Reporting Techniques - In Support of Managerial Decision Making

This book is the fourteenth of fifteen books which introduces the basic principles of accounting. In this book you will learn about reporting techniques in support of managerial decision making. Topics such as, variable versus absorption costing, segment reporting, residual income, allocation of costs to service departments, and leveraging the power of a modern information systems.

Part 3: Reporting Techniques in Support of Managerial Decision Making

1. Variable Versus Absorption Costing
1.1 Absorption Costing
1.2 Variable Costing
1.3 Variable Costing in Action
1.4 A Double-Edge Sword
1.5 Avoiding a Downward Spiral
1.6 Confused?
1.7 An In-Depth Comparison of Variable Costing and Absorption Costing Income Statements
1.8 The Impact of Inventory Fluctuations

2. Segment Reporting
2.1 Internal Reporting of Segment Data
2.2 The Problem of Segment Income Measurement
2.3 Contribution Income Statement Format
2.4 External Reporting of Segment Data

3. Measures of Residual Income
3.1 Keeping Residual Income in Perspective

4. Concepts in Allocating Service Department Costs
4.1 The Direct Method of Allocating Service Department Cost
4.2 The Step Method of Allocating Service Department Cost
4.3 Multiple Steps and Simultaneous Allocations

5. Leveraging the Power of Modern Information Systems
5.1 Line Item VS. Object of Expenditure
5.2 Business Dashboard

Appendix

Larry M. Walther, Ph.D., CPA, CMA, is the Ernst & Young Professor and Head of the School of Accountancy at Utah State University. Dr. Walther has authored numerous accounting textbooks and articles, and has served as director and/or consultant to a number to a number of public and nonpublic companies. Dr. Walther obtained his Ph.D. in accounting from Oklahoma State University and has public accounting experience with Ernst & Young. He currently serves as the accounting accreditation committee of the AACSB and is past president for the federation of schools of accountancy.

Dr. Chris Skousen obtained his Ph.D. at Oklahoma State University. He earned MBA and BA degrees from Utah State University. Dr. Skousen gained public accounting auditing experience with KPMG in their Portland, Oregon office, and as an intern in their in Düsseldorf, Germany office, and at Squire & Co. Dr. Skousen has taught accounting at Utah State University, The University of Texas at Arlington, Oklahoma State University, and Brigham Young University-Idaho. He has published in Accounting Horizons, Behavior Research in Accounting, Accounting and the Public Interest, and other journals.