School of Accountancy Utah State University

Accounting 2020 Managerial Accounting Principles

Fall 2011

Class: 7:30 - 8:45 TR, Engineering 103 Instructor: Frank Shuman, MAcc, CPA, CMA, CIA Office: B502 Office Hours: 10:30 - 11:20 M - F E-mail: frank.shuman@usu.edu Textbook: Garrison, Noreen & Brewer, Managerial Accounting, 14th Edition, Irwin McGraw Hill Publishers. The customized edition for USU students available at the bookstore and may be cheaper than the full 14th edition that you might find available on-line. (The 13th edition of the textbook will not work for this class) Canvas (web address is canvas.usu.edu): Available on canvas are power point slides for each chapter, similar homework problems and their solutions, and check figures for when working your homework problems. There are additional resources available at the textbook website: mhhe.com/garrison14e. Course Fee: The $7.50 course fee is to cover the cost of the web enhancements, to help support tutor lab for the course, and to cover the cost for scantrons during exams. Students with Disabilities: If a student has a disability that will likely require some accommodation by the instructor, they need to document the disability through the Disability Resource Center, preferably during the first week of the course. In cooperation with the Disability Resource Center, course materials can be provided in alternative format (ie, large print, audio, diskette, or Braille). Course Learning Goals: At the end of the course, students will demonstrate: 1) the ability to calculate financial ratios and to explain how various transactions affect financial ratios; 2) proficiency in cost accounting methodology and practices; 3) an understanding of fixed and variable cost behavior; 4) understanding of budgeting techniques; 5) the ability to calculate standard cost variances; 6) the ability to perform capital budgeting computations and make business investment decisions; 7) the ability to apply accounting information to improve critical thinking, problem-solving, and decision-making capabilities. Phone: 797-2339

Homework: Homework will be due at each exam. Late homework will be accepted for up to one week after the due date for half credit. Also, if you are not working homework assignments on a regular basis, you are short-changing your education (and knowledge base for doing well on exams). Homework / Being on Time Checks: To encourage you to both have done your homework and be to class on time, five times during the semester there will be a homework check. If you have your homework done (not necessarily accurate, but complete), you will receive the five points. You will not receive credit for simply showing up to class. With similar homework problems provided on blackboard and the tutor lab (and Franks help) available, I didnt understand the homework assignment wont cut it as an excuse for not having your homework done. A missed homework check can be made up by attending an IMA (Institute of Management Accountants) technical meeting. There will be two technical meetings this semester: October 12 and November 16. The meetings will go from 7:00 - 8:00 PM in Room 211 in the business building. At the end of the meeting, come and see Frank and get checked off to makeup a missed homework check. Ratio Analysis Case: In connection with chapter 15 on financial statement analysis, you are to complete the ratio analysis case that is available on Canvas. The purpose of this assignment is to do a comprehensive financial ratio analysis of Stephens Company and then make a determination of whether you would recommend that the bank (your employer) accept or reject the loan application. You will have to calculate all of the ratios that were part of E15-6, E15-7, and E15-8, with one difference being that Stephens Company has issued preferred stock. You will be graded based on the accuracy of your calculations and the quality of your analysis. There is no right or wrong answer as to whether the loan should be made, but Frank is looking at your thought process and critical reasoning skills in making your decision. If you have any trouble calculating (or simply want to verify that your calculations are accurate) or interpreting any of the ratios, you are welcome to stop by Franks office. Your paper is due on Tuesday, September 20 and is potentially worth 20 points. Exams: During the class, there will be four exams and a comprehensive final exam. The four exams will each consist of 30 multiple choice questions. The questions will mainly come from in-class discussion and examples, including homework problems or similar problems (on the class website), with a few questions strictly from your reading. The final exam is comprehensive and will consist of 40 multiple choice questions, of which 1/3 are from chapter 13 and the other 2/3 are from the other chapters covered in class. Dont expect a cakewalk exam from Frank, but do expect a fair exam that is a representation of what weve covered. If you ever have questions about what to study for exams, Frank will refer you to this section of the syllabus. On the exams, you will have 75 minutes, so arrive on time prepared and use your time wisely.

Calculator policy for exams: To maintain the integrity of exams and to reduce the temptation for academic dishonesty, during exams, you will be provided a 4-function calculator. Use of any other electronic devices (ie, cell phone, ipod, blackberry, etc.) or other notes during exams will result in an immediate score of zero for that exam no excuses / no exceptions. Analytical Rigor: Analytical rigor is one of the four pillars of the Huntsman School of Business. You should expect this class (or any class taken in the Huntsman School for that matter) to be of the highest level when it comes to analytical rigor and developing critical thinking skills. Analytical rigor involves not only the material, but knowing it well and being able to apply it to a given set of information. Business Attitude: In the Huntsman School of Business, we are training you for the business world. Whether you realize it or not, in college you are developing habits and attitudes that you will carry into the business world. Frank believes that you need to start developing a business-like attitude and to be strongly performing from the beginning of class. This means that I do not drop an exam. By dropping an exam, I am encouraging a slacker mentality on the students part at some point in the class. In the business world, everything you do counts - not just your performance on your best days, and you need to start developing a similar attitude that you are always on your game. This means not missing class and being prepared for class every day. Suggestions for doing well in the class: 1) Practice, practice, practice thats how you learn accounting by working problems, including the similar homework problems available on the class website. 2) Reading (not skimming) the textbook thoroughly, including reading a chapter before it is discussed in class. This will increase your awareness of, and understanding of, the material when it is discussed in class. 3) Doing your homework before coming to class. 4) Attending every class period and taking good notes. 5) When we do thinking questions in class, dont just sit there until the problem is worked out. 6) Approaching the class material with an analytical mind a big focus of this class is learning how to evaluate situations and use accounting information to make business decisions. 7) Dont memorize but learn the material. Memorizing the material for exams implies you will soon forget it. You need to think about and learn the material. 8) Not cramming the night before the exam cramming is a tactic that rarely has much success. 9) Forming a study group for doing your homework and/or studying for exams. 10) Keeping up in the class from day one!

Tutor lab schedule: A tutor lab will be available beginning the second week of class as follows: Monday through Thursday from 4:30 - 6:30 PM in Engineering Room 204. Connect: Available with the first-time purchase of the textbook is a registration code for Connect, which is a site offered by the textbook publisher. Available at this site are additional problems and help content with the textbook. If you are not the first-time user of your textbook, you can purchase Connect through the publishers website. Connect is not required for this class. How you choose to use the resources available is up to you. The URL necessary to access Connect (along with the registration code that is inside the first page of the textbook is as follows): connect.mcgraw-hill.com/class/f_shuman_fall_2011". If you have trouble with registration, you may contact customer support at mpss.mhhe.com/. Other: Accounting 2020 can be a difficult course for some students. You are strongly advised not to fall behind in your reading/homework. Learning accounting is learning a series of links ie, one chapter or topic often links into the next. If you are not keeping up with the class, you are missing the knowledge (or links) required for understanding the next topic. Also, if you are only cramming the night before the exams, you are dead meat. To do well on the exams requires more than just a superficial knowledge of the subject matter. Cramming means you only understand the material at a superficial level, which from my experience, at best will translate into an exam score of no more than 50 - 60%. You should take an active role in your education. It is expected that you will be prepared each day to take part in class discussions and add to the overall educational experience of the class. Your preparation for and participation in class in an indication of being on your game and having a business-like attitude. If you still dont understand a subject area after a thorough reading of the textbook and class discussion, you are welcome to meet with Frank. You are alway welcome to visit him when the office door is open. Also, you need to treat your fellow students who are trying to understand the material with respect. This means not talking when Frank is talking (but it is acceptable to talk with each other when the class is working on in-class questions and examples), or packing up your materials with five minutes to go in class (this is particularly disruptive to both Frank and your fellow students).

COURSE CALENDAR Date Topic Homework Assignments (E - Exercise, P - Problem)

T Aug 30 R Sep 1 T Sep 6

R Sep 8 T Sep 13 R Sep 15 T Sep 20 R Sep 22 T Sep 27

R Sep 29 T Oct 4 R Oct 6 T Oct 11

R Oct 13

T Oct 18 R Oct 20 T Oct 25 R Oct 27 T Nov 1 R Nov 3

T Nov 8

R Nov 10

Chapter 15 E15-6, E15-7 Financial Statement Analysis Chapter 15 E15-8, P15-14 Chapter 15 P15-15 Chapter 2 E2-8 Managerial Accounting and Cost Concepts Chapter 2 E2-12, P2-21 Review for Exam #1 Exam #1 (Chapters 15, 2) Chapter 3 P3-26, P3-27 Job Order Costing Ratio Analysis Paper Due Chapter 3 E3-8, P3-23 Chapter 7 E7-1, E7-5, P7B-3 Activity-Based Costing: A Tool to Aid Decision Making Review for Exam #2 Exam #2 (Chapters 3, 7) Chapter 5 E5-8, E5-13, E5-18 (part a) Cost Volume Profit Relationships Chapter 5 P5-20 Chapter 6 E6-11 Variable Costing and Segment Reporting: Tools for Management Chapter 6 P6-21 Chapter 8 E8-1, E8-3 Profit Planning Chapter 8 E8-5, P8-23 No class - follow Friday schedule Review for Exam #3 Exam #3 (Chapters 5, 6, 8) Chapter 10 E10-3, E10-5, E10B-2 Standard Costs and Variances Chapter 11 E11-3, E11-9, E11-13, E11A-3 Performance Measurement in Decentralized Organizations Chapter 12 E12-1, E12-3, E12-7, E12-13 Differential Analysis: The Key to Decision Making No class - Frank is at national IMA leadership conference

T Nov 15 R Nov 17 T Nov 22 R Nov 24 T Nov 29 R Dec 1 T Dec 6 R Dec 8

Chapter 12 Review for Exam #4 Exam #4 (Chapters 10 - 12) No class - Holiday Chapter 13 Capital Budgeting Decisions Chapter 13 No homework assigned Review for Final Exam

E12-10, E12-14, E12-15

E13-10, P13-20, P13-21 E13-8, P13-19, P13C-4

Final Exam: Tuesday, December 13, 7:30 - 9:20am (1/3 from chapter 13 and 2/3 from the remaining chapters) Grading: Homework (45 @ 1) Ratio Analysis Case Homework checks (5 @ 5) Exams (4 @ 90) Final Exam (Comprehensive) Total points possible 45 20 25 360 120 570 ===

Final grades will be based on the following overall percentages for the class as a whole: Grade Percentage 93 - 100% A 90 - 92 A87 - 89 B+ 83 - 86 B 80 - 82 B77 - 79 C+ 73 - 76 C 70 - 72 C65 - 69 D+ 60 - 64 D Below 60 F If the overall class average is 77% or above, final grades will be based on the standard curve above. If the overall class average is below 77%, final grades will be curved. No particular assignment or exam will be curved, but rather the course as a whole, if needed. Your scores will be posted on Canvas throughout the semester. Periodically check Canvas to make sure that all of your scores have been accurately recorded. Any discrepancies with homework checks need to be cleared no later than one week after the check (ie, you cant come see Frank at the end of the semester and claim you were at all of the homework checks, but the scores didnt get recorded on Canvas).

Class policies: Mr. Shuman policy - Call him Frank. (Also, hes not a doctor and professor makes him feel old) Missing class policy - Not an option. (Especially if you want to do well in the class.) Cell phone policy - Either turn it off or leave it at home. Whining policy - Not allowed in this class. Twizzlers policy - Come by Franks office if you ever need a snack. Mountain Dew / Dr. Pepper / Coke / Pepsi / Coffee policy - Frank is offended if you need caffeine to stay awake in his class. Aggie football policy - Are we ever going to have a winning season? Aggie basketball policy - Are we ever going to win an NCAA tournament game? Final Four policy - Franks favorite sporting event to attend. Hes seen the college basketball champion crowned fifteen times. (91, 95, 96, 98, 99, 02, 03, 04, 05, 06, 07, 08, 09, 10, 11). Human calculator policy - Notice how Frank doesnt use a calculator when working problems. Franks pissed off (or S) list policy - Dont get on it. Talking in class while Frank is talking policy - The quickest way to get on the S list. Frank asks the class a question policy - Answer it, unless you answered the last question. (The same goes for students asking questions in class) Extra credit policy - This is not high school. Dont even ask. Practice, Practice, Practice policy - Thats how your learn accounting by doing it! I have to have an A or whatever else grade you need policy - Then you had better earn it from the first day of class. I need a higher grade in this class policy - This class is offered next semester. RFQ / FRI policy - While doing your homework or taking exams, read the freakin question (RFQ) or read the freakin information (RFI) before answering the question. Thinking policy - Thats exactly what accounting is thinking, and doing lots of it! Tricky question policy - Tricky is not an acceptable word that is used in this class. Frank doesnt give you tricky questions, only ones that make you think. Studying policy - To do well in this class, its not about studying hard, its about studying smart (or studying with understanding). To study smart means coming to class well prepared each day (ie, not cramming or studying the material for the first time the night before the exam), listening to how Frank is explaining a problem (if you listen carefully, Frank is leaving clues all over the place of how you should be looking at and analyzing the material in the class), and using all tools available to you, such as similar problems on the class website and the tutor lab. Stupid questions policy - Dont ask the following stupid questions: 1) I missed class today. Did I miss anything important? 2) Is anything we covered in class today going to be on the exam? 3) What is going to be on the exam? (For questions 2 & 3, Frank will simply refer you to the section Exams of this syllabus and not say one word more; 4) I have to have an A in this class. Do you offer extra credit? (Read the extra credit policy); 5) I did bad on the exam / in this class. What are my options? (Your option was to do well on the exam / in the class) Stupid question on exam policy - On every exam, there will be one stupid question that no matter what answer you mark, you will receive credit. In essence, a freebie. Optional exam policy - Its your option of whether to take a zero for an exam or take the exam. Gray hair policy - Dont give Frank any more gray hairs than he already has. Frank loves his students policy - Always and forever! (although sometimes it is tough love) Fun policy - Believe it or not, accounting can be a fun class!