Arab Open University

Faculty of Business Studies

Course Syllabus
Academic year: 2019 - 2020
Semester:  First Second  Summer

1. Program: BA in Business Studies

2. Track: Obligatory for Accounting Track/
Optional for other track students
3. Course Code: BE310

4. Course Title: Cost Accounting

5. Course Credits: 3

6. Pre-requisites: BE210/4

7. General Course Coordinator, GCC: Dr. Rengarajan Email: renga@aou.edu.om

8. Branch Course Coordinator, BCC:

9. Instructor/ Tutor:
10. Text Book (s): Horngren, C. T. et al. 2009. Cost Accounting: A Managerial
Emphasis. 13th Edition, Pearson Education LTD., London. Or any other edition.
Any supplementary material.

11. Other Educational Resources (periodicals, software, Course webpage, etc.):

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12. Course Description (Module Specification):
Cost Accounting is an accounting course focuses on a global view of Cost
Accounting; it is designed for students taking Cost Accounting for the first time. The course
will take both a practical and theoretical approach. This course focuses on approaches and
techniques used by managerial accountants for product costing, cost control, and providing
financial information for managerial decision-making. This course aims at providing
knowledge and understanding on determining costs of products or services using various
cost and management accounting techniques. This course also provides an overall
understanding on management accounting techniques that aid managers in planning,

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 Arab Open University
Faculty of Business Studies

Course Syllabus
controlling and decision making within an organization.

13. Course Aims / Objectives:

The following are the aims and objectives of BE310 course:

After completing this course, students will be able to

1- Describe costs by classification and purpose (direct, indirect, variable and fixed
costs).

2- Explain and apply cost accounting techniques.

3- Apply management accounting techniques in each scenario to make and support

decision-making.

4. Use cost accounting techniques such as traditional costing and ABC in determining
cost of products/services offered

5. Understand and appreciate the role of cost information in fixing prices of the
offerings (products/services)

6. Applying management accounting techniques in calculating the costs of joint and

by-products.

14. Course Assessment:

Assessment Type Number Weight

TMA 1 20%
MTA 1 30%
Final 1 50%

Total 3 100%

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 Arab Open University
Faculty of Business Studies

Course Syllabus

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 Arab Open University
Faculty of Business Studies

Course Syllabus
15. Course Weekly Breakdown
Week Date Topics Covered CILOs Teaching Assessm
(starting week) (No.) Method
1 15th Sept 2019 Chapter 1 - The Manager and 1 Lecture
Management Accounting
 Management Accounting, Financial
Accounting, and Cost Accounting.
 Value Chain and Supply Chain Analysis and
Key Success Factors.
 Decision Making, Planning, and Control.
 Organizational Structure and the
Management Accountant. Professional
Ethics

2 22nd Sept 2019 Self – Study - Revising chapter 1 and 1 --

reading chapter 2
3 29th Sept 2019 Chapter 2 - An Introduction to Cost 1&2 Lecture
Terms and Purposes
Costs and Cost Terminology (Direct &
Indirect, Variable and Fixed, Total & Unit, and
Product & Period).
4 6th Oct 2019 Self – Study - Revising chapter 2 and 1&2
reading chapter 3
5 13th Oct 2019 Chapter 3 – Cost-Volume-Profit 3 Lecture
Analysis
 Essentials of CVP Analysis.
 Cost-Volume-Profit Assumptions.
 Breakeven Point and Target Income.
 Using CVP Analysis for Decision Making
 Sensitivity Analysis and Uncertainty.
 Cost Planning and CVP.
 Effect of Sales Mix on Income.
 Multiple Cost Drivers &
Contribution Margin versus Gross Margin.
6 20th Oct 2019 Self – Study – Revising chapter 3 and 3
reading chapter 4
7 27th Oct 2019 Chapter 4 – Job Costing 4 Lecture
 Job-Costing and Process-Costing Systems.
 Actual Costing and Normal Costing.
 A Normal Job-Costing System in
Manufacturing.
Budgeted Indirect Costs and End-of-
Accounting-Year Adjustments

Week Date Topics Covered CILOs Teaching Assessm

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 Arab Open University
Faculty of Business Studies

Course Syllabus
(starting week) (No.) Method

8 3rd Nov 2019 Self – Study – Revising Chapter 4 and 4 MTA cove
reading chapter 5 learnin
outcome
1,2 & 3
(Chapters
& 3)
(Excludi
Multipl
Product C
9 10th Nov 2019 Chapter 5 – Activity-Based Costing 4 Lecture
and Activity-Based Management
 Broad Averaging and Its Consequences.
 Simple Costing System
 Activity-Based Costing Systems
 . Using ABC Systems for Improving Cost
Management and Profitability.
 Implementing ABC Systems & Activity
Based Management
10 17th Nov 2019 Self – Study – Revising chapter 5 and 4
reading chapter 12
11 24th Nov 2019 Chapter 12 Pricing Decisions and 5 Lecture TMA –
Cost Management coverin
 Major Influences on Pricing Decisions. learnin
 Costing and Pricing for the Short-Run. outcomes
 Costing and Pricing for the Short-Run. 4 (chapte
Target Costing for Target Pricing.
2, 3, 4 an
12 1st Dec 2019 Self – Study – Revising chapter 12 and 5
reading chapter 16
13 8th Dec 2019 Chapter 16 - Cost Allocation: Joint 6 Lecture
Products and Byproducts
 Joint Cost Basis.
 Approaches to Allocating Joint Costs.
 Irrelevance of Joint Costs for Decision
Making.
Accounting for Byproducts.
14 15th Dec 2019 Review Session

15 22nd Dec 2019 Final Exam Period