Fall, 2004

1
??????????

• Fall, 2004
• ???

2

• ?????
• 2001 Present????????
• 2000 2001????
• 1995 2000 ?????????
• 1993 1994 The George Washington University
  MBA , Finance and Investment
• 1987 1991 ???????

3
????
Week Date Subject Chapter Remark
1 09?18? Introduction (chapter 1 and closing process) 1
2 09?25? Cost accounting overview (I) 2,3,4,5,6
3 10?02? Budget and Performance Valuation (I) 9, 10, 11,12
4 10?09? Budget and Performance Valuation (II) 9, 10, 11,12
5 10?16? Budget and Performance Valuation (III) 9, 10, 11,12
6 10?23? Capital Spending and Fixed Assets Management (I) 16, 17
7 11?06? Capital Spending and Fixed Assets Management (II) 16, 17
8 11?13? Mid-term
9 11?20? FX, functional cur (hedge, mark to market, translation)
10 11?27? Transfer price and profit elimination, Royalty 13
11 12?04? Tax impact ( ITC, Tax Holiday, Deferred Tax, Surtax), Tax strategy
12 12?11? Netting system, inter-company reconciliation
13 12?18? General Ledger System and Reporting, policy/procedure
14 12?25? ERP concept
15 01?08? Review (Closing process again), period report
16 01?15? Final
4
????

• ????
• ????????????
• ????????????????
• ????
• ???? 30 ???????
• ???? 30
• ???? 40

5
Introduction

• What is management accounting?
• Confirm, Measure, Analyze, Explain, and
  Communicate.
• Managerial Accounting, Cost Accounting and
  Financial Accounting
• Role of Accountant
• Key competence
• Professional knowledge
• Reactive to environment
• Customer focus
• Detail oriented
• Process improvement
• Presentation and communication skill
• Ethics (Confidential, Integrity, Objectives)

6
Introduction
??
????
-
-
????
-
????/??

????
????

-
??
-
??????????????
????


????
????
7
Introduction
????
??
????
????
????
????
??


????
????

????/????
???
??

??
????


???/????
???
8
Introduction
??

• Sales revenue, volume, ASP
• Product Mix
• Sales credit
• FX
• AR, DSO
• Reconciliation with shipping

9
Introduction
??
-
????

• Manufacturing performance
• Product Mix
• Variable cost driver
• Unit consumption rate
• Spending accrual
• FX

10
Introduction
??
-
????
-
????

• Spending detail review
• Abnormal case
• Depreciation
• Spending accrual

11
Introduction
??
-
????
-
????

• Cost method actual vs. standard
• Cost of goods sold
• Manufacturing cost credit
• Inventory movement reconciliation
• FX
• Variance analysis
• Variance integration
• Inventory reserve OBS, Slow moving, etc.

??
12
Introduction
??
-
????
-
????

??

• Margin analysis

13
Introduction
??
-
????
-

• Sample cost
• Spending detail review
• Spending accrual
• Bad debt reserve

????

??
-
????

????
14
Introduction
????
-
????/??

• Other income/expense
• Royalty, GSA
• FX
• Interest
• Capitalized interest

15
Introduction
????
-
????/??

• ITC
• Tax holiday
• W/H Tax for undistributed earning
• Defer Tax Asset/Liability adjustment

????
-
??????????????

????
16
Introduction
??
????
-
-
????
-
????/??

????
????

-
??
-
??????????????
????


????
????
17
Introduction
????

• Reconciliation
• Revaluation
• DSO analysis

????
????

• Reconciliation
• Revaluation
• Payment term

??

• Reconciliation
• Inventory movement
• Inventory reserve

18
Introduction
????

• Reconciliation
• Capital spending analysis
• Fixed Asset movement

????
????
??

????

• Bank account Reconciliation
• Revaluation

???

??

???
19
Introduction
??

• Reconciliation
• Calculate interest
• Revaluation

????
????

????
????/????

• Result transfer

??
????

???/????
20
Introduction
????
??
????
????
????
????
??


????
????

????/????
???
??

??
????


???/????
???
21
Cost Accounting Overview

• Cost types
• Fixed vs. Variable
• Direct vs. Indirect
• Controllable vs. Uncontrollable
• Manufacturing cost
• Inventoriable cost
• Cost Flow
• Period cost, expense
• WIP, Inventory
• Cost of good sold

22
Cost Accounting Overview

• Job-order costing
• Cost accumulated by job order
• Products are different by order
• Actual Cost
• Process costing
• Cost accumulated by process
• Products are identical
• Actual vs. Standard
• Activity-Based Costing

23
????

• ????????
• ???????????????????????
• ??????????????
• ?????????
• ???????
• Forecast??????
• Five Year Plan??????
• ??????????????????????

24
?????????????

• My experience .........
• ???????
• ????????Timeline, expense rate, FX rate, etc.
• ??????????????
• ??????????????
• Standard review and approval process
• ??????????????????
• ??????????Button line result??????RONA
• ???????
• Comprehensive review and approval process
• ??????????????????
• ?????????????Business case presentation,??????????
  ???????,???????????Button line result?????????
• ????????????

25
??????Overview
Sales Plan
Production Plan
Capital Plan
Headcount

• ??
• ??
• ???
• ??

• ????
• ????
• ??
• ??uptime
• ??????

• ??
• ??
• ?????
• ????

• ????
• ??????
• ?????
• ????
• ????

26
??????Overview
????
Key Drivers
????
???????????
????
???????????
????
?????????
????
?????????uptime?????
????
?????????uptime?????
27
??????Overview
????
Key Drivers
????
??????????????
????
????
????
???????????
28
??????Overview
??
????
-
-
????
????/??
-
?????????
????

????/?????

??
-
????
-
????
??????????????


????
????
29
??????Overview
????
??
????
DSO
????
Funding Strategy
????
Payment Term
????
Funding Strategy
??
DOS


????
????

????/????
???
Funding Strategy Legal requirement
??

??
????
Funding Strategy


???/????
???
30
??????Sales Plan
31
??????Sales Plan
32
??????Production Plan
33
??????Capital Plan
34
??????Headcount
35
??????Gross Margin
36
??????Cash Flow
37
??????Debt/Equity
38
????- Overview
39
????- Overview

• ????
• ??????Cost driver?????????????
• ????
• ???????????????

40
????- Overview
???? X ??
-
??????

??
???
?????
41
????- RONA
Sales
IFO
Cost of Sales
SA
NPAT
Minus
OI/OE
OI/OE Tax
Profitability
Divided by
Tax
RONA
Divided by
NPAT
Sales
Assets Turnover
Divided by
Fixed Assets
Fixed Assets
A/R
Net Assets
Plus
Inventory
Working Capital
A/P
42
????- Cash Flow
Sales
NPAT
Cost of Sales
SA
Plus
OI/OE
Depreciation
Tax
Cash Flow
NPAT
Minus
Capital Spending
Fixed Assets
A/R
Minus
Inventory
Change Working Capital
A/P