Management and Budget Accounting

The Classes are, as per the curriculum plan, theoretical-practical, designed and prepared with active methodologies to engage students at
various moments or throughout the session.
In the theoretical part, concepts, fundamental results, and methods are introduced through a predominantly expository method, interspersed
with tasks that encourage active participation, such as oral and/or platform-based questioning and group debates on topics presented.
For some parts of the CU, a flipped classroom approach is adopted, promoting students’ autonomous preparation through the prior study of
materials, allowing class time to focus on discussing doubts and deepening knowledge.
The practical component focuses on developing the listed competencies through the guided exemplification of procedures and problemsolving,
encouraging independent or group work. The integration of theory and practice reinforces the learning process and the application
of acquired knowledge.

This CU aims to study management accounting tools for cost determination and budget preparation in companies, with the following
learning objectives:
1. Distinguish Management Accounting from Financial Accounting and understand their interconnection;
2.Apply fundamental concepts of Management Accounting in cost calculations and analyses;
3.Identify, describe, and calculate production cost components based on coefficients or rates, real and theoretical;
4.Use Cost Centers and Activity-Based Costing (ABC) methods to allocate indirect production costs;
5.Utilize costing systems for inventory valuation;
6.Perform cost-volume-profit analyses;
7.Prepare budgets and analyze variances.
Combining theory and practice enables students to use Management Accounting as a decision-support tool, ensuring accurate cost
calculation and efficient budget management.

1. Management Accounting
1.1 Definition, objectives, and characteristics
1.2 Distinction between Financial and Management Accounting
2.Cost and Expense Concepts
2.1 Classification and cost hierarchy
2.2 Types of expenses and Income Statements
3.Production Cost Components
3.1 Raw materials and supplies
3.2 Direct labor
3.3 Indirect production costs
3.4 Production costs: finished, in-progress, and sold
4.Indirect Cost Allocation Methods
4.1 Allocation using single and multiple rates
4.2 Cost Centers and Activity-Based Costing (ABC)
5.Costing Systems
5.1 Real and theoretical
5.2 Full, variable, and rational
6.Cost-Volume-Profit Analysis
6.1 Break-even point and its importance for business decisions
6.2 Contribution margin and safety margin
6.3 Sensitivity to cost, price, and volume variations
7.Budget Management
7.1 Objectives and types of budgets
7.2 Preparation of the annual budget
7.3 Variance analysis and corrective actions

NAO