About the Book
Table of Contents:
Acknowledgments of Subject Matter Experts xi For the Instructor xiii
Session 1 (3 hours) 1
Course Introduction 1
Session 1 Overview 4
Section A, Topic 1: Financial Statements 16
Section A, Topic 2: Recognition, Measurement, Valuation, and Disclosure (Fair Value Standards and Measurement, Accounts and Notes Receivable, Inventory) 57
Session 1 Exercise 1: Inventory Valuation, LIFO to FIFO 105
Session 1 Exercise 1 Solution: Inventory Valuation, LIFO to FIFO 108
Section A, Topic 2: Recognition, Measurement, Valuation, and Disclosure (cont.): Investments, Intangibles, Short-Term Debt 109
Session 1 Exercise 2: Investments 157
Session 1 Exercise 2 Solution: Investments 160
Session 1 Wrap-Up 163
Session 2 (3 hours) 165
Session 2 Overview 166
Study Tips 167
Session 1 Recap 170
Section A, Topic 2 (cont.): Recognition, Measurement, Valuation, and Disclosure (Deferred Income Taxes, Leases, Equity Transactions, Revenue Recognition) 171
Section A, Topic 2 (cont.): Recognition, Measurement, Valuation, and Disclosure (Comprehensive Income, Discontinued Operations, Extraordinary Items, IFRS versus GAAP) 222
Section B: Planning, Budgeting, and Forecasting 241
Section B, Topic 1: Strategic Planning 242
Session 2 Wrap-Up 300
Session 3 (3 hours) 301
Session 2 Recap 302
Session 3 Overview 303
Section B: Planning, Budgeting, and Forecasting 304
Section B, Topic 2: Budgeting Concepts 305
Section B, Topic 5: Annual Profit Plan and Supporting Schedules 324
Session 3 Exercise: Preparing Operating Budgets and Pro Forma Income Statement 340
Session 3 Exercise Solution: Preparing Operating Budgets and Pro Forma Income Statement 342
Session 3 Wrap-Up 345
Session 4 (3 hours) 347
Session 3 Recap 348
Session 4 Overview 349
Section B, Topic 5: Annual Profit Plan and Supporting Schedules (continued) 350
Session 4 Exercise: Preparing a Cash Budget 361
Session 4 Exercise Solution: Preparing a Cash Budget 362
Section B, Topic 4: Budget Methodologies 365
Section B, Topic 6: Top-Level Planning and Analysis 371
Session 4 Wrap-Up 382
Session 5 (3 hours) 383
Session 4 Recap 384
Session 5 Overview 385
Section B, Topic 3: Forecasting Techniques 386
Session 5 Exercise: Preparing Pro Forma Financial Statements, Determining External Funding Needed, and Performing Sensitivity Analysis 404
Session 5 Exercise Solution: Preparing Pro Forma Financial Statements, Determining External Funding Needed, and Performing Sensitivity Analysis 406
Section B Practice Questions 411
Session 5 Wrap-Up 412
Session 6 (3 hours) 413
Session 5 Recap 414
Session 6 Overview 415
Section C: Performance Management 416
Section C, Topic 1: Cost and Variance Measures 417
Session 6 Exercise: Cost and Variance Measures 435
Session 6 Exercise Solution: Cost and Variance Measures 440
Session 6 Wrap-Up 443
Session 7 (3 hours) 445
Session 6 Recap 446
Session 7 Overview 447
Section C, Topic 2: Responsibility Centers and Reporting Segments 448
Section C, Topic 3: Performance Measures 461
Section C Practice Questions 483
Session 7 Wrap-Up 485
Session 8 (3 hours) 487
Session 7 Recap 488
Session 8 Overview 489
Section D: Cost Management 490
Section D, Topic 1: Measurement Concepts 491
Session 8 Exercise 1: Absorption versus Variable Costing 520
Session 8 Exercise 1 Solution: Absorption versus Variable Costing 521
Session 8 Exercise 2: Variable versus Absorption Costing 523
Session 8 Exercise 2 Solution: Variable versus Absorption Costing 528
Section D, Topic 2: Costing Systems 530
Session 8 Wrap-Up 538
Session 9 (3 hours) 539
Session 8 Recap 540
Session 9 Overview 541
Section D, Topic 2: Costing Systems, continued 542
Session 9 Exercise: Equivalent Units in Process Costing 563
Session 9 Exercise Solution: Equivalent Units in Process Costing 566
Session 9 Wrap-Up 568
Session 10 (3 hours) 569
Session 9 Recap 570
Session 10 Overview 571
Section D, Topic 3: Overhead Costs 572
Section D, Topic 4: Supply Chain Management 592
Section D, Topic 5: Business Process Improvement 614
Section D Practice Questions 635
Session 10 Wrap-Up 636
Session 11 (3 hours) 637
Session 10 Recap 638
Session 11 Overview 639
Section E: Internal Controls 640
Section E, Topic 1: Governance, Risk, and Compliance 641
Section E, Topic 2: Internal Auditing 679
Section E, Topic 3: Systems Controls and Security Measures 690
Section E Practice Questions 706
Session 11 Wrap-Up 708
Session 12 (3 hours) 709
Session 10 Recap 710
Session 12 Overview 711
CMA Exam Format 712
Test-Taking Tips and Strategies 713
Overview of Essay Questions 715
What to Expect at the Testing Center 728
Part 1 Course Wrap-Up 729
