Management Accounting- Meaning - Objectives and Scope- Relationship between Management accounting, Cost accounting and Financial accounting – Financial statement analysis - Common size statements, Comparative statements and Trend analysis.

Analysis of financial strength: Ratio analysis – Uses and limitations - Analysis of liquidity, solvency and profitability - Construction of balance sheet.

Analysis of financial behavior: Fund flow Statement - Balance sheet Vs Fund Flow Statement – Assessment of increase or decrease in working capital – Components of funds from operation – Preparation of fund flow statement. Cash flow statement: Cash flow in operating, financing and investment activities. Fund flow statement Vs Cash flow statement..

Marginal Costing and Break Even Analysis - Managerial Applications of marginal costing - Significance and limitations of marginal costing.

Budgeting and budgetary control: Definition – Importance - Budget manual – Budget committee - Essential, classification of budgets - Master budget – Preparation of cash budget, sales budget, purchase budgets, material budget, flexible budgets.-Standard costing- meaning, importance-variance analysis - (material & Labour variance only)