CMA Part 1

Certified Management Accountant

Part 1

2. Budgeting Concepts

• Reasons of Budgeting
• Operations and Performance Goals
• Characteristics of successful budget process
• Standard cost
• Resource allocation

3. Forecasting Techniques

• Regression analysis
• Learning Curve analysis
• Expected Value
   

4. Budget Methodologies

• Annual business plans (master budgets)
• Activity based budgeting
• Project budgeting
• Zero-based budgeting
• Incremental budgeting
• Continuous (rolling) budgeting
• Other budgeting methodologies

5. Annual Profit Plan and Supporting Schedules
Operational budgets

• Financial Budgets
• Capital budgets

6. Top Level Planning and Analysis
Proforma financial statements

• Estimating funding (cashflow) needs
• Assessing Anticipated performance
• Performing what-if analysis

1.Measurement Concepts

• Fixed and Variable costs
• Actual, normal and standard costing
• Absorption and Variable costing
• Joint Products and By Products

2. Costing Systems

• Job Order Costing
• Process Costing
• Activity Based Costing
• Life Cycle Costing
• Other Budgeting methods:
• Operating costing
• Backflush costing

3. Overhead Costs

• Fixed and variable overhead expenses
• Plant wide versus departmental rate
• Activity based costing overhead allocation
• Determination of allocation base
• Allocation of service department costs

1.Cost and Variance Measures

• Comparison of actual to planned results
• Use of flexible budget to analyze performance
• Management by exception using variance analysis
• Use of standard cost systems
• Analysis of variation from standard cost expectation

2. Responsibility Centers and reporting segments

• Types of responsibility centers
• Transfer Pricing models
• Reporting of Organization segments

3. Performance Measures

• Product profitability analysis
• Business unit profitability analysis
• Customer profitability analysis
• Return on investment (ROI)
• Residual Income
• Investment base issues
• Effect of international operation
• Key performance indicators (KPIs)
• Critical success factors (CSFs)
• Balanced score card

1.Governance, Risk, and Compliance

• Internal control structure and management philosophy
• Internal control policies for safeguarding and assurance
• Internal controls breakdown and risk
• Testing methods for internal controls
• Controls deficiency remediation
• Corporate governance
• External audit requirements

2. System Controls and Security Measures

• General accounting systems controls
• Application and transaction controls
• Technology and backup controls
• Business continuity planning

3. Information Systems

• Accounting information systems
• Enterprise resource planning
• Enterprise performance management

4. Data Governance

• Data policies and procedures
• Data lifecycle and data management
• Controls against security breaches

5. Technology-enabled Finance Transformation

• System development lifecycle
• Process automation
• Innovative applications

6. Data Analytics

• Business intelligence
• Types of data analytics and data mining
• Data visualization

Practice Exam