course-details-portlet

SMF2293 - Cost Accounting and Budgeting

About

Examination arrangement

Examination arrangement: School exam
Grade: Letter grades

Evaluation Weighting Duration Grade deviation Examination aids
School exam 100/100 4 hours D

Course content

  • Models of cost accounting: normal and standard cost according to the variable and absorption costing
  • Business decision making problems (relevant costs and revenues for decision making)
  • Bottleneck decsions
  • Activity-based costing (ABC) as an alternative to traditional costing – Profitability analysis
  • Different types of budgets and the budgeting process
  • Basic estimation of cost functions
  • Basic cost allocation
  • Decentralization and performance measurement

Learning outcome

Knowledge:

  • Have an understanding and knowledge of management accounting based on normal cost and standard cost (based on the variable and absorption costing) with variance analysis;
  • Have knowledge of flexible budgets;
  • Have knowledge of Activity-based costing (ABC);
  • Have knowledge of business decision-making problems;
  • Have knowledge of bottleneck decisions;
  • Have knowledge of the budgeting process;
  • Have knowledge of different types of budgets;
  • Have knowledge of responsibility centers and make transfer pricing;
  • Have knowledge of basic cost estimation;
  • Have knowledge of basic cost allocation
  • Have knowledge of the performance measurement.

Skills:

  • Be able to prepare normal cost accounting and standard cost accounting according to the variable and absorption costing principles;
  • Be able to conduct variance analysis;
  • Be able to prepare calculation with Activity-based costing;
  • Be able to distinguish between decision-relevant and decision-irrelevant costs and apply it in various decision-making situations; - Be able to prepare budgets, especially cash budget, result budget and balance sheet budget;
  • Understand the purpose of dividing an organization into responsibility centers, as well as calculating transfer prices;
  • Have insight into performance measurement.

General competence: -

  • Be able to see the subject in a broader economic context;
  • Be able to use cost accounting and budgeting in corporate financial management;
  • Critically assess whether certain techniques and methods should be applied in different contexts, including if the methods promote or inhibit long-term orientation and responsible resource application;
  • Be able to acquire updated knowledge within the above mentioned knowledge and skills in the subject areas.

Learning methods and activities

Teaching methods:

Lectures (can be both digital and physical) and group work (including the use of spreadsheets). Digital learning platform will be used to some extent in the exchange of information.

80% attendance at arithmetic exercises can be required

Compulsory assignments

  • Approved exercises

Further on evaluation

Supporting material allowed on exams: Approved calculator regarding NTNUs support material code B-D "specific basic calculator". Other calculators that are allowed in the course are: Casio FC-100V and Texas Instruments - BAII Plus.

Mandatory assignments to be announced at the course start. Minimum attendance of 80 % at exercise sessions may be required. Mandatory work requirement (s) must be approved in order to take the exam. Students who have previously taken an examination in the course are exempted from mandatory work requirements in subsequent attempts at the examination.

Course materials

Curriculum:

Berg, T. Grunnleggende økonomistyring. Tredje utgave, Cappelen Damm Akademisk.

Helbæk, M. & Olsen, B.A. Excel for økonomistudenter, 2019, Universitetsforlaget.

Supplementary readings:

Kjell Gunnar Hoff, Trond Bjørnenak, Morten Helbæk (2020 eller 2021) Økonomistyring 2: Driftsregnskap og budsjettering. 7. utgave, Universitetsforlaget.

Hoff, K. G. & Helbæk, M. Arbeidsbok til Økonomistyring 2. Siste utgave, Universitetsforlaget.

Sending, Aa. Økonomistyring 1. Siste utgave, Fagbokforlaget. Sending, Aa. Økonomistyring 2. Siste utgave, Fagbokforlaget. More information at the start of the semester.

Credit reductions

Course code Reduction From To
SMF2293F 7.5
SMF1042 2.5 AUTUMN 2019
SMF1042F 2.5 AUTUMN 2019
AE201306 7.5 AUTUMN 2021
More on the course

No

Facts

Version: 1
Credits:  7.5 SP
Study level: Intermediate course, level II

Coursework

Term no.: 1
Teaching semester:  AUTUMN 2023

Language of instruction: Norwegian

Location: Gjøvik

Subject area(s)
  • Economics and Administration
Contact information
Course coordinator:

Department with academic responsibility
Department of Industrial Economics and Technology Management

Timetable

List view
Calendar view

Examination

Examination arrangement: School exam

Term Status code Evaluation Weighting Examination aids Date Time Examination system Room *
Autumn ORD School exam 100/100 D 2023-12-01 09:00 INSPERA
Room Building Number of candidates
S206 Smaragd 50
M412-Eksamensrom 4.etg Mustad, Inngang A 1
S410 Smaragd 2
Summer UTS School exam 100/100 D INSPERA
Room Building Number of candidates
  • * The location (room) for a written examination is published 3 days before examination date. If more than one room is listed, you will find your room at Studentweb.
Examination

For more information regarding registration for examination and examination procedures, see "Innsida - Exams"

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