Course detail

Calculations and Budgeting

FP-rkPAcad. year: 2023/2024

The course focuses on the value processes associated with individual business units, focusing on the area of ​​budgeting and budgets (rigid and flexible), where I had students gain theoretical and practical skills to handle budgets, long-term, short-term budgets and overheads. The core subject areas are costing, and costing theory and practice of costing - cost business relationship to the cost of individual performances, transformation costs in the budgeting and accounting (generic costs) and the structure calculation (direct and indirect costs) and the structure capacitance (variable and fixed costs). They go through both traditional and modern approaches in calculations...

Language of instruction

Czech

Number of ECTS credits

5

Mode of study

Not applicable.

Guarantor

prof. Ing. Alena Kocmanová, Ph.D.

Department

Institute of Economics (ÚE)

Entry knowledge

Students are expected to have general economic knowledge.

Rules for evaluation and completion of the course

Course completion:
Examination: professional knowledge is verified by written and oral examination. In the written exam, the student is asked questions from the theoretical part defined by lectures in the given area of calculations and company budgets, in the oral exam, the student's deeper knowledge of the given subject is verified.
Credit: The student's professional skills are verified on the basis of a test.
TEST I (8th week of the academic year): 20 points
TEST II (13th week of the academic year): 20 points
The minimum number of points to be awarded credit is 25 points.
According to the Study and Examination Regulations, there is no remedial term of credit.


Completion of the course for students with individual study:
Examination. In the written examination, the student is given questions from the theoretical part defined by lectures in the given area of company calculations and budgets; in the oral examination, the student's deeper knowledge of the given subject is tested.
Credit: The student's professional skills are verified on the basis of a test.
TEST I 20 points
TEST II 20 points
The minimum number of points to be awarded credit is 25 points.
According to the Study and Examination Regulations, there is no remedial term of credit.


Completion of the course in distance form:
Examination.
Credit: The student's professional skills are verified on the basis of an on-line test.
TEST I (8th week of the academic year): 20 points
TEST II (13th week of the academic year): 20 points
The minimum number of points to be awarded credit is 25 points.
According to the Study and Examination Regulations, there is no remedial term of credit.


The control of teaching during the semester is on the basis of passing two tests.
In the case of excused absence from the exercises, the teacher may, in justified cases, impose an alternative condition, usually the preparation of an alternative assignment.

Aims

The aim of the course is to introduce students with issue of nternal departments, with in-house costs in connection with corporate expenses, intercompany profit by internal revenue, internal calculations and creation of internal predation price relationships between species and costing breakdown of costs (transition table), calculation of the full cost, standardized method of calculation, calculation of incomplete cost (method of variable costs, contribution margin method) and dynamic calculations.
Students will understand the importance and the need for budgeting and costing from the management perspective and consistency in economic activity within the company. Students will understand the theory of budgets and calculations in relation to practical examples. After completing the course, students will be able to evaluate the results of operations, find lacks, propose solutions, substantiate the results of operations and business process view of the future.

Study aids

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

MACÍK, Karel a Martin ZRALÝ. Kalkulace a rozpočetnictví: sbírka úloh. Praha: Vydavatelství ČVUT, 2002. ISBN 80-01-02611-6. (CS)
POPESKO, Boris a PAPADAKI Šárka. Moderní metody řízení nákladů. 2. aktualizované vydání. Praha: Grada, 2016. 264 s. ISBN 978-80-247-5773-5. (CS)

Recommended reading

MAITLAND,I. Rozpočetnictví pro nefinanční manažery.1 vyd.Praha: Management Press. 171s.ISBN 80-85943-77-8 (CS)

Elearning

eLearning: currently opened course

Classification of course in study plans

  • Programme BAK-MIn Bachelor's 3 year of study, winter semester, elective
  • Programme BAK-PM Bachelor's 3 year of study, winter semester, compulsory

Type of course unit

 

Lecture

26 hod., optionally

Teacher / Lecturer

prof. Ing. Alena Kocmanová, Ph.D.

Syllabus

Basic concepts, concept of calculation, calculation unit, departmental and performance aspect of calculation, calculation process, budgets.
Classification of costs, generic costs and costing costs, costs in relation to the use of operating capacity and other aspects of cost breakdown.
Full costing. Typical costing formula. Calculation by division and calculation using equivalence numbers. Concept of costing system, costing as part of the economic information system of the enterprise.
Incremental costing, costing base and allocation issues of costing, refinement of costing calculations, applicability of incremental costing.
Hourly overhead rate method. Dynamic calculation.
Phased, sequential calculation - use of cost functions for performance calculation.
Incomplete costing. Variable cost method and its use. One-stage and two-stage variable costing.
Differential costing methods - standardised costing method. Standard cost method.
Budgeting, budgets and overhead analysis, function and content of budgets, long and short term budgets, fixed and flexible budgets.
Budgeting methods_ ZBB.
Calculation in pooled production.

Exercise

13 hod., optionally

Teacher / Lecturer

Ing. Jan Musil

Syllabus

  1. Introduction to the subject, review of basic concepts - quiz questions - activity with gamification elements (week 1)
  2. Calculation examples to practise calculation methods - calculations by simple division, calculations with ratio numbers. The assignment of the examples reflects the situation in a specific ABC company and the emphasis is on comparing the use of different calculation methods. Calculation system and demonstration of its use in a case study of a specific company. (Week 3)
  3. Calculation examples to practice calculation methods - HRS method, Incremental Calculation. Assignment of examples in the form of a case study reflecting the situation in one of the economic centres of the manufacturing company ABC s.r.o. Emphasis will be placed on comparing the advantages and disadvantages of a particular calculation method.
  4. Calculation examples to practise calculation methods - Stepwise calculation, phase calculation - example with the same assignment to clearly distinguish between the two methods and justification. A case study on the use of variable costing with a one-step reimbursement allowance, then the use of a two-step allowance when modifying the assignment and highlighting the practical use of reimbursement allowances and its important position within incomplete costing. (Week 9)
  5. A case study reflecting a comparison of traditional and modern budgeting methods, including the calculation of variances, the design of corrective measures and an assessment of the real impact of the chosen measures on the economic situation of the enterprise. Application of the brainstorming method and expert discussion of the specific economic situation of the enterprise in the context of the design of corrective measures.

Elearning

eLearning: currently opened course