How to Teach Management Accounting

To teach management accounting means not only to teach the analysis of financial statements and to instruct students for presenting useful accounting information but also to teach everything about accounting which is helpful for management decision making. Like, any other teaching planning, teaching of management accounting also requires to create step by step lesson plans for each topic of management accounting. Management accounting teacher should take some real life problems and try to solve them and show these solution as the part of his management accounting teaching.

1st Step : To Develop  Analytical Thinking in Students

It is the first step of teaching of management accounting that teacher has to develop analytical thinking in students. Students who are studying management accounting, already know how to make final accounts and what are the main accounting terms. But how can they analyze all these financial statements? They have to learn from you.

For developing analytical thinking, following things may be helpful :

a) To teach all the restrictive conditions.

b) To instruct all the alternatives.

c) Not to develop guess work.

d) Give some time to student to think the problem with fresh approach.

2nd Step : To Investigate the  Causes of Difference between Actual and Budget or Standard  Data

This is the second step to teach management accounting. In this step, management accounting teacher should take any accounting problem with its budget data or standard data. He should have all its variance. Now, teacher should investigate the cause of variance. Suppose, our record actual sale is 20% less than previous year. There may be 100 of reasons, if we deeply study it. This is just one accounting term, there are lots of accounting terms and we make lots of budget. All these items should be investigated. One side, this approach will make management accounting more practical and other side, student will get confidence if they investigate new reason of these causes.

3rd Step :  Motivating Students’ Participation

Teacher of management accounting should motivate students for participation in any discussion. One good tip is given in this PDF file which I am mentioning following quote:
In introducing budgeting topic, the teach should use to draw an organization chart of a manufacturing organization, and started with a question, “Which department should start a budget?” At the beginning, it may be puzzling for the students but after a couple of minutes different answers came up such as “finance and accounting department”, “production department”, “human resource department”, and “marketing department”. To
increase more students’ involvement, their answers were followed by another question asking who would support which answer. It made the other students think, and the result of thinking is learning. For the next step, the question would be about different targets between marketing department and production department, how to resolve them if the students were respective managers. The purpose was to set them enter in the role of managers and force them to think what they will decide if they were in managers’ place.

4th Step : Use of Multi-media in Teaching Managerial accounting

Without use of multi-media in teaching managerial accounting may not be successful. Teacher should use all latest multi-media technology for teaching managerial accounting. Making of PowerPoint slides, animated clips, video presentation and use of images and icon may make solution more easy to understand. One example is my past content Fund Flow Analysis's Image which was successful online for teaching students. I think, step by step teaching of management accounting topic through 10 minutes multi-media is better than one hour boring lecture.

5th Step : Use of Management Accounting Text Books

Teachers should learn lots of management accounting text books instead of one book first. It will be helpful to teacher to teach interpretation of financial information from different ways. Recently, I reviewed a new book of Management Accounting, 5/e which is written  by Atkinson in which, I learned new management accounting term incremental budgeting. Like this, there are lots of other new things whose knowledge can be obtained from different management accounting text books. 






access account accountant Accounting accounting definitions accounting ebook Accounting education accounting procedure accounting process outsourcing Accounting Software advance advertising africa Amalgamation amendments announcements Annuity assets audit auditing Australia B.Com. balance sheet bank Bank reconciliation banking basic accounting BBA benefits best bill black money blog bloggers book keeping bookkeeping Branch Accounting - full tutorial budget Budget variance business businessman CA calculator canada capital capital budgeting career cash cash book cash flow statement Chiense children china class coaching coins college commerce commerce students company computer computer accounting conference Contact vinod kumar Control Your Spending corporate accounting cost cost accounting cost center cost centre CPA credit credit card cs currency data Debit and credit debit cards debt debtor degree depletion depreciation Diwali Messages documents dollar domain Downloads Dubai e-accounting earning education Education Loans email employee EPF ERP euromoney examination excel excise duty expenses facebook factor of loan fans feature fifo FII fiji finacle finance Financial financial accounting fire insurance flickr flow forensic forex formula france fraud free fun function fund GAAP GDP gdr germany gold goodwill goodwill accounting google google apps Google Adsense google apps google base google buzz google calendar Google docs google finance google fusion tables google talk govt. GST guide health Hindi Hindi Language history holding company How to treat FBT in Tally 9 HRA ICAI ICAWI ICICI Bank IFRS income income statement Income Tax India indian railway Indonesia inflation inflation accounting infographics information inspiration insurance insurance accounting Intangible interest international Internet Introduction of Tally 9 inventory investment investment in Shares invoice IT Japan Job costing journal entries Journal Entries eBook Help Kalculate keyboard kindle kuwait laptop law LBT learning lease lecture ledger leducation Leverage Analysis liabilities lifo linkedin loan logical point loss loss of profit M.Com. m.phil malaysia management accounting manual accounting manufacturing account market marketing mastercard material MBA MCA media migration mobile money ms word ms. excel multi currency in tally 9 Multicurrency Accounting mutual fund national security new and sacrifice ratio new york times new zealand news NGO nonprofit-accounting North Georgia Mountains NPV NSE odbc office oman online application online accounting Online Accounting Course otcei pakistan parents Partnership pay pal pdf Personal Finance pie chart pie chart of income pnb podcast ppf presentation price privacy policy prize money prof. vinod kumar profit profit and loss account project management provision purchase puzzles quickbooks Quote quotes quotes of svtuition rating agency ratio analysis RBI readers real estate rectification of errors remote control reports reserves responsibility accounting retirement revenue Revenue reserves review risk rupees salary sale saudi arabia saving sbi scholarship school SEBI security service tax share share trading Shares shri lanka singapore sms social accounting society solution South Africa stock stock exchange structure student students study subsidiary company svtuition swiss bank tally tally 9 Tally 7.2 Tally 9 Tally.ERP 9 tanzania tax Tax Accounting TDS teacher teaching technology test testimonial testimonials thailand tips trading trading on equity transaction trend trial balance truthfulness tuition twitter UAE UGC - NET Commerce UK United Arab Emirates university usa valuation VAT Video Voucher and vouching Wealth wikipedia working capital youtube
Accounting Education: How to Teach Management Accounting
How to Teach Management Accounting
Accounting Education
Not found any lecture VIEW ALL Continue reading Reply Cancel reply Delete By Home PAGES Lectures View All RECOMMENDED FOR YOU Category ARCHIVE SEARCH ALL Lectures Not found any lecture match with your request, please help to write it and send it to our email at for making this website free accounting and finance encyclopedia. Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS CONTENT IS PREMIUM Please share to unlock