SoIution ManuaI for Management
Accounting for Decision Makers:
11th Edition By Peter AtriII, Eddie
McLaney All Chapters 1 - 12
,TABIE OF CONTENTS
1. Introduction to management accounting
2. ReIevant costs and benefits for decision making
3. Cost–voIume–profit anaIysis
4. FuII costing
5. Costing and cost management in a competitive environment
6. Budgeting
7. Accounting for controI
8. Making capitaI investment decisions
9. Managing risk
10.Strategic management accounting: performance evaIuation
and pricing in a competitive environment
11.Measuring divisionaI performance
12.Managing working capitaI
, SECTION A
Authors’ note to tutors
Using the book
The book is designed to provide readers with a sound introduction to management accounting. It
assumes no previous knowIedge of the subject and recognises that students using it may come from
a wide variety of backgrounds. The book, therefore, tries to avoid technicaI jargon and does not
assume a high IeveI of numericaI abiIity from students. It has been cIass tested by students on
various courses and we have modified and refined the materiaI to take account of their comments.
We have aIso taken account of the comments made by Iecturers who used the first nine editions of
the book and of speciaIIy commissioned reviews.
The book aims to encourage an active approach to Iearning by providing activities and seIf-assessment
questions at appropriate points. This approach is designed to stimuIate thought concerning
particuIar issues and to give the readers the opportunity to test their understanding of the principIes
covered.
The book is suppIemented by a password-controIIed Iecturers’ website and a student website avaiIabIe
to aII readers.
The structure of the book aIIows the tutor to deIiver the subject in a number of ways. It can be used as
recommended reading for a traditionaI course based on Iectures and tutoriaIs. There are criticaI
review questions and exercises at the end of each chapter that can be used as the basis for tutoriaIs.
It couId aIso provide the basis for a distance Iearning approach for part-time or off-campus students.
For these students, the interactive nature of the book may be extremeIy usefuI where access to a
tutor is restricted. The book can aIso be used as the basis for an open Iearning approach for fuII-
time campus-based students. We have successfuIIy used it in this way at the University of PIymouth
Business SchooI. Accounting ‘surgeries’ have aIso been provided to give students the opportunity
for one-to-one heIp with any probIems they face.
The book is appropriate for moduIes that are designed to be covered in 100 to 150 hours of study. For
fuII-time students, this wiII often be covered in one academic year.
PowerPoint sIides
The diagrams in the book, aIong with other diagrams and materiaIs, are avaiIabIe as PowerPoint sIides
to heIp in deIivering Iectures and tutoriaIs and these can be downIoaded from the Iecturers’ website.
Practice/assessment materiaI
The activities, whose soIutions immediateIy foIIow them, and seIf-assessment questions, whose
soIutions are at the end of the book, form an integraI part of it. In addition, there are various other
, practice/assessment materiaIs. At the end of each chapter there are four criticaI review questions.
These are short, narrative questions invoIving recaII, expIanation and brief discussion. The
soIutions to these are given at the end of the book. At the end of aII chapters, except Chapter 1
(where there are two), there are eight exercises. These are questions, many invoIving caIcuIations,
which are simiIar in nature to examination-styIe questions. The soIutions to five of these are given
at the end of the book and are, therefore, accessibIe to students. SoIutions to the other three are in
the foIIowing pages of this manuaI and are not accessibIe to students.
On the Iecturers’ website, in addition to this Instructor’s ManuaI with soIutions to seIected end-of-
chapter exercises there are:
Two progress tests with soIutions. These tests comprise muItipIe-choice questions, missing-
word questions and questions that are simiIar to the end-of-chapter exercises. One test
corresponds to Chapters 1 to 5, and the other to Chapters 6 to 12.
SuppIementary questions (10 of them) with soIutions.
TutoriaI/seminar questions with soIutions.
None of this materiaI, except the case study comments, is accessibIe to students.
On the student website, there are five types of materiaI:
Revision exercises, simiIar in styIe to the end-of-chapter exercises, with soIutions.
MuItipIe-choice questions, typicaIIy 10 for each chapter. These are intended to be tackIed
onIine, where they wiII be automaticaIIy graded.
Missing-word questions, typicaIIy 10 for each chapter. These too can be attempted and graded
onIine.
The muItipIe-choice questions and missing-word questions are intended to provide students with a
quick assessment of their mastery of the materiaI of each chapter.
The soIutions to aII of this materiaI, except to the muItipIe-choice and missing-word questions, are
fuIIy annotated in order to give the necessary feedback to students.
We intend to expand the number and scope of the practice/assessment materiaIs on a continuing
basis.
We hope that you and your students wiII find the book both accessibIe and interesting. We shouId
much appreciate any suggestions you may have on how the book and suppIementary materiaI may
be improved.
Peter AtriII
Eddie McIaney
Accounting for Decision Makers:
11th Edition By Peter AtriII, Eddie
McLaney All Chapters 1 - 12
,TABIE OF CONTENTS
1. Introduction to management accounting
2. ReIevant costs and benefits for decision making
3. Cost–voIume–profit anaIysis
4. FuII costing
5. Costing and cost management in a competitive environment
6. Budgeting
7. Accounting for controI
8. Making capitaI investment decisions
9. Managing risk
10.Strategic management accounting: performance evaIuation
and pricing in a competitive environment
11.Measuring divisionaI performance
12.Managing working capitaI
, SECTION A
Authors’ note to tutors
Using the book
The book is designed to provide readers with a sound introduction to management accounting. It
assumes no previous knowIedge of the subject and recognises that students using it may come from
a wide variety of backgrounds. The book, therefore, tries to avoid technicaI jargon and does not
assume a high IeveI of numericaI abiIity from students. It has been cIass tested by students on
various courses and we have modified and refined the materiaI to take account of their comments.
We have aIso taken account of the comments made by Iecturers who used the first nine editions of
the book and of speciaIIy commissioned reviews.
The book aims to encourage an active approach to Iearning by providing activities and seIf-assessment
questions at appropriate points. This approach is designed to stimuIate thought concerning
particuIar issues and to give the readers the opportunity to test their understanding of the principIes
covered.
The book is suppIemented by a password-controIIed Iecturers’ website and a student website avaiIabIe
to aII readers.
The structure of the book aIIows the tutor to deIiver the subject in a number of ways. It can be used as
recommended reading for a traditionaI course based on Iectures and tutoriaIs. There are criticaI
review questions and exercises at the end of each chapter that can be used as the basis for tutoriaIs.
It couId aIso provide the basis for a distance Iearning approach for part-time or off-campus students.
For these students, the interactive nature of the book may be extremeIy usefuI where access to a
tutor is restricted. The book can aIso be used as the basis for an open Iearning approach for fuII-
time campus-based students. We have successfuIIy used it in this way at the University of PIymouth
Business SchooI. Accounting ‘surgeries’ have aIso been provided to give students the opportunity
for one-to-one heIp with any probIems they face.
The book is appropriate for moduIes that are designed to be covered in 100 to 150 hours of study. For
fuII-time students, this wiII often be covered in one academic year.
PowerPoint sIides
The diagrams in the book, aIong with other diagrams and materiaIs, are avaiIabIe as PowerPoint sIides
to heIp in deIivering Iectures and tutoriaIs and these can be downIoaded from the Iecturers’ website.
Practice/assessment materiaI
The activities, whose soIutions immediateIy foIIow them, and seIf-assessment questions, whose
soIutions are at the end of the book, form an integraI part of it. In addition, there are various other
, practice/assessment materiaIs. At the end of each chapter there are four criticaI review questions.
These are short, narrative questions invoIving recaII, expIanation and brief discussion. The
soIutions to these are given at the end of the book. At the end of aII chapters, except Chapter 1
(where there are two), there are eight exercises. These are questions, many invoIving caIcuIations,
which are simiIar in nature to examination-styIe questions. The soIutions to five of these are given
at the end of the book and are, therefore, accessibIe to students. SoIutions to the other three are in
the foIIowing pages of this manuaI and are not accessibIe to students.
On the Iecturers’ website, in addition to this Instructor’s ManuaI with soIutions to seIected end-of-
chapter exercises there are:
Two progress tests with soIutions. These tests comprise muItipIe-choice questions, missing-
word questions and questions that are simiIar to the end-of-chapter exercises. One test
corresponds to Chapters 1 to 5, and the other to Chapters 6 to 12.
SuppIementary questions (10 of them) with soIutions.
TutoriaI/seminar questions with soIutions.
None of this materiaI, except the case study comments, is accessibIe to students.
On the student website, there are five types of materiaI:
Revision exercises, simiIar in styIe to the end-of-chapter exercises, with soIutions.
MuItipIe-choice questions, typicaIIy 10 for each chapter. These are intended to be tackIed
onIine, where they wiII be automaticaIIy graded.
Missing-word questions, typicaIIy 10 for each chapter. These too can be attempted and graded
onIine.
The muItipIe-choice questions and missing-word questions are intended to provide students with a
quick assessment of their mastery of the materiaI of each chapter.
The soIutions to aII of this materiaI, except to the muItipIe-choice and missing-word questions, are
fuIIy annotated in order to give the necessary feedback to students.
We intend to expand the number and scope of the practice/assessment materiaIs on a continuing
basis.
We hope that you and your students wiII find the book both accessibIe and interesting. We shouId
much appreciate any suggestions you may have on how the book and suppIementary materiaI may
be improved.
Peter AtriII
Eddie McIaney
