You are previewing The Controller's Function: The Work of the Managerial Accountant, 4th Edition.
O'Reilly logo
The Controller's Function: The Work of the Managerial Accountant, 4th Edition

Book Description

The go-to resource managerial accountants can turn to for sustaining their company's competitive advantage

From flex budgeting to detailing the more sophisticated skills like throughput analysis for capital investments and the fast close for public companies, The Controller's Function, Fourth Edition offers numerous real-world examples, expertly balancing both the technical and managerial sides of the job.

  • Provides an overview of the functions and responsibilities of the controller/management accountant in a corporation

  • Explores how controllers can better perform their jobs

  • Offers a solid foundation for those who are new to this area

Comprehensive and practical, this book fully defines the role, functions and responsibilities of the managerial accountant in a corporation.

Table of Contents

  1. Cover
  2. Title Page
  3. Copyright
  4. Preface
  5. Chapter 1: The Controller's Job
    1. Main Job Functions
    2. Job Description
    3. Job Qualifications
    4. Organizational Structure of the Accounting Department
    5. Ethics
  6. Chapter 2: Internal Control
    1. Basic Elements
    2. Controls to Use in Your Business
    3. Elements of Internal Accounting Control
    4. Levels of Controls
    5. Fraud
    6. Auditing for Fraud
  7. Chapter 3: Planning and the Strategic Plan
    1. Strategic Plan Overview
    2. System of Plans
    3. Planning Cycle
    4. Planning Roles
    5. Planning Timing and the Planning Period
    6. Business Mission
    7. Developing Long-Range Objectives
    8. Developing Long-Range Strategies
  8. Chapter 4: Long-Range Financial Plan
    1. Layout and Purpose
    2. Trends of Revenues and Profits
    3. Capital Investments
    4. Cash Flows and Financing Requirements
    5. Risk Analysis
    6. Breakdown by Business Unit/Product Line/Geography
    7. Financial Position
  9. Chapter 5: Annual Plan
    1. System of Plans
    2. Additional Budget Modeling Topics
    3. Annual Planning Cycle
    4. Role of the Controller
    5. Sales Planning: The Base of All Business Plans
    6. Steps in Developing the Near-Term Sales Plan
    7. Methods for Determining the Sales Forecast
    8. Changes in the Sales Mixture
    9. Changes in the Sales Price
    10. Changes in the Cost
  10. Chapter 6: Sales
    1. Role of the Controller
    2. Sales Analysis
    3. Sales Standards
    4. Sales Reports
    5. Product Pricing
  11. Chapter 7: Distribution Expenses
    1. Role of the Sales Manager
    2. Analyzing Distribution Costs
    3. Analyzing by Application
    4. Setting the Distribution Budget
  12. Chapter 8: Direct Materials and Labor
    1. Objectives
    2. Role of the Controller
    3. Types of Cost Systems
    4. Measuring Direct Material Costs
    5. Controlling Direct Material Costs
    6. Controlling Direct Material Quantities
    7. Measuring Direct Labor Costs
    8. Controlling Direct Labor Costs
    9. Target Costing
  13. Chapter 9: Overhead
    1. Need for Overhead Controls
    2. Responsibilities of the Controller
    3. Account Classifications
    4. Fixed and Variable Costs
    5. Cost Allocation
    6. Controlling Overhead
    7. Production Reports
  14. Chapter 10: General and Administrative Expenses
    1. Functions Involved
    2. Accounting for and Allocating Administrative Expenses
    3. Responsibility Accounting
    4. “Unique” Expenses
    5. Controlling Costs
  15. Chapter 11: Cash and Investments
    1. Objectives of Cash Management
    2. Role of the Controller
    3. Cash Collections
    4. Cash Disbursements
    5. Investment of Short-Term Funds
    6. Accounting for Records of Investment
    7. Cash and Investment Controls
  16. Chapter 12: Receivables
    1. Functions of the Credit Department
    2. Shortening the Receivables Cycle
    3. Reserve for Doubtful Accounts
    4. Receivables Fraud and Control
  17. Chapter 13: Inventory
    1. Inventory Management Systems
    2. Inventory Tracking
    3. Physical Inventory Procedure
    4. Inventory Valuation
    5. Inventory Fraud and Controls
  18. Chapter 14: Property, Plant, and Equipment
    1. Role of the Controller
    2. Capital Budgeting
    3. Postproject Appraisals
    4. Other Aspects of Fixed Assets
  19. Chapter 15: Liabilities
    1. Objectives
    2. Controls
    3. Credit Agreement Provisions
    4. Debt Capacity
    5. Bond Ratings
    6. Leverage
  20. Chapter 16: Equity
    1. Role of the Controller
    2. Cost of Capital
    3. Dividend Policy
    4. Long-Term Equity Planning
    5. Repurchasing Common Shares
    6. Capital Stock Records
  21. Chapter 17: Operational Accounting
    1. Create Departmental Job Descriptions
    2. Create a Departmental Training Program
    3. Clear Out Excess Documentation
    4. Streamline the Accounting Workflow
    5. Document All Major Processes
    6. Schedule the Department
    7. Correct the Underlying Causes of Errors
    8. Use of Best Practices
    9. Outsourcing Selected Accounting Functions
  22. Chapter 18: The Fast Close
    1. Different Types of Fast Close
    2. How to Achieve a Fast Close
    3. Enhanced Closing Process
    4. Summary
  23. Chapter 19: SEC Filings
    1. Form 8-K
    2. Annual 10-K and Quarterly 10-Q Reports
    3. Timing of Annual and Quarterly Report Filings
    4. Form S-1
    5. Form S-3
    6. Form S-8
    7. Forms Requiring Payment to the SEC
    8. Fedwire Payments
  24. Chapter 20: Performance Measurements and Trends
    1. Performance Measurements
    2. Trends
    3. Interrelationship of Ratios
    4. Just-in-Time Ratios
  25. Chapter 21: Financial Analysis
    1. Analyzing Financial Statements
    2. Analyzing Working Capital
    3. Analyzing Financing Options
    4. Services Profitability Analysis
    5. The Throughput Analysis Model
    6. Production Outsourcing Decision
    7. New Product Decision
  26. Chapter 22: Cost Reduction
    1. Types of Reports Used for Cost Reduction Analysis
    2. Spend Analysis Overview
    3. Spend Database
    4. Supplier Consolidation Analysis
    5. Parts Consolidation Analysis
    6. Maintenance, Repair, and Operations Item Analysis
    7. Spend Compliance
    8. Spend Analysis Reports
    9. Workforce Reduction Analysis
    10. Workforce Reduction Issues
    11. Workforce Reduction Alternatives
    12. 5S Analysis
    13. Check Sheets
    14. Error Quantification
    15. Fixed Cost Analysis
    16. Ishikawa Diagrams
    17. Value Stream Mapping
    18. Waste Analysis
  27. Chapter 23: Taxes
    1. Tax Strategy
    2. Tax Organization
    3. Role of the Tax Manager
    4. Tax Records
    5. Tax versus Book Accounting
    6. Sales and Use Taxes
    7. Proper Classification of Accounts
  28. Chapter 24: Selecting a Financial Information System
    1. Reasons to Purchase Software
    2. Defining Systems Requirements
    3. Existing System Documentation
    4. Joint Sessions
    5. Preparing the Request for Proposal
    6. Distribution of the Request for Proposal
    7. Review of the Vendor's Completed Proposal
    8. Reference Calls
    9. Demonstration
    10. Site Visits
    11. Cost of the System
    12. Final Selection
    13. Contract Negotiations
    14. Postimplementation Review
  29. Appendix New Controller Checklist
  30. About the Author
    1. Free Online Resources by Steve Bragg
  31. Index