Ray H. Garrison,
Brigham Young University Eric W. Noreen,
University of Washington Peter C. Brewer,
Wake Forest University Rania U. Mardini,
American University of Beirut
ISBN: 0027162757 Copyright year: 2015
What's New
Faculty feedback helps us continue to improve Managerial Accounting. In response to reviewer suggestions, the authors have made the following changes to the text:
All chapters have the NEW Foundational 15 end-of-chapter feature.
New In Business boxes have been added throughout to provide relevant and updated real-world examples for use in classroom discussion and to support student understanding of key concepts as they read through a chapter.
The end-of-chapter practice material has been updated throughout.
Several chapters (Chapters 2, 8, and 13) now better highlight the dynamic nature and power of Excel as a tool for managerial accounting.
Chapter 1
This chapter has a new section titled Managerial Accounting: Beyond the Numbers. It has expanded coverage of leadership skills and an expanded set of end-of-chapter exercises.
Chapter 2
The learning objective pertaining to direct and indirect costs has been moved to the front of the chapter to improve the students’ ability to understand the material. Appendix 2A has been overhauled to simplify the explanation of how to use Microsoft Excel to perform least-squares regression analysis.
Chapter 3
This chapter has added Appendix 3A: Activity-Based Absorption Costing; this material was formerly Appendix 7B in the previous edition of the book. Moving this material to Chapter 3 offers instructors greater flexibility when determining how to cover activity-based costing.
Chapter 4
Updated with a new In Business box.
Chapter 5
The assumptions of CVP analysis have been moved from the end of the chapter to the beginning of the chapter. The target profit analysis and break-even analysis learning objectives have been reversed.
Chapter 6
This chapter has added a new learning objective related to calculating companywide and segment break-even points for companies with traceable fixed costs. It has also added a new appendix related to super-variable costing.
Chapter 7
This chapter has added a new exhibit and accompanying text to better explain key concepts and terminology within the chapter.
Chapter 8
This chapter has been renamed, and we have added new text and an exhibit to help students better understand how and why a master budget is created and how Microsoft Excel can be used to create a financial planning model that answers “what-if” questions. Two new end-of-chapter exercises that enable students to use Microsoft Excel to answer “what-if” questions have also been added.
Chapter 9
Inserted the discussion of the variance analysis cycle and management by exception into the front of this chapter; this material was previously included in the standard costing chapter. In response to customer feedback, we reversed the headings in the flexible budget performance report. The actual results are shown in the far-left column and the planning budget is shown in the far-right column.
Chapter 10
In response to customer feedback, we reversed the headings in the general model for standard cost variance analysis. The actual results (AQ 3 AP) are shown in the far-left column and the flexible budget (SQ 3 SP) is shown in the far-right column.
Chapter 11
This chapter has a new Business Focus feature and two new In Business boxes.
Chapter 12
A section illustrating the meaning of a constraint has been added. Also, several new In Business boxes have been created.
Chapter 13
The learning objective pertaining to the payback period has been moved to the front of the chapter. A Microsoft Excel-based approach has been adopted for depicting net present value calculations. We have added a discussion of the behavioral implications of the simple rate of return method. Appendix 13C has been completely overhauled so that students can more easily grasp the impact of income taxes on net present value analysis.
Chapter 14
This chapter has been updated with new In Business boxes.
Chapter 15
This chapter’s learning objectives have all been redefined to emphasize an internal management perspective. Four new ratios have been added to the text to further enrich the students’ learning opportunities.
2015