TAILIEUCHUNG - Lecture Financial and managerial accounting (4/e): Chapter 22 - Wild, Shaw, Chiappetta

Chapter 22 - Decentralization and performance evaluation. After you have read this chapter you should be able to: Distinguish between direct and indirect expenses and identify bases for allocating indirect expenses to departments; explain controllable costs and responsibility accounting; analyze investment centers using return on assets, residual income, and balanced scorecard;. | Financial and Managerial Accounting Wild, Shaw, and Chiappetta Fourth Edition McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 22 Decentralization and Performance Evaluation Conceptual Learning Objectives C1: Distinguish between direct and indirect expenses and identify bases for allocating indirect expenses to departments. C2: Explain controllable costs and responsibility accounting. C3: Appendix 22A: Explain transfer pricing and methods to set transfer prices. C4: Appendix 22B: Describe allocation of joint costs across products. 22- A1: Analyze investment centers using return on total assets, residual income and balanced scorecard. A2: Analyze investment centers using profit margin and investment turnover. Analytical Learning Objectives 22- P1: Prepare departmental income statements and contribution reports. Procedural Learning Objectives 22- Provide information for managers to use in performance evaluation. To control costs and expenses and assist with evaluating managers performances. Primary goals Departmental Accounting C1 22- Managers use this information to: Control operations. Appraise performance. Allocate resources. Plan strategy The accounting system provides information about resources used and outputs achieved. Information for Departmental Evaluation C1 22- The type of accounting information provided depends on whether the department is a . . . Evaluated on ability to control costs. Evaluated on ability to generate revenues in excess of expenses. Cost center Profit center Information for Departmental Evaluation C1 22- Information for Departmental Evaluation Investment Center Evaluated on their use of center assets to generate income. C1 22- Direct expenses are incurred for the sole benefit of a specific department. Indirect expenses benefit more than one department and are allocated among departments benefited. Departmental Expense Allocation C1 22- Service

• Tài chính doanh nghiệp
• Managerial accounting
• Lecture Financial and managerial accounting
• Financial statements
• Managerial decisions
• Performance evaluation
• Departmental accounting
• Managerial accounting for managers
• Lecture Managerial accounting
• Profitability analysis
• Decision making
• Operations management majors
• Nonmanufacturing costs
• Classifications of costs
• Kế toán quản trị
• Managerial accounting information
• General cost classifi cations
• Product costs
• Process costing
• Standard costing systems
• Accounting information
• Managerial decision
• Process management
• Financial statement
• Cost concepts
• Managerial accounting basics
• Managerial cost
• Period costs
• Financial accounting
• Dynamic business environment
• Reporting manufacturing activities
• Accounting principles
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Relevant costing
• Accounting activities
• Business activities
• Income statement
• Accounting cycle
• Accounting for merchandising operations
• Merchandising operations
• Capital budgeting decisions
• Time value of money
• Income taxes
• After tax cost