Managerial Accounting Review

Transitioning from project phase to managerial accounting scope.
Grading spreadsheets is ongoing but slower than anticipated.
Grading timeline expected to complete by Wednesday with feedback provided for resubmissions.
Excel skills emphasized as crucial for professional development.

Spreadsheet results begin with a score of 50 points for fully correct submissions.
Comments provided for submissions scoring less than 50, indicating specific areas needing improvement. Resubmissions encouraged for learning.
Importance of mastering Excel re-emphasized with personal anecdotes about repercussions of lacking skills.

Two-page reflective paper to express personal insights gained from projects.
Focus on personal identity and experiences rather than just numerical outcomes (e.g., sales figures).
Examples: Discussing career aspirations or doubts sparked by projects.
Highlight the reflective nature of the paper rather than factual review.

Connect platform is available for accessing homework resources and materials.
Initial two-week free trial period available, after which the subscription fees apply.
Students encouraged to explore discounts or rental options for textbooks.

Homework due dates specified, with a firm deadline of February 3 for chapter one-related tasks.
Completion of prework for chapter two by Tuesday night recommended.
Overview of the homework structure with no extensions allowed for late submissions, noting result penalties.

Course will review Accounting 201 topics (cash flow and financial statement analysis) in the first four weeks.
Focus on understanding costs for informed decision-making emphasized as crucial for non-accounting majors.

Shift into managerial accounting, emphasizing internal cost analysis and decision-making.
Key concerns: Understand cost behavior and effective allocation of costs.
Real-life applications of accounting principles highlighted with references to popular media (e.g., Shark Tank).

Cost splitting examples using personal anecdotes about roommates and shared expenses (e.g., rent allocation).
Discussion on the various methods to allocate costs fairly among shared expenses.
Profitability analysis tied to class costs and revenue discussion, emphasizing transparency in financial operations.

Direct costs: materials and labor traceable to a product.
Indirect costs (overhead): costs not easily traced to products, like utilities.
Understanding the distinction between direct materials, labor, and indirect costs critical for financial analysis.

Product costs: total of all costs associated with production (materials, labor, overhead) until sold, which then becomes an expense.
Inventory classification into raw materials, WIP (work in process), and finished goods.
Differentiation between product costs and period costs (e.g., administrative expenses).

Variable Costs: Costs that change with the level of output (e.g., raw materials, labor hours).
- ( ext{Total Variable Cost} = ext{Variable Cost per Unit} imes ext{Units Produced}).
- Example: Increased production leads to higher material costs and labor hours.
Fixed Costs: Remain constant regardless of output level (e.g., salaries, rent).
- Example: Fixed costs are spread thinner over more units produced, reducing cost per unit.
Mixed Costs: Combination of fixed and variable costs (e.g., a salary plus commissions).

Personal fitness examples illustrating fixed vs. variable costs in gym memberships.
Discussion of how fixed costs can be leveraged based on customer activity and how it benefits overall profitability.

Opportunity cost defined as the cost of forgoing the next best alternative when making a decision.
Importance highlighted through personal narratives of career decisions and their long-term impacts on financial choices.

Questions encouraged to clarify assignments and concepts.
Reminders of assignment due dates, class structures moving forward, and the significance of understanding costs.