Syllabus

Course’s Name : Cost and Investment Management

Course’s Code :
Weight : 2 SKS
Semester : 1
Prerequisite Courses :
Course Description : Lecture focused on the development, interpretation and application of accounting information for decision-
making. Lectures will focus on the use of accounting information within the organization for the purpose of
understanding and analysis activities and operations of the company. Students will learn to link accounting
information to management planning through cost analysis (including activity based costing and activity-
based management), operational and capital budgeting, and performance measurement.
Learning Achievement : Students are expected to use the information accounting / finance for the purpose of planning and internal
courses control, make business decisions and evaluate performance of business units using data obtained from the
accounting system.
Sub-Learning Achievement : 1. Understand how cost management can help the company to meet its strategic goals to manage costs and
courses not just by measuring the cost.
2. Able to prepare the income statement and report the cost of production and sales.
3. Understand the cost structure that occurs in many different types of industries.
4. Understand the cost accumulation system in the manufacturing industry.
5. Understand and be able to design a system of planning and cost control in the manufacturing industry as
well as project-based industries.
6. Able to design financial models for requirement analysis.
7. Understand and be able to use accounting information for decision-making.
Contribution to “ABET (a) An ability to apply knowledge of mathematics, science and engineering
learning outcome” : (b) An ability to analyse and interpret data
(c) an ability to function on multidisciplinary teams
(d) An ability to identify, formulate and solve engineering problems
(e) An ability to use the techniques, skills, and modern engineering tools necessary for engineering practice
Study materials : 1. Basic Accounting
2. Cost Accumulation System
 3. Cost Planning & Control System
4. Capital Budgeting
Topics : 1. Basic cost terms and concepts
2. Job order costing systems
3. Process costing and hybrid product costing systems
4. Activity based costing and cost management systems
5. Activity based management and the new manufacturing environment
6. Cost behavior and estimation
7. Cost-volume-profit analysis
8. Budgeting: Profit planning and control systems
9. Standard costing and performance measures for the new manufacturing environment
10. Flexible budget and control of overhead costs
11. Cost analysis and pricing decision
12. Introduction to capital expenditure decision
13. Further aspects of capital expenditure decisions
Main Reference : Hilton, “Managerial Accounting: Creating Value in a Dynamic Business Environment”, McGraw Hill, 9ed,
2013.
Other References : Cost Accounting: A Managerial Emphasis, 14th Edition, Prentice Hall, 2011.
Fisher, “Cost Estimation and Management: A Practical Approach”, Create Space Independent Publishing
Platform, 2013.