Segment reporting and Responsibility Accounting:

Learning content:

Cost, Profit and Investment Centers, Marketing Cost and Profitability Analysis, Return on Investment, Operating Income, Operating Asset, Residual Income, Common and Traceable Fixed Cost, Segment margin,Net income for overall company, Classification of Marketing Cost and their Cost Allocation Base, Contribution Margin Approach. Centralized and decentralized  organization , Advantages and disadvantages of Decentralization

Learning objectives:

1. Able to define Cost, Profit and Investment Centers.

2. Able to understand Marketing Cost and Profitability Analysis, Return on Investment, Operating Income, Operating Asset, Residual Income, Common and Traceable Fixed Cost.

3. Able to identify different Classes of Marketing Cost and their Cost Allocation Base

Learning outcomes: After completion of this chapter the student will be

1. Able to define Cost, Profit and Investment Centers.

2. Able to understand Marketing Cost and Profitability Analysis, Return on Investment, Operating Income, Operating Asset, Residual Income, Common and Traceable Fixed Cost.

3. Able to identify different Classes of Marketing Cost and their Cost Allocation Base