SYBMS Sem 3 Syllabus: Accounting for Managerial Decision


SYBMS Sem 3 Syllabus: Accounting for Managerial Decision

Accounting for Managerial Decision is a subject in SYBMS Sem 3 as per revised syllabus that came into effect from the academic year 2015-16. In Accounting for Managerial decision subject, you get a comprehensive understanding of accounting principles that are required to perform in an accounting environment. You get to learn about the various provisions of accounting that managers can use in order to make decisions within their organizations. The subject will have 60 lectures and have 3 credits.

Why study Accounting for Managerial Decision?

1) To acquaint management learners with basic accounting fundamentals

2) To develop financial analysis skills among learners

3) To explain the core concepts of business finance and its importance in managing a business

There are 4 main units in Accounting for Managerial Decision:

Unit 1 – Analysis and Interpretation of Financial statements – 15 lectures

Unit 2 – Ratio Analysis and Interpretation – 15 lectures

Unit 3 – Preparation of cash flow statement (Accounting Standard – 3 Revised) – 15 lectures

Unit 4 – Working Capital – 15 lectures

The following are the sub-topics in the main units:

Unit 1 – Analysis and Interpretation of Financial Statements

  1. Study of balance sheet of limited companies schedule VI-(New.).

Study of Manufacturing, Trading, Profit and Loss A/c of Limited Companies- Schedule VI (New)

  1. Vertical Form of Balance Sheet and Profit & Loss A/c-

Trend Analysis,

Comparative Statement & Common Size.


Unit 2 – Ratio analysis and Interpretation

(Based on vertical form of financial statements)

including conventional and functional classification restricted to:


  1. Balance sheet ratios:

Current ratio,

Liquid Ratio,

Stock Working capital ratio,

Proprietary ratio,

Debt Equity Ratio,

Capital Gearing Ratio.


  1. Revenue statement ratios:

Gross profit ratio,

Expenses ratio,

Operating ratio,

Net profit ratio,

Net Operating Profit Ratio,

Stock turnover Ratio,

Debtors Turnover,

Creditors Turnover Ratio


  1. Combined ratios:

Return on capital Employed (including Long term borrowings),

Return on Proprietors fund (Shareholder fund and Preference Capital),

Return on Equity Capital,

Dividend Payout Ratio,

Debt Service Ratio,


  1. Different modes of expressing ratios:-

Rate, Ratio, Percentage, Number.

Limitations of the use of Ratios.


Unit-3 Preparation of cash flow statement (Accounting Standard-3(revised)


Unit-4 Working capital


Estimation of requirements in case of Trading & Manufacturing Organizations.


Receivables management-

Meaning & Importance,

Credit Policy Variables,

Methods of Credit Evaluation (Traditional and Numerical-Credit Scoring);

Monitoring the Debtors Techniques [DSO, Ageing Schedule]




Reference Books

  1. Srivastava R M, Essentials of Business Finance, Himalaya Publications
  2. Anthony R N and Reece JS. Accounting Principles , Hoomwood Illinos , Richard D. Irvin
  3. Bhattacharya SK and Dearden J. – Accounting for Management. Text and Cases , New Delhi.
  1. Hingorani NL and ramanthan AR – Management Accounting , New Delhi
  2. Ravi M. Kishore , Advanced management Accounting , Taxmann , NewDelhi
  3. Maheshwari SN – Management and Cost Accounting , Sultan Chand , New Delhi
  4. Gupta , SP – Management Accounting , Sahitya Bhawan , Agra .



Like it? Share with your friends!

BMS Team

We, at, believe in sharing knowledge and giving quality information to our BMS students. We are here to provide and update you with every details required by you BMSites! If you want to join us, please mail to [email protected].


Facebook comments:

Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Voting to make decisions or determine opinions
Formatted Text with Embeds and Visuals
The Classic Internet Listicles
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Upload your own images to make custom memes
Youtube and Vimeo Embeds
Soundcloud or Mixcloud Embeds
Photo or GIF
GIF format