General provisions

The course is offered within the Bachelor's Programme in Business and Economics and as a freestanding course. The course syllabus was approved by the board of the Department of Business Studies on delegation from the Faculty of Social Sciences.

Entry requirements

General entry requirements

Learning outcomes

The course aims to provide the student with basic knowledge of a company's management accounting and control. On completion of the course, the student should have a basic:

• understanding of how enterprise is based on creating value
• knowledge of the connection between corporate governance- management accounting and control- financial accounting
• knowledge and understanding of the relationships between financial/management accounting, result planning, calculations and different forms of management models that an organisation uses (e g budget)
• knowledge of which type of results and cost concept that is suited for different decision making situations
• knowledge of establishment of calculations for assessing products, services and the costs, profitability and cash flow of investments
• understanding that investments are financed with a capital and how to assesses the costs of this capital
• understanding of the principles of the investment assessment, especially present-value calculations.

Content

The course starts with a discussion of basic concepts. In the section Product Cost Estimation it's also shown, how varying cost concept is used for different purposes. The company can use different types of estimates and methods for evaluating the profitability of products and services, variable costing/calculation or cost price calculation. The final section of the course treats management accounting as well as the company's requirements of planned investments and criteria for their profitability.

Examples of specific knowledge and skills the student is expected to achieve:

• understanding of the management control processes that interacts in the information system, strategy, budget, accounting and follow up of an organisation
• establishment of budget and the processes included in this
• be able to account for certain relationships between business volume, revenues/costs and cash flow factors
• understand the difference between traceable cost/common cost, mobile and solid costs as well as direct and indirect costs
• knowledge of what type of calculation is best suited as a basis for a specific decision.
• knowledge of the company's requirement of planned investments and their profitability, the cash flow of investments, the time value of money and the choice of discount rate. Examples of methods are present value method and the internal rate of return method.
• carry out investment assessments by means of the Present value method (real, nominal, before and after tax, as well as with or without debt financing), the Internal rate of return method and the Pay-back method
• calculate real interest rates
• calculate end values
• calculate annuities

Instruction

The instruction involves lectures, written assignments in groups and seminars.

Assessment

The student will get one single grade, equivalent to 7.5 credits.

The examination takes place continuously through an individual written test and seminars and assignments carried out in groups. The grade for the entire course is based on an assessment of all parts of the examination. Grading criteria are presented in the study guide that applies to the course section. The following grades will be used, pass with distinction (VG), pass (G) and fail (U). Examinations handed in late will not be assessed except under special circumstances. Any remaining supplemental work must be handed in by the deadline specified in the study guide.

For students who have not received a passing grade for the course, there is the opportunity to be examined without re-registration via a make-up exam.

If there are special reasons for doing so, an examiner may make an exception from the method of assessment indicated and allow a student to be assessed by another method. An example of special reasons might be a certificate regarding special pedagogical support from the University's disability coordinator.

Uppsala University does not accept cheating or plagiarism. Suspected incidents of cheating or plagiarism are reported to the Vice-Chancellor, which may issue a formal warning to the student or suspend the student from studies for a certain period.

NOTE: Only completed courses can count toward a degree.

Other directives

This course replaces/overlaps among others the following basic courses in business studies: Accounting 2FE154, Accounting A 2FE153, Financial Accounting 2FE151, Business and Enterprise 2FE000, 2FE007, Accounting 2FE279, Business and Markets I 2FE778, Business and Markets II 2FE779, 2FE008, Business and Enterprise I 2FE015, Business and Enterprise II 2FE016, Economy, Accounting and Analysis 2FE024, 2FE032, Business Economics 1TG010, Management Accounting and Control in Private and Public Organisations 2FE017, Financial Calculation 2FE945.