Javid Iqbal

Assistant Professor

Department of Management Sciences

COMSATS Institute of Information Technology, Islamabad

Education• M.Sc in Accounting (Pass with Distinctions, August 2007-June 2009)

Graduate School, School of Business, Economics and Law,

Gothenburg University, Sweden

 • Master of Business Administration in Finance (2004-2006)

Department of Business Administration

University of Sargodha, Pakistan

 • Master of Commerce in Accounting (2001-2003)

Hailey College of Commerce

University of the Punjab, Pakistan

• Bachelor of Commerce (1999-2001)

Hailey College of Commerce

University of the Punjab, Pakistan

DISTINCTIONS & AWARDS

• Rotary International Student House (RISH) has selected one of the top five international students from Gothenburg University, Sweden.

• Awarded distinction on master project (Thesis) presented to fulfill the requirement of Master of Science in Accounting degree.

• Awarded cash prize and certificate on project of European financial crises

EXPERIENCE

• Assistant Professor– COMSATS Institute of Information Technology, Islamabad – (2009 to till date)

• Research Fellowship– School of Business, Economics and Law, Gothenburg University,

Sweden – 2009

• Lecturer– University of Education, Lahore, Pakistan – 2006 to 2007

• Lecturer– Hi-Aims College of Commerce, Jauharabad – 2004 to 2005

RESEARCH INTERESTS

• Financial Disclosure,

• Financial Regulations,

• Financial Statements Analysis,• • Accounting Practices,

• Management Accounting

End of Profile

MGT 431

Managerial Accounting

Managerial AccountingMGT 431

Basic Course Outline

Basis of Managerial Accounting

• Managerial accounting is concerned with the use of accounting information to managers within organizations to make business decisions for better management control functions on the resources of the organizations.

Introduction to Multinational Corporations (MNC)

• Types of Businesses• Types of Business Organizations• Define MNCs• Goals of MNCs• Published financial statements• Theories of International Business• International Business Methods

Changing the Roles of Managerial Accounting in Dynamic Business Environment

• Managerial Accounting and its role in management process

• Objectives of Managerial Accounting• Managerial Accounting vs Financial Accounting• Organziational chart• Major Themes in Managerial Accounting• Concepts of Strategic cots managment and value

chain

Basic Cost Managment Concepts

• Distinguish between cost, product cost, period cost and expenses

• Types of manufacturing cost• Cost of goods sold, and income statment for manufacturer• Behavior of variable and fixed costs, in total and per-unit

basis• Direct, indirect, controllable and uncontrollable costs• Opportunity cost, an out-of-pocket, sunk cost, defferential

cost, marginal cost and average cost• Practice Questions

Product costing and cost accumulation

• Product and service costing in manufacturing and non manufacturing firms

• Distinguish between job order and process costing• Predetermined overhead rate • Enteries of record costs of direct material, direct

labor and FOH• Two stage process used to compute departmental

overheads• Practice Questions

Process Costing and Hybird Product Costing systems

• Similarities and differences between process costing and Job order costing

• Journal entries to record the process costing in sequential manner

• Equivalent units uner weighted average process costing

• Cost per equivalent units• Departmental production report• Practice Questions

Activity Based Costing

• Product costs under a traditional, volume based costing system

• How an activity based costing system operates• Two stage procedure for cost assignment and

selection of cost drivers• Product cost under activity based costing• Three criteria for selecting cost drivers• Activity based costing in service industry• Practice Questions

Cost volume Profit analysis

• Break Even point using contribution margin and equation approach

• CM ratio and break even in sales• CVP analysis to determine effect on profit change

in fixed, variable, sales price and sales volume• Assumptions of CVP analysis• Role of Cost Structure and operating leverage in

CVP relationships• Practice Questions

Budgeting

• Capital Expenditures budget• Research and Development Budgets• Cash Budgets• Budgeted Balance sheet• Zero-based Budgets• Pert

By-Product and Joint Product Costing

• Difficulties in costing By-Products and joint products

• By-Products and joint products defined• Nature of By-Products • Nature of joint products• Methods of Costing By-Products• Methods of joint products• Practice Questions

Variance analysis

• FOH over applied• FOH under Applied• Idle capacity Variance• Spending Variance• Practice Questions

Recommended BookCore texts:• Managerial Accounting; Creating Value in a Dynamic Business

Environment. Latest edition; Ronald W.Hilton • Managerial Accounting 14th edition; Ray Garrison• Cost Accounting: 9th Edition Matz Usry

Online library• • http://www.questia.com/Index.jsp • http://www.managementhelp.org/ • http://www.businessbookmall.com • http://search.bnet.com

Introduction to Managerial Accounting and Cost

Concepts

Chapter

1

Types of Businesses• Manufacturing • Merchandizing• Services business.

ProductToyota Motors Cars, vansIntel Computer chipsNishat TextileNike Athletic shoesCoca-Cola BeveragesSony Stereos and television

Types of BusinessesManufacturing Business

Metro Cash & Carry General merchandiseD.Watson MedicineUnited Mobiles Mobile PhonesAmazon.com Internet books, music,

Types of BusinessesMerchandizing Business

Product

PIA TransportationMarriott Hotels Hospitality and lodgingHBL Financial ServicesPTCL Telecommunication

PIA TransportationMarriott Hotels Hospitality and lodgingHBL Financial ServicesPTCL Telecommunication

Types of Businesses

Product

Services Business

There are three types of business organizations

Proprietorship Partnership Corporation

A proprietorship is owned by one

individual.

Advantages• Ease in organizing• Low cost of organizing

Disadvantage• Limited source of

financial resources• Unlimited liability

A partnership is owned by two or more individuals.

Advantages• More financial resources than a proprietorship.• Additional management skills.

Disadvantage• Unlimited liability.

A corporation is organized under state or federal statutes as a separate legal entity.

Advantage• The ability to obtain large amounts of

resources by issuing stocks.• Limited liability

Disadvantage• Double taxation.• Difficult process to establish

Formation of Corporations

• Promotion Stage• Incorporation Stage• Raising of Capital Stage• Commencement of Business Stage

What is MNC

• A multinational corporation (MNC) or enterprise (MNE), is a corporation or an enterprise that manages production or delivers services in more than one country. It can also be referred to as an international corporation.

• an MNC as a corporation that has its management headquarters in one country, known as the home country, and operates in several other countries, known as host countries.

Goals of MNC

• Commonly accepted goals of an MNC is to maximize shareholders wealth.

• “ most common form of ownership of US. Based MNCs, and it enables financial managers throughout the MNC to have single goal of maximizing the value of the entire MNC instead of maximizing the value of any particular foreign subsidiary.”

Constraints interfering with the MNC’s Goal

• Environmental Constraints– Building Codes, Disposal of production waste materials and

pollution control• Regulatory Constraints– Taxes, currency convertibility, earnings remittance, employee

rights, and other policies that affect cash flows of a subsidiary established there

• Ethical Constraints– There is not consensus on standard of business conduct that

applies to all countries. A business practice is perceived to be unethical in one country may be totally ethical in another.

Managing within the constraints

• Using the world wide code whatever the cost companies have to bear just to enhance their credibility in the markets.

Overview of Lecture 01

• Course Outline• Types of Businesses• Types of Business Organizations• Formation of Corporations• What is MNC and Goals of MNC• Constraints interfering with the MNC’s Goal• Managing within the constraints

• End of Lecture 01