meets the needs of its diverse student body. If you anticipate or experience any barriers to learning, communicate your concerns with the instructor. In addition to speaking with the instructor, the following resources are available to ensure an opportunity to learn in an inclusive environment that values mutual respect.

  • For students with disabilities/conditions who are experiencing barriers to learning or assessment, contact the Student Accessibility Resources office at (573) 875-7626 or sar@ccis.edu to discuss a range of options to removing barriers in the course, including accommodations.
  • For students who are experiencing conflict which is impacting their educational environment, contact the Office of Student Conduct at studentconduct@ccis.edu or (573) 875-7877.
  • For students who have concerns related to discrimination or harassment based on sex, gender identity, sexual orientation, pregnancy or parental status, please contact the Title IX Office at titleixcoordinator@ccis.edu. More information can be found at http://www.ccis.edu/policies/notice-of-non-discrimination-and-equal-opportunity.aspx

Online Participation

You are expected to read the assigned texts and participate in the discussions and other course activities each week. Assignments should be posted by the due dates stated on the grading schedule in your syllabus. If an emergency arises that prevents you from participating in class, please let your instructor know as soon as possible.

Attendance Policy

Attendance for a week will be counted as having submitted any assigned activity for which points are earned. Attendance for the week is based upon the date work is submitted. A class week is defined as the period of time between Monday and Sunday (except for week 8, when the work and the course will end on Saturday at midnight.) The course and system deadlines are based on the Central Time Zone.

Cougar Email

All students are provided a CougarMail account when they enroll in classes at Columbia College. You are responsible for monitoring email from that account for important messages from the College and from your instructor. You may forward your Cougar email account to another account; however, the College cannot be held responsible for breaches in security or service interruptions with other email providers.

Students should use email for private messages to the instructor and other students. The class discussions are for public messages so the class members can each see what others have to say about any given topic and respond.

Late Assignment Policy

An online class requires regular participation and a commitment to your instructor and your classmates to regularly engage in the reading, discussion and writing assignments. Although most of the online communication for this course is asynchronous, you must be able to commit to the schedule of work for the class for the next eight weeks.

You must keep up with the schedule of reading and writing to successfully complete the class. No late discussion posts will be accepted. No other late assignments will be accepted without documented extenuating circumstances beyond the control of the student and with instructor notification prior to the due date.

Course Evaluation

You will have an opportunity to evaluate the course near the end of the session. A link will be sent to your CougarMail that will allow you to access the evaluation. Be assured that the evaluations are anonymous and that your instructor will not be able to see them until after final grades are submitted.

  Additional Resources

Orientation for New Students

This course is offered online, using course management software provided by Desire2Learn and Columbia College. The course user guide provides details about taking an online course at Columbia College. You may also want to visit the course demonstration to view a sample course before this one opens.

Technical Support

If you have problems accessing the course or posting your assignments, contact your instructor, the Columbia College Technology Solutions Center, or the D2L Helpdesk for assistance. If you have technical problems with the VitalSource eText reader, please contact VitalSource. Contact information is also available within the online course environment.

Online Tutoring

Smarthinking is a free online tutoring service available to all Columbia College students. Smarthinking provides real-time online tutoring and homework help for Math, English, and Writing. Smarthinking also provides access to live tutorials in writing and math, as well as a full range of study resources, including writing manuals, sample problems, and study skills manuals. You can access the service from wherever you have a connection to the Internet. I encourage you to take advantage of this free service provided by the college.

Access Smarthinking through CougarTrack under Students -> Academics -> Academic Resources.