Module description
What is the module about?
The module builds upon the key elements of management accounting systems learnt in year one by introducing new topics and techniques, such as transfer pricing, performance measurement, strategic management accounting and environmental management accounting. The module places the management accounting tools learnt in year one in a broader strategic and behavioural perspective, combining calculation and critical discussion. It examines how the information produced by management accounting systems can be used in various decision-making processes and for planning and control purposes, often with unintended consequences. Tutorials will combine quantitative exercises and case studies, with a strong focus on interpretation of results and critical discussion.
Who should do this module?
The module is compulsory for BSc Accounting and Finance students, and available to Economics and Management, Business Management and International Management. It requires some background in accounting and financial management, with 4QQMN502 Introduction to Management Accounting or 4QQMN511 Introduction to Accounting and Finance as a pre-requisite. Students with an interest in how accounting tools can support business decisions and who are keen to gain knowledge of real-world applications of such tools will enjoy this module. The module is normally concluded by a practitioner lecture given by CIMA, which gives students insights into the future of the finance function as well as advice on pursuing a professional qualification as Management Accountant.
Provisional Lecture Outline
Lecture 1: Customer Profitability
Lecture 2: Throughput Accounting, Just in time and Pricing
Lecture 3: Capital budgeting with unequal lives
Lecture 4: Environmental accounting and life cycle
Lecture 5: Real Options
Lecture 6: Strategic Management Accounting
Lecture 7: Performance Measurement
Lecture 8: Transfer pricing
Lecture 9: Non-financial performance measures and the Balanced Scorecard
Lecture 10: The future of the finance function. Challenges for the future
Assessment details
70% Examination
30% Coursework
The format of the examination has not yet been confirmed. All students will be expected to sit any remote exams in January, but semester 1 only students will be set an alternative assessment or sit the exam remotely in lieu of any in-person exams.
Teaching pattern
Weekly lecture
Weekly tutorial
Suggested reading list
Key text or background reading
Drury, C. (2020). Management and Cost Accounting, Cengage, Eleventh Edition.
Burns, J., Quinn, M., Warren, L. & Oliveira, J. (2013). Management Accounting.
London: McGraw-Hill.
Rohde, C., Seal, W. Mustard, K. (2025). Management Accounting. Seventh Edition. McGraw Hill.
Additional readings will be available through the online reading list.