Managerial Accounting, 7e

by Hartgraves, Morse

ISBN: 978-1-61853-096-7 | Copyright 2015

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Welcome to the seventh edition of Managerial Accounting. Our book presents managerial accounting in the context of a big-picture, decision oriented, business setting. It integrates traditional coverage with contemporary topics, and does so with an eye toward the general business student because a book is not useful if it is not read. An overriding aim of our book is to engage students to read further and understand the materials presented.

Approach and Emphasis

Managerial accounting focuses on using financial and nonfinancial information by managers and associates of a firm to make strategic, organizational, and operational decisions. Our book provides a framework for identifying and analyzing decision alternatives and for evaluating success or failure in accomplishing such organizational goals. Although accountants are important in the managerial accounting process, managerial accounting is more about managerial tools than processes. In our era of global competition, continuous improvement, process reengineering, and employee empowerment; the tools of managerial accounting are used by decision makers at all levels, rather than just by "managers." One goal of our book is to introduce students to this reality.

Our book is written for all students—not just accounting students. We place managerial accounting in a broad business context, relating it to other business areas. We also avoid details that are appropriate for advanced cost accounting books. Like the trunk of a tree, our book serves as a strong base for students' future knowledge growth and as a means of unifying the branches of business management.

We emphasize the use of managerial accounting information for decision making within the context of organizational strategy. The organization and content of our book reflect our belief that students who understand the big picture are better learners, are better decision makers, and are better able to apply what they learn.

Ethics

Managerial ethics receives extensive coverage in this edition. For example, ethics is introduced in the context of measurement and management in Chapter 1 and discussed further in Chapters 4 and 9. "Business Insight" features and numerous end-of-chapter problems and cases in Chapters 1, 3, 8, 9, 10, and 11 include a variety of decision situations involving ethical dilemmas. The following excerpt is from Chapter 9 and discusses ethical dimensions of the budgeting process:

Because most wrongful activities related to budgeting are unethical, rather than illegal, organizations often have difficulty dealing with them. However, when managers’ actions cross the gray area between ethical and fraudulent behavior, organizations are not reluctant to dismiss employees or even pursue legal actions against them.

Although most managers have a natural inclination to be conservative in developing their budgets, at some level the blatant padding or building slack into the budget becomes unethical. In an extreme case, it might even be considered theft if an inordinate level of budgetary slack creates favorable performance variances that lead to significant bonuses or other financial gain for the manager. Another form of falsifying budgets occurs when managers include expense categories in their budgets that are not needed in their operations and subsequently use the funds to pad other budget categories. The deliberate falsification of budgets is unethical behavior and is grounds for dismissal in most organizations.

Ethical issues might also arise in the reporting of performance results, which usually compares actual data with budgeted data. Examples of unethical reporting of actual performance data include misclassification of expenses, overstating revenues or understating expenses, postponing or accelerating the recording of activities at the end of the accounting period, or creating fictitious activities.

Unique Pedagogy

Managerial Accounting includes several special features specifically designed to engage students and help them succeed in this course.

Business Insights

Students appreciate and become more engaged when they can see the relevance of what they are learning in the classroom. We have revised and added new Business Insight boxes throughout each chapter to bring the accounting to life for students through current, real world examples. The following is a representative example:

business insight

Decision Making Orientation

One primary goal of a managerial accounting course is to teach students the skills needed to apply their accounting knowledge to solve real business problems and make informed business decisions. With that goal in mind, You Make The Call boxes in each chapter encourage students to apply the material presented to solving actual business scenarios. The following is a representative example:

you make the call

Research Insights

Academic research plays an important role in the way business is conducted, accounting is performed, and students are taught. It is important for students to recognize how modern research and modern business practice interact. Therefore, we periodically incorporate relevant research to help students understand the important relation between research and modern business. The following is a representative example:

research insight

Mid-Chapter and Chapter-End Reviews

Managerial accounting can be challenging—especially for students lacking business experience or previous exposure to business courses. To reinforce concepts presented in each chapter and to ensure student comprehension, we include mid-chapter and chapter-end reviews that require students to recall and apply the managerial accounting techniques and concepts described in each chapter. The following is a representative example:

chapter end review

Excellent Assignments

Excellent assignment material is a must-have component of any successful textbook (and class). We went to great lengths to create the best assignments possible. We tried to include assignments that reflect our belief that students should be trained in analyzing accounting information to make business decisions, as opposed to working on mechanical computations. Assignments encourage students to analyze accounting information, interpret it, and apply the knowledge gained to a business decision. There are five categories of assignments: Discussion Questions, Mini Exercises, Exercises, Problems, and Cases and Projects. The following is a representative example:

assignment

Changes to the 7th Edition

Many significant changes have been made in the 7th edition, including:

  • myBusinessCourse: This complete learning and homework program is free with new copies of the textbook. myBusinessCourse includes a complete learning path for students. Students will be able to watch electures, and see how representative problems are solved before proceeding to their homework. As the instructor, you can select assignments from the textbook or test bank and have students’ responses automatically graded. You also have access to a robust grade book that provides many course management and diagnostic tools. Whether you teach a complete online course or just want to provide your students with additional resources to master the content, myBusinessCourse will prove to be an invaluable resource for you and your students. See the inside cover of this textbook for more details.
  • Many new Business Insight boxes have replaced older ones.
  • Several new Research Insight Boxes have been incorporated.
  • Dozens of new, real company examples have been integrated throughout the text.
  • Over two-thirds of the exercises and problems have been revised.
  • All 12 Opening Vignettes have been replaced. The following companies are now featured:
Chapter 1 ModCloth Chapter 7 Whole Foods
Chapter 2 Square Chapter 8 Roku
Chapter 3 DuPont Chapter 9 Pinterest
Chapter 4 Uber Chapter 10 Southwest Airlines
Chapter 5 Samsung Chapter 11 Volkswagen
Module 6 Unilever Chapter 12 Amazon



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Expand/Collapse All
About the Authors (pg. ix)
Brief Contents (pg. x)
Contents (pg. xi)
Chapter 01: Managerial Accounting: Tools for Decision Making (pg. 2)
ModCloth (pg. 3)
Uses of Accounting Information (pg. 4)
Financial Accounting (pg. 4)
Managerial Accounting (pg. 5)
Globalization of Accounting Standards (pg. 6)
Strategic Cost Management (pg. 7)
Missions, Goals, and Strategies (pg. 7)
Strategic Position Analysis (pg. 8)
Managerial Accounting and Goal Attainment (pg. 10)
Planning, Organizing, and Controlling (pg. 11)
Mid-Chapter Review (pg. 13)
Competition and Its Key Dimensions (pg. 13)
Cost Drivers (pg. 14)
Structural Cost Drivers (pg. 14)
Organizational Cost Drivers (pg. 15)
Activity Cost Drivers (pg. 16)
Ethics in Managerial Accounting (pg. 17)
Codes of Ethics (pg. 17)
Corporate Governance (pg. 18)
Corporate Social Responsibility (pg. 19)
Guidance Answers . . . You Make the Call (pg. 20)
Chapter-End Review (pg. 20)
Key Terms (pg. 21)
Multiple Choice (pg. 21)
Discussion Questions (pg. 21)
Mini Exercises (pg. 22)
Exercises (pg. 24)
Cases and Projects (pg. 25)
Solutions to Review Problems (pg. 28)
Chapter 02: Cost Behavior, Activity Analysis, and Cost Estimation (pg. 30)
Square, Inc. (pg. 31)
Cost Behavior Analysis (pg. 32)
Four Basic Cost Behavior Patterns (pg. 32)
Factors Affecting Cost Behavior Patterns (pg. 34)
Total Cost Function for an Organization or Segment (pg. 35)
Relevant Range (pg. 36)
Additional Cost Behavior Patterns (pg. 37)
Committed and Discretionary Fixed Costs (pg. 39)
Mid-Chapter Review (pg. 40)
Cost Estimation (pg. 40)
High-Low Cost Estimation (pg. 40)
Scatter Diagrams (pg. 42)
Least-Squares Regression (pg. 43)
Additional Issues in Cost Estimation (pg. 45)
Changes in Technology and Prices (pg. 45)
Matching Activity and Costs (pg. 46)
Identifying Activity Cost Drivers (pg. 46)
Alternative Cost Driver Classifications (pg. 46)
Manufacturing Cost Hierarchy (pg. 47)
Customer Cost Hierarchy (pg. 48)
Chapter-End Review (pg. 49)
Guidance Answers . . . You Make the Call (pg. 50)
Key Ratios (pg. 50)
Key Terms (pg. 51)
Multiple Choice (pg. 51)
Discussion Questions (pg. 52)
Mini Exercises (pg. 52)
Exercises (pg. 55)
Problems (pg. 58)
Cases and Projects (pg. 60)
Solutions to Review Problems (pg. 63)
Chapter 03: Cost-Volume-Profit Analysis and Planning (pg. 66)
DuPont (pg. 67)
Profitability Analysis (pg. 68)
Key Assumptions (pg. 69)
Profit Formula (pg. 69)
Contribution and Functional Income Statements (pg. 71)
Contribution Income Statement (pg. 71)
Functional Income Statement (pg. 72)
Analysis Using Contribution Margin Ratio (pg. 72)
Break-Even Point and Profit Planning (pg. 73)
Determining Break-Even Point (pg. 73)
Profit Planning (pg. 74)
Cost-Volume-Profit Graph (pg. 75)
Profit-Volume Graph (pg. 76)
Impact of Income Taxes (pg. 77)
Mid-Chapter Review (pg. 79)
Multiple-Product Cost-Volume-Profit Analysis (pg. 79)
Sales Mix Analysis (pg. 80)
Analysis of Operating Leverage (pg. 82)
Chapter-End Review (pg. 84)
Appendix 3A: Profitability Analysis with Unit and Nonunit Cost Drivers (pg. 85)
Guidance Answers . . . You Make the Call (pg. 88)
Key Ratios (pg. 88)
Key Terms (pg. 88)
Multiple Choice (pg. 89)
Discussion Questions (pg. 90)
Mini Exercises (pg. 90)
Exercises (pg. 92)
Problems (pg. 96)
Cases and Projects (pg. 101)
Solutions to Review Problems (pg. 102)
Chapter 04: Relevant Costs and Benefits for Decision Making (pg. 106)
Uber (pg. 107)
Identifying Relevant Costs (pg. 108)
Relevance of Future Revenues (pg. 109)
Relevance of Outlay Costs (pg. 110)
Irrelevance of Sunk Costs (pg. 110)
Sunk Costs Can Cause Ethical Dilemmas (pg. 110)
Relevance of Disposal and Salvage Values (pg. 111)
Relevance of Opportunity Costs (pg. 111)
Differential Analysis of Relevant Costs (pg. 112)
Mid-Chapter Review (pg. 113)
Applying Differential Analysis (pg. 114)
Multiple Changes in Profit Plans (pg. 114)
Special Orders (pg. 115)
Outsourcing Decisions (Make or Buy) (pg. 117)
Sell or Process Further (pg. 121)
Use of Limited Resources (pg. 122)
Single Constraint (pg. 123)
Multiple Constraints (pg. 124)
Theory of Constraints (pg. 124)
Limitations of Decision Analysis Models (pg. 125)
Chapter-End Review (pg. 125)
Guidance Answers . . . You Make the Call (pg. 126)
Key Terms (pg. 126)
Multiple Choice (pg. 126)
Discussion Questions (pg. 128)
Mini Exercises (pg. 128)
Exercises (pg. 131)
Problems (pg. 134)
Cases and Projects (pg. 139)
Solutions to Review Problems (pg. 142)
Chapter 05: Product Costing: Job and Process Operations (pg. 146)
Samsung (pg. 147)
Inventory Costs in Various Organizations (pg. 148)
Inventory Costs for Financial Reporting (pg. 149)
Product Costs and Period Costs (pg. 149)
Three Components of Product Costs (pg. 150)
A Closer Look at Manufacturing Overhead (pg. 152)
The Production Environment (pg. 154)
Production Files and Records (pg. 154)
Job Costing for Products and Services (pg. 155)
Job Costing Illustrated (pg. 156)
Statement of Cost of Goods Manufactured (pg. 160)
Overapplied and Underapplied Overhead (pg. 161)
Job Costing in Service Organizations (pg. 162)
Mid-Chapter Review (pg. 164)
Process Costing (pg. 165)
Cost of Production Report (pg. 166)
Weighted Average and First-In, First-Out Process Costing (pg. 169)
Process Costing in Service Organizations (pg. 169)
Chapter-End Review (pg. 170)
Appendix 5A: Absorption and Variable Costing (pg. 170)
Guidance Answers . . . You Make the Call (pg. 175)
Key Ratios (pg. 175)
Key Terms (pg. 176)
Multiple Choice (pg. 176)
Discussion Questions (pg. 177)
Mini Exercises (pg. 177)
Exercises (pg. 179)
Problems (pg. 184)
Cases and Projects (pg. 190)
Solutions to Review Problems (pg. 193)
Chapter 06: Activity-Based Costing, Customer Profitability, and Activity-Based Management (pg. 196)
Unilever (pg. 197)
Changing Cost Environment (pg. 198)
Activity-based Costing (pg. 199)
ABC Product Costing Model (pg. 200)
Traditional Product Costing and ABC Compared (pg. 201)
Applying Overhead with a Plantwide Rate (pg. 202)
Applying Overhead with Department Rates (pg. 202)
Applying Overhead with Activity-Based Costing (pg. 203)
Mid-Chapter Review (pg. 207)
Limitations of ABC Illustration (pg. 207)
Comparing Traditional and Activity-Based Costing (pg. 208)
ABC Implementation Issues (pg. 209)
ABC and Customer Profitability Analysis (pg. 210)
Customer Profitability Profile (pg. 210)
ABC Customer Profitability Analysis Illustrated (pg. 211)
Activity-Based Management (pg. 213)
Chapter-End Review (pg. 214)
Guidance Answers . . . You Make the Call (pg. 215)
Key Terms (pg. 215)
Multiple Choice (pg. 215)
Discussion Questions (pg. 216)
Mini Exercises (pg. 217)
Exercises (pg. 220)
Problems (pg. 224)
Cases and Projects (pg. 228)
Solutions to Review Problems (pg. 232)
Chapter 07: Additional Topics in Product Costing (pg. 236)
Whole Foods (pg. 237)
Production and Service Department Costs (pg. 238)
Service Department Cost Allocation (pg. 239)
Direct Method (pg. 240)
Step Method (pg. 241)
Linear Algebra (Reciprocal) Method (pg. 242)
Dual Rates (pg. 244)
Mid-Chapter Review (pg. 244)
Lean Production and Just-in-Time Inventory Management (pg. 245)
Reducing Incoming Materials Inventory (pg. 245)
Reducing Work-in-Process Inventory (pg. 246)
Reducing Finished Goods Inventory (pg. 247)
Performance Evaluation and Recordkeeping with Lean Production and JIT (pg. 248)
Performance Evaluation (pg. 248)
Simplified Recordkeeping (pg. 249)
Chapter-End Review (pg. 250)
Guidance Answers . . . You Make the Call (pg. 251)
Key Ratios (pg. 251)
Key Terms (pg. 251)
Multiple Choice (pg. 252)
Discussion Questions (pg. 253)
Mini Exercises (pg. 253)
Exercises (pg. 255)
Problems (pg. 257)
Cases and Projects (pg. 261)
Solutions to Review Problems (pg. 262)
Chapter 08: Pricing and Other Product Management Decisions (pg. 266)
Roku (pg. 267)
Understanding the Value Chain (pg. 268)
Usefulness of a Value Chain Perspective (pg. 270)
Value-Added and Value Chain Perspectives (pg. 272)
The Pricing Decision (pg. 273)
Economic Approaches to Pricing (pg. 273)
Cost-Based Approaches to Pricing (pg. 273)
Mid-Chapter Review (pg. 277)
Target Costing (pg. 278)
Target Costing Is Proactive for Cost Management (pg. 278)
Target Costing Encourages Design for Production (pg. 279)
Target Costing Reduces Time to Introduce Products (pg. 280)
Target Costing Requires Cost Information (pg. 280)
Target Costing Requires Coordination (pg. 280)
Target Costing is Key for Products with Short Life Cycles (pg. 281)
Target Costing Helps Manage Life Cycle Costs (pg. 281)
Continuous Improvement Costing (pg. 282)
Benchmarking (pg. 284)
Guidance Answers . . . You Make the Call (pg. 285)
Key Ratios (pg. 285)
Key Terms (pg. 285)
Chapter-End Review (pg. 285)
Multiple Choice (pg. 286)
Discussion Questions (pg. 287)
Mini Exercises (pg. 287)
Exercises (pg. 289)
Problems (pg. 290)
Cases and Projects (pg. 293)
Solutions to Review Problems (pg. 294)
Chapter 09: Operational Budgeting and Profit Planning (pg. 296)
Pinterest (pg. 297)
Reasons for Budgeting (pg. 298)
Compel Planning (pg. 299)
Promote Communication and Coordination (pg. 299)
Provide a Guide to Action and Basis of Evaluation (pg. 299)
Aid in Risk Management (pg. 299)
General Approaches to Budgeting (pg. 300)
Output/Input Approach (pg. 300)
Activity-Based Approach (pg. 301)
Incremental Approach (pg. 301)
Minimum Level Approach (pg. 301)
Mid-Chapter Review (pg. 302)
Master Budget (pg. 303)
Sales Budget (pg. 304)
Purchases Budget (pg. 305)
Selling Expense Budget (pg. 306)
General and Administrative Expense Budget (pg. 307)
Cash Budget (pg. 307)
Budgeted Financial Statements (pg. 308)
Finalizing the Budget (pg. 310)
Budget Development in Manufacturing Organizations (pg. 311)
Production Budget (pg. 311)
Manufacturing Cost Budget (pg. 311)
Budget Development and Manager Behavior (pg. 314)
Employee Participation (pg. 314)
Budgeting Periods (pg. 315)
Forecasts (pg. 315)
Ethics (pg. 316)
Open Book Management (pg. 316)
Chapter-End Review 1: Budget for a Merchandising Organization (pg. 317)
Chapter-End Review 2: Budget for a Manufacturer (pg. 318)
Guidance Answers . . . You Make the Call (pg. 319)
Key Terms (pg. 319)
Multiple Choice (pg. 319)
Discussion Questions (pg. 320)
Mini Exercises (pg. 321)
Exercises (pg. 323)
Problems (pg. 327)
Cases and Projects (pg. 333)
Solutions to Review Problems (pg. 335)
Chapter 10: Standard Costs and Performance Reports (pg. 342)
Southwest Airlines (pg. 343)
Responsibility Accounting (pg. 344)
Performance Reporting and Organization Structures (pg. 345)
Types of Responsibility Centers (pg. 346)
Financial and Nonfinancial Performance Measures (pg. 347)
Performance Reporting for Cost Centers (pg. 348)
Development of Flexible Budgets (pg. 348)
Flexible Budgets Emphasize Performance (pg. 349)
Mid-Chapter Review (pg. 350)
Standard Costs and Performance Reports (pg. 350)
Variance Analysis for Costs (pg. 351)
Establishing and Using Standards for Direct Materials (pg. 352)
Establishing and Using Standards for Direct Labor (pg. 355)
Establishing and Using Standards for Variable Overhead (pg. 356)
Fixed Overhead Variances (pg. 358)
Performance Reports for Revenue Centers (pg. 359)
Inclusion of Controllable Costs (pg. 360)
Revenue Centers as Profit Centers (pg. 361)
Chapter-End Review (pg. 362)
Appendix 10A: Fixed Overhead Variances (pg. 363)
Appendix 10B: Reconciling Budgeted and Actual Income (pg. 364)
Guidance Answers . . . You Make the Call (pg. 366)
Key Ratios (pg. 366)
Key Terms (pg. 366)
Multiple Choice (pg. 367)
Discussion Questions (pg. 368)
Mini Exercises (pg. 368)
Exercises (pg. 370)
Problems (pg. 372)
Cases and Projects (pg. 379)
Solutions to Review Problems (pg. 381)
Chapter 11: Segment Reporting, Transfer Pricing, and Balanced Scorecard (pg. 384)
Volkswagen (pg. 385)
Strategic Business Segments and Segment Reporting (pg. 386)
Multilevel Segment Income Statements (pg. 388)
Interpreting Segment Reports (pg. 388)
Mid-Chapter Review (pg. 390)
Transfer Pricing (pg. 391)
Management Considerations (pg. 391)
Determining Transfer Prices (pg. 393)
Investment Center Evaluation Measures (pg. 396)
Return on Investment (pg. 396)
Investment Center Income (pg. 398)
Investment Center Asset Base (pg. 399)
Other Valuation Issues (pg. 400)
Residual Income (pg. 400)
Economic Value Added (pg. 400)
Which Measure Is Best? (pg. 402)
Balanced Scorecard (pg. 403)
Balanced Scorecard Framework (pg. 403)
Balanced Scorecard and Strategy (pg. 405)
Guidance Answers . . . You Make the Call (pg. 407)
Key Ratios (pg. 407)
Chapter-End Review (pg. 407)
Key Terms (pg. 408)
Multiple Choice (pg. 408)
Discussion Questions (pg. 409)
Mini Exercises (pg. 409)
Exercises (pg. 413)
Problems (pg. 416)
Cases and Projects (pg. 422)
Solutions to Review Problems (pg. 424)
Chapter 12: Capital Budgeting Decisions (pg. 426)
Amazon (pg. 427)
Long-Range Planning and Capital Budgeting (pg. 429)
Capital Budgeting Models that Consider Time Value of Money (pg. 432)
Expected Cash Flows (pg. 432)
Manager Behavior and Expected Cash Flows (pg. 432)
Net Present Value (pg. 433)
Internal Rate of Return (pg. 434)
Cost of Capital (pg. 435)
Mid-Chapter Review (pg. 436)
Capital Budgeting Models that do not Consider Time Value of Money (pg. 436)
Payback Period (pg. 437)
Accounting Rate of Return (pg. 438)
Evaluation of Capital Budgeting Models (pg. 439)
Additional Aspects of Capital Budgeting (pg. 441)
Using Multiple Investment Criteria (pg. 441)
Evaluating Risk (pg. 441)
Differential Analysis of Project Cash Flows (pg. 442)
Predicting Differential Costs and Revenues for High-Tech Investments (pg. 444)
Taxes in Capital Budgeting Decisions (pg. 445)
Depreciation Tax Shield (pg. 445)
Investment Tax Credit (pg. 448)
Chapter-End Review (pg. 448)
Appendix 12A: Time Value of Money (pg. 448)
Appendix 12B: Table Approach to Determining Internal Rate of Return (pg. 453)
Guidance Answers . . . You Make the Call (pg. 455)
Key Ratios (pg. 455)
Key Terms (pg. 455)
Multiple Choice (pg. 456)
Discussion Questions (pg. 456)
Mini Exercises (pg. 457)
Exercises (pg. 459)
Problems (pg. 461)
Cases and Projects (pg. 464)
Solutions to Review Problems (pg. 469)
Appendix A: Managerial Analysis of Financial Statements (pg. 471)
Index (pg. 520)
Glossary (pg. 501)
Index (pg. 520)
Financial Statement Analysis for Managers (pg. 473)
Factors Impacting Financial Statement Analysis (pg. 474)
Evaluative Standards and Benchmarks (pg. 475)
Application of Financial Statement Analysis (pg. 476)
Comparative and Common Size Statements (pg. 476)
Solvency Analysis (pg. 478)
Performance Analysis (pg. 482)
Horizontal Analysis of Solvency and Performance (pg. 485)
Industry Benchmarking of Analysis Measures (pg. 486)
Appendix-End Review: Comparative Common Size Statements and Ratio Analysis (pg. 488)
Key Terms (pg. 490)
Discussion Questions (pg. 490)
Mini Exercises (pg. 490)
Exercises (pg. 492)
Problems (pg. 494)
Cases and Projects (pg. 496)
Solutions to Review Problems (pg. 498)
Al L. Hartgraves

Al L. Hartgraves

Al L. Hartgraves is Professor Emeritus of Accounting at the Goizueta Business School at Emory University in Atlanta, Georgia. He has been a frequent Guest Professor at Johannes Kepler University in Linz, Austria and at the Helsinki School of Economics and Business Administration in Finland.

His published scholarly and professional articles have appeared in The Accounting Review, Accounting Horizons, Management Accounting, Journal of Accountancy, Journal of Accounting and Public Policy and many other journals. Students at Goizueta Business School have selected him on six occasions to receive the Distinguished Educator Award. In 2002 he received Emory University’s highest teaching award, The Scholar/Teacher Award, and in 2003 he was recognized as the Accounting Educator of the Year by the Georgia Society of CPAs. He has been recognized as an Outstanding Faculty Member in two editions of The Business Week Guide to the Best Business Schools. He is a Certified Public Accountant (inactive) and a Certified Management Accountant, having received the Certificate of Distinguished Performance on the CMA exam. He received his Ph.D. from Georgia State University.


Wayne J. Morse

Wayne J. Morse

Wayne J. Morse, a hiking and canoeing enthusiast, is Professor Emeritus at the Saunders College of Business at Rochester Institute of Technology.

An author or coauthor of more than fifty published papers, monographs, and textbooks, he was a founding member of the Management Accounting section of the American Accounting Association. His most notable writings are in the areas of learning curves, human resource accounting, and quality costs. He was a member of the IMA Committee on Research and an AICPA Board of Examiners subcommittee, and he has served on the editorial boards of Advances in Accounting, Trends in Accounting Education, Issues in Accounting Education, and Management Accounting Research. A Certified Public Accountant, he received his Ph.D. from Michigan State University. Prior to joining RIT, he was on the faculty of the University of Illinois, Duke University, the University of Tennessee, Clarkson University, and the University of Alabama-Huntsville.


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