|Managerial Accounting Concepts and Principles|
|After you have read this chapter you should be able to:|
- Explain the purpose and nature of, and the role of ethics in, managerial accounting.
- Describe accounting concepts useful in classifying costs.
- Define product and period costs and explain how they impact financial statements.
- Explain how balance sheets and income statements for manufacturing and merchandising companies differ.
- Explain manufacturing activities and the flow of manufacturing costs.
- Describe trends in managerial accounting.
- Compute cycle time and cycle efficiency, and explain their importance to production management.
- Compute cost of goods sold for a manufacturer.
- Prepare a manufacturing statement and explain its purpose and links to financial statements.