Accounting for Business Decision Making: Measurement and Operational Decisions

Accounting for Business Decision Making: Measurement and Operational Decisions

This course is part of Fundamentals of Accounting Specialization

Instructor: Gary Hecht, Ph.D.

What you'll learn

Identify the nature, purpose, and importance of different types of decision-useful accounting information.
Create, organize, and communicate cost information to best suit common operational decisions.
Use accounting information to manage products, control costs, and leverage other drivers of operational success.

Skills you'll gain

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Assessments

15 assignments

Taught in English

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This course is part of the Fundamentals of Accounting Specialization

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There are 5 modules in this course

Accounting information is the lifeblood of the organization as it facilitates and influences operational and strategic decisions intended to achieve organizational goals. Organizations benefit from three decision-oriented roles of accounting: measurement, control, and communication.

This course provides an introduction to accounting’s measurement role inside of an organization and how accountants communicate information that helps managers and employees make operational decisions. In particular, you will learn how cost information is created and organized to help managers and employees conduct profitability analyses, develop and choose products, make pricing decisions, and make common business decisions. Upon successful completion of this course, you will be able to: • Identify the nature, purpose, and importance of different types of decision-useful accounting information. • Create, organize, and communicate cost information to best suit common operational decisions. • Use accounting information to manage products, control costs, and leverage other drivers of operational success. If you enjoy this business course and are interested in an MBA, consider applying to the iMBA, a flexible, fully-accredited online MBA at an incredibly competitive price offered by the University of Illinois. For more information, please see the Resource page in this course and onlinemba.illinois.edu.

You will become familiar with the course, your classmates, and our learning environment. The orientation will also help you obtain the technical skills required for the course.

What's included

3 readings1 assignment1 discussion prompt

Any organization – no matter how large or small – is extremely complex. It is made up of processes, systems, products, and – perhaps most important – people. Why are people most important? Because they are the ones making decisions, guiding the firm towards success. Wondering what these decisions are and how they’re made? Join in on Module 1!

What's included

7 videos2 readings3 assignments

7 videosTotal 14 minutes

1-1.1. Overview of Business Decisions3 minutesPreview module
1-1.2. Application and Extension3 minutes
1-1.3. What We’ve Learned0 minutes
1-2.1. Overview of Managerial Accounting2 minutes
1-2.2. Decision-Making Roles of Managerial Accounting1 minute
1-2.3. Application and Extension1 minute
1-2.4. What We’ve Learned0 minutes

2 readingsTotal 30 minutes

Module 1 Overview10 minutes
Module 1 Readings20 minutes

3 assignmentsTotal 75 minutes

Module 1 Conceptual Quiz15 minutes
Lesson 1-1 Practice Quiz30 minutes
Lesson 1-2 Practice Quiz30 minutes

Every decision – no matter how big or small – comes down to trading off benefits versus costs. Sounds simple, right? Potential benefits are often easy to envision, and even fun to think about. Costs – a bit less fun – but isn’t it just the price you pay? Not quite. As you’ll see in Module 2, nothing is as simple as it seems!

What's included

9 videos2 readings3 assignments

9 videosTotal 40 minutes

2-1.1. Defining Costs2 minutesPreview module
2-1.2. Application and Extension2 minutes
2-1.3. What We’ve Learned0 minutes
2-2.1. Importance of Organizing Cost Information2 minutes
2-2.2. Organizing Costs by Product8 minutes
2-2.3. Further Refinements7 minutes
2-2.4. Organizing Costs by Behavior8 minutes
2-2.5. Application and Extension6 minutes
2-2.6. What We’ve Learned1 minute

2 readingsTotal 40 minutes

Module 2 Overview10 minutes
Module 2 Readings30 minutes

3 assignmentsTotal 90 minutes

Module 2 Conceptual Quiz30 minutes
Lesson 2-1 Practice Quiz30 minutes
Lesson 2-2 Practice Quiz30 minutes

Making decisions can be quite daunting. You need to be able to make predictions about the consequences of your actions so that you can make the best decision. Where do you start? Crystal balls are in short supply. So, how about the next best thing? Jump into Module 3 to learn about cost-volume-profit analysis!

What's included

8 videos2 readings4 assignments1 peer review

8 videosTotal 31 minutes

3-1.1. Measuring Profitability According to Cost Behavior4 minutesPreview module
3-1.2. Defining and Using Cost-Volume-Profit Analysis4 minutes
3-1.3. Application and Extension6 minutes
3-1.4. What We’ve Learned0 minutes
3-2.1. Interpreting CVP Analysis6 minutes
3-2.2. Limitations of CVP Analysis2 minutes
3-2.3. Application and Extension5 minutes
3-2.4. What We’ve Learned0 minutes

2 readingsTotal 50 minutes

Module 3 Overview10 minutes
Module 3 Readings40 minutes

4 assignmentsTotal 120 minutes

Module 3 Conceptual Quiz30 minutes
Module 3 Quantitative Analysis Quiz30 minutes
Lesson 3-1 Practice Quiz30 minutes
Lesson 3-2 Practice Quiz30 minutes

1 peer reviewTotal 60 minutes

Module 3 Peer Review Assignment 60 minutes

Owners, managers, and employees often run into two obstacles when making decisions: (1) not enough of the information they need, and (2) too much of the information they don’t need. Surprisingly, the second problem is often harder to overcome than the first, especially in today’s information-rich environment. How do accountants help managers solve this problem? Jump into Module 4 to find out!