I. FOCUS ON DECISION MAKING 1. Managerial Accounting, the Business Organization, and Professional Ethics   2. Introduction to Cost Behavior and Cost-Volume Relationships  3. Measurement of Cost Behavior   4. Cost Management Systems and Activity-Based Costing   5. Relevant Information for Decision Making with a Focus on Pricing Decisions   6. Relevant Information for Decision Making with a Focus on Operational Decisions    II. ACCOUNTING FOR PLANNING AND CONTROL 7. Introduction to Budgets and Preparing the Master Budget  8. Flexible Budgets and Variance Analysis   9. Management Control Systems and Responsibility Accounting   10. Management Control in Decentralized Organizations     III. CAPITAL BUDGETING 11. Capital Budgeting     IV. PRODUCT COSTING 12. Cost Allocation   13. Accounting for Overhead Costs  14.  Job-Costing and Process-Costing Systems     V. BASIC FINANCIAL ACCOUNTING 15. Basic Accounting: Concepts, Techniques, and Conventions   16. Understanding Corporate Annual Reports: Basic Financial Statements   17. Understanding and Analyzing Consolidated Financial Statements

This title is a Pearson Global Edition. The Editorial team at Pearson has worked closely with educators around the world to include content which is especially relevant to students outside the United States.   About the Book Understanding Why: Most managers would likely agree that understanding concepts is more important than memorizing techniques. This text focuses on why companies use various techniques, rather than have students blindly apply the concepts. Seeing the concepts in many areas of the field: All business sectors discussed. The concepts found in this text do not solely apply to large corporations, which is why nonprofit, retail, wholesale, service, selling, manufacturing, and administrative situations are addressed throughout. Presenting the basics up-front: The core concepts and principles are explained in the first few chapters and are then revisited, where applicable, at more complex levels throughout the remainder of the text. Covering the fundamental concepts in the first few chapters helps to equip students with a foundation that they can use to apply to the more challenging material. Taking out the guesswork: Real-world business examples are provided so that students don’t have to imagine how techniques will work in today’s businesses. These examples—which are drawn from actual companies that students know and trust such as Starbucks, Boeing, AT&T, McDonald’s, and Microsoft—are presented with relevant subject matter, clearly and accessibly, throughout the text. Tailoring the material to your course structure: Two different versions of the text 1.   Introduction to Management Accounting, 15e (Chapters 1–14), provides a concise treatment of management accounting topics suitable for a one-term course. 2.   Introduction to Management Accounting, 15e (Chapters 1–17), includes three financial accounting chapters in addition to the fourteen management accounting chapters. This version is especially suited for continuing education or MBA courses where students need to learn financial and management accounting in a one-term course. The financial accounting chapters also provide material for any student who may need a financial accounting review.   This package includes MyAccountingLab, an online homework, tutorial, and assessment program designed to work with this text to personalize learning and improve results. With a wide range of interactive, engaging, and assignable activities, students are encouraged to actively learn and retain tough course concepts. Real World Accounting Video Series. Connect course concepts to the real world. The Real World Accounting Videos feature real, emerging companies that demonstrate financial and managerial accounting concepts. Students can see how the course topics are applied in recent start-ups or companies that began small and are now a household name. These engaging videos help students further understand the course material and also demonstrate how Accounting will apply to their future careers. ·    New Question Types. MyAccountingLab offers the flexibility to assign problems through a variety of question types. That pool of types has now been enhanced to include Final Answer questions, Open Response questions, Algorithmic Testbank questions, and General Ledger questions. Learning Aids. Assist students when they need it most. MyAccountingLab's homework and practice questions are correlated to the textbook, regenerate algorithmically to give students unlimited opportunity for practice and mastery, and offer helpful feedback when students enter incorrect answers. Learning aids, such as Help Me Solve This, DemoDoc Examples, and concept videos provide

Key Features and Content New and revised “Business First” boxes provide insights into operations at well-known organizations, including Microsoft, General Electric, Southwest Airlines, Harley-Davidson, Nortel Networks, and Harvard University. New and revised chapter-opening vignettes help students understand accounting’s role in current business practice. We revisit the chapter-opening company throughout the chapter so that students can see how accounting influences managers in real companies. Students will recognize many of the companies, such as Starbucks, Boeing, US Airways, McDonald’s, Nike, and Dell. A problem in each chapter based on Nike’s Form 10-K. These problems illustrate how publicly available information can lead to insights about a company, its costs, and its management decisions. Increased coverage of ethics, including an ethics problem in each chapter’s assignment material. End-of-chapter material includes many new and significantly revised exercises and problems to provide fresh, new examples. Chapter-by-Chapter Changes: Chapter 1 emphasizes the importance of accounting information for decision makers and the role of accounting systems in control. The chapter continues to emphasize the importance of ethics in business, with a section devoted to “Ethical Conduct for Professional Accountants.” The authors shortened the discussion of entry-level careers in accounting and expanded the discussion of trends in management accounting. Chapter 2 is a major update in the 16th edition. The discussion of mixed-cost and step-cost behavior has been moved up to this chapter, immediately following the discussion of fixed- and variable-cost behavior. Also, degree of operating leverage is defined and illustrated with an example. Chapter 3 has been reorganized and provides a more focused discussion of cost behavior and cost estimation, as well as an enhanced examination of regression analysis. Chapter 4 uses Dell as the primary example throughout the chapter, and in this edition the authors discuss Dell's strategic decision to shift their product mix away from consumer sales and toward enterprise solutions and services. The authors describe how cost management systems at Dell support strategic decisions as well as operational control. The discussion of cost categories and cost terminology has been rewritten and refined. Chapter 5 features an enhanced focus on pricing, and a refined discussion of the accounting formats that aid in such decision making, namely the absorption versus contribution margin approaches. We compare and contrast these two approaches throughout the chapter. Chapter 6 has been edited to enhance operating decisions and the incremental analysis framework. The decision-making focus was further emphasized and related examples and problems were revised and updated. Chapter 7 emphasizes the importance of budgets for both planning and control. The second half of the chapter illustrates the details of preparing a budget using the Cooking Hut example used in previous editions. Chapter 8 has been reorganized to develop variance concepts in smaller steps. Basic variance concepts and terminology are introduced at the beginning of the chapter. The example introduced at the beginning of the chapter is first used to illustrate the static-budget variances for income. Then the static-budget variance is analyzed as the sum of activity-level and flexible budget variances. Then, income variances are analyzed as more detailed revenue and cost variances. Finally, flexible-budget variances are divided into price and quantity variances (for materials and labor) or spending and efficiency variances (for variable overhead).