INTRODUCTION TO MANAGERIAL ACCOUNTING ACC202 Managerial Accounting

Module 1 – Case

INTRODUCTION TO MANAGERIAL ACCOUNTING

Assignment Overview

Review the three components in the background material to answer the questions about managerial accounting and its purpose.

Case Assignment

The first case consists of two parts.

Part I

Short-Answer Questions and Definitions

What are the major differences between managerial and financial accounting?

Explain how a contribution margin (variable costing, behavioral income statement) differs from an income statement prepared in accordance with US GAAP.

Why are certain costs referred to as product costs? What are the major types of product costs incurred by a manufacturer?

Define the following terms.

Distinguish between controllable and uncontrollable costs.

Visit the website for Stitch Fix (Personal styling for everybody) and locate its last quarterly report.https://www.stitchfix.com

How does the financial information provided in the quarterly report (focus on the income statement) differ from financial information used for managerial accounting purposes?

As a manager making business decisions within the company, what additional information would you need? (Remember that the income statement may be referred to using different terminology such as statement of earnings or statement of operations.) Give at least two specific pieces of information desirable to a manager, but not included in the published income statement.

Assignment Expectations

Part I

Write 3–5 sentences for each question.

Part II

Write a short essay (300-600) words.