Diploma in Management Accounting

Purpose

The purpose of this qualification is for the learner to analyse and manage Management Accounting and Financial Accounting information in order to provide independent accounting services, to supervise an accounting department, to manage and control inventory and to act as an Accounting Officer in commerce and industry.

The qualification has been developed to enrich learners with an extensive knowledge in the fields of accounting with a specialisation in Management Accounting. There is a focus on the soft skills to provide learners with a competitive advantage. Existing themes on costing, cost management and risk management will be strengthened. Another significant addition is the inclusion of general education modules that provides skills necessary for the workplace. The delivery and assessment of the qualification are in line with the developments in the use of technology in education and industry.

Rationale

High unemployment rates in South Africa is of great concern. The Occupations in High Demand (OIHD) list has consistently identified Cost and Management Accounting careers as being in high demand in business and industry. The qualification aims at equipping learners with the necessary skills and knowledge base to create employment as well as specialise in a field of choice.

This qualification is the starting point for the development of a career in Management Accounting. Typical jobs in the field of management accounting are Management Accountant, Cost and Management Accountant, Accountant, Cost Accountant, Financial Manager, Manager, Budget Analyst, Financial Analyst and Chief Financial Officer. The qualification also provides a focus on entrepreneurial development, and allows learners to contribute to filling employment needs of South Africa through entrepreneurial initiatives.

Qualifying learners with two years' experience in a manufacturing environment may be employed as a junior costing clerk. The qualification is consistent with similar offerings at other Universities of Technology within the country. The qualification has been curriculated in a manner that reflects the latest work place needs of industry. Industry experts, academic practitioners both internal and external as well and members of the departments advisory boards contributed towards the content and objectives of the qualification.

This qualification replaces the existing non HEQSF aligned National Diploma in Cost and Management Accounting. The qualification incorporates the latest developments researched by the Certified Institute of Management Accountants (CIMA).

Recognition of Prior Learning (RPL)

Recognition of Prior Learning as detailed in the University policy document.

Entry Requirements

The minimum entry requirement for this qualification is

• National Senior Certificate, NQF Level 4, granting access to Diploma studies.

Or

• Senior Certificate without endorsement.

Or

• National Certificate Vocational, NQF Level 4, granting access to Diploma studies.

This qualification consists of compulsory modules at National Qualifications Framework Levels 5, 6, and 7 totalling 384 Credits.

Compulsory Modules: Level 5, 152 Credits

• Cornerstone 101, 12 Credits.
• Business Information Systems, 8 Credits.
• Business Fundamentals 1, 12 Credits.
• Principles of Micro-Economics, 12 Credits.
• Principles of Macro-Economics, 12 Credits.
• Quantitative Techniques, 12 Credits.
• Financial Accounting 1 Module 1, 12 Credits.
• Financial Accounting 1 Module 2, 12 Credits.
• Cost and Management Accounting 2 Module 1, 12 Credits.
• Cost and Management Accounting 2 Module 2, 12 Credits.
• Commercial Law for Accountants 1, 12 Credits.
• The Global Environment, 8 Credits.
• KwaZulu-Natal's (KZN's) Maritime Heritage, 8 Credits.
• Community Engagement, 8 Credits.

Compulsory Modules: Level 6, 148 Credits

• Business Fundamentals 2, 12 Credits.
• Financial Accounting 2 Module 1, 12 Credits.
• Financial Accounting 2 Module 2, 12 Credits.
• Cost and Management Accounting 2 Module 1, 12 Credits.
• Cost and Management Accounting 2 Module 2, 12 Credits.
• Taxation 1, 12 Credits.
• Commercial Law for Accountants 2 Module 1, 8 Credits.
• Commercial Law for Accountants 2 Module 2, 8 Credits.
• Auditing 2 Module 1, 12 Credits.
• Auditing 2 Module 2, 12 Credits.
• Entrepreneurial Spirit, 12 Credits.
• Quantitative Techniques Module 2, 8 Credits.
• Organisational Management 3 Module 1, 8 Credits.
• Organisational Management 3 Module 2, 8 Credits.

Compulsory Modules: Level 7, 84 Credits

• Financial Accounting 3 Module 1, 12 Credits.
• Financial Accounting 3 Module 2, 12 Credits.
• Management Accounting 3 Module 1, 12 Credits.
• Management Accounting 3 Module 2, 12 Credits.
• Taxation 2 Module 1, 12 Credits.
• Taxation 2 Module 2, 12 Credits.
• Corporate Procedures, 12 Credits.

1. Prepare and interpret financial statements of companies and groups of companies in accordance with Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS) including the valuation of interests represented by these statements.
2. Determine and apply various techniques whereby timeous and accurate information can be made available for decision making and control.
3. Determine the tax liability of individuals, assist with the tax liability of other legal entities and prepare submissions to South African Revenue Service (SARS).
4. Demonstrate and understanding of the economic environment within which the South African Commercial organisations apply their trade and Develop an Administration system together with the business plan for a small retail business.
5. Demonstrate an understanding an application of the various costing techniques used in business environment.
6. Demonstrate the application of the following knowledge and skills of General principles of law and Corporate procedures.
7. Record the accounting implications of changes within a company structure and investments.
8. Demonstrate an understanding of professional standards and ethics within the accounting environment.
9. Demonstrate the ability to work effectively in a team, group, community and accurately identify and address his/her task-specific learning needs, awareness of professional bodies and industry.

Associated Assessment Criteria for Exit Level Outcome 1

• Prepare financial statements for companies disclosing all the information required by IFRS.
• Prepare consolidate financial statements for a groups.
• Illustrate disclosure requirements in respect of changes in accounting policy, leases, installment sales and earnings per share.
• Determine the value of the business interest by way of at least 3 valuation methods.
• Prepare the accounting entries and draft the balance sheet reflecting the effect of liquidations, amalgamations and reconstructions.
• Record investment transactions and clearly distinguishing capital from income.

Associated Assessment Criteria for Exit Level Outcome 2

• Demonstrate ability to select, analyse, evaluate and interpret financial statements as diligently applied to financial accounting, management accounting, auditing and taxation.
• Identify the requirements for external audit and the basic processes undertaken.

Associated Assessment Criteria for Exit Level Outcome 3

• Identify taxable income and tax-deductible expenses.
• Prepare annual tax returns for individuals and other bodies.
• Prepare provisional tax returns.
• Explain the tax liability of the employer.

Associated Assessment Criteria for Exit Level Outcome 4

• Explain the interaction between supply and demand to ensure that the learner will understand the basic principles of a market economy.
• Discuss forms of markets.
• Discuss monetary and Fiscal policy.
• Practical economic scenarios, covering national and international situations,
• Explain international trade and finance.

Associated Assessment Criteria for Exit Level Outcome 5

• Explain raw material Accounting and control procedure.
• Explain, calculate and reorder quantity, reorder level, maximum stock, minimum stock and economic order quantity.
• Discuss Fist In, First Out, Last In, First Out and weighted average stock valuation methods.
• Discuss factory incentive schemes for individuals and groups.
• Apply and discuss absorption costing.
• Prepare cost statements for allocation and apportionment of overheads including reciprocal service departments.
• Compare and contrast absorption and marginal costing.
• Apply budgets needed for planning of future activities within a company structure.
• Calculate and explain variances from a set standard in a budget.
• Discuss and apply quantitative techniques for management decisions.

Associated Assessment Criteria for Exit Level Outcome 6

• Explore understanding of the sources of law.
• Explain and interpret the essential elements of a business contract and situations where the law requires the contract to be in a particular form.
• Distinguish between employees and independent contractors, and explain the importance of this distinction.
• Demonstrate the essential characteristics of the different types of business organisations.
• Explore the use and procedure of board meetings and general meetings of shareholders.

Associated Assessment Criteria for Exit Level Outcome 7

• Prepare accounting entries and balance sheets reflecting the effect of liquidations, amalgamations and reconstructions.
• Record investment transactions correctly.
• Demonstrate the ability to select, analyse, evaluate and interpret financial statements as applied to financial accounting.

Associated Assessment Criteria for Exit Level Outcome 8

• Explain the purpose and basic procedures of internal audit.
• Explore the meaning of true and fair view.
• Discuss financial controls and its importance.
• Apply and interpret the purpose of audit checks and audit trails.
• Explore the nature of errors, and application of accounting entries.
• Discuss the nature of fraud and basic ideas of prevention.

Associated Assessment Criteria for Exit Level Outcome 9

• Demonstrate the ability to work effectively in a team, group and community.
• Demonstrate the ability to accurately identify and address person task-specific learning needs.
• Demonstrate the ability to be aware of professional bodies or industry needs.
• Demonstrate the ability to take responsibility for own decisions and actions and to make effective use of self and peer evaluation in assessments.

Integrated Assessment

Assessors will assess and give credit for the evidence of learning that has already been acquired. This is to ensure that the purpose of the qualification is achieved. Assessment practices will be open, transparent, fair, valid, and reliable and ensure that no learner will be disadvantaged in any way whatsoever, so that an integrated approach to assessment is incorporated into the qualification.

Learning, teaching and assessment are inextricably interwoven. Whenever possible, the assessment of knowledge, skills, attitudes and values shown in the qualification will be integrated.

Assessment of fundamental should be integrated as far as possible with other aspects and will use practical contexts wherever possible. A variety of methods will be used in assessment and tools and activities will be appropriate to the context in which the learner is working or will work. Where it is not possible to assess the learner in the workplace or on-the-job, simulations, case studies, role-plays and other similar techniques will be used to provide a context appropriate to the assessment.

The term `Integrated Assessment` implies that theoretical and practical components will be assessed together. During integrated assessments, the assessor will make use of a range of formative and summative assessment tools methods and assess combinations of practical, applied, foundational and reflective competencies.

A range of formative and summative methods and techniques in the form of written tests, practical exercises, and case studies, projects and written examinations will be used.