CMA Intermediate Course

CMA Intermediate Course in Coimbatore

The CMA (Cost & Management Accountant) Intermediate Course in India is a part of the CMA program offered by the Institute of Cost Accountants of India (ICMAI). The CMA program is designed to provide in-depth knowledge and skills in the field of cost and management accounting. Here are some key points about the CMA Intermediate Course in India:

Overview of CMA Intermediate Course

  1. Eligibility: To enroll in the CMA Intermediate Course, candidates must meet one of the following criteria:

    • Completion of the CMA Foundation Course offered by ICMAI.
    • Graduation in any discipline (excluding Fine Arts) from a recognized university.
  2. Course Structure: The CMA Intermediate Course consists of two groups, each containing four papers. The groups and their respective papers are as follows:

    • Group – I
      Paper 5: Business Laws And Ethics (BLE)
      Paper 6: Financial Accounting (FA)
      Paper 7: Direct And Indirect Taxation (DITX)
      Paper 8: Cost Accounting (CA)

    • Group – II
      Paper 9: Operations Management And Strategic Management (OMSM)
      Paper 10: Corporate Accounting And Auditing (CAA)
      Paper 11: Financial Management And Business Data Analytics (FMDA)
      Paper 12: Management Accounting (MA)

  3. Examination: The CMA Intermediate examination is conducted twice a year, usually in June and December. The examination is conducted in a descriptive format, requiring candidates to provide written answers.

  4. Passing Criteria: Candidates need to secure a certain percentage of marks in each paper and an overall aggregate to pass the CMA Intermediate examination.

  5. Exemption: Candidates who have completed certain qualifications, such as a bachelor’s or master’s degree in commerce, may be eligible for exemption from appearing in certain papers of the CMA Intermediate examination. Exemptions are granted based on the candidate’s prior qualifications.

  6. Study Materials: The ICMAI provides study materials for the CMA Intermediate Course.

  7. Career Progression: After successfully completing the CMA Intermediate Course, candidates can progress to the final level of the CMA program, which includes further specialization in cost and management accounting.

Syllabus for CMA Intermediate Course



1. Introduction to Law and Legal System in India

1.1 Introduction to the Constitution of India
1.2 Fundamental Rights
1.3 Sources of Law
1.4 Primary and Subordinate Legislations
1.5 Legislative Process in India
1.6 Legal Methods including Judicial Alternative Dispute Resolution (ADR) Process in India
1.7 Legal Terminology and Maxims
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2. Indian Contracts Act, 1872

2.1 Essential Elements of a Contract, Offer and Acceptance
2.2 Void and Voidable Agreements
2.3 Consideration
2.4 Legality of Object
2.5 E-contracts – Essential Requirements for Enforceability
2.6 Constraints to Enforce Contractual Obligations
2.7 Quasi-contracts, Contingent Contracts, Termination or Discharge of Contracts
2.8 Assignment of Contractual Rights and Obligations
2.9 Representations and Warranties
2.10 Impossibility and Force Majeure
2.11 Termination by Novation
2.12 Tender Procedure of Government Contract
2.13 Special Contracts – Indemnity and Guarantee; Bailment and Pledge; Laws of Agency

3. Sale of Goods Act, 1930

3.1 Essential Conditions of a Contract of Sale
3.2 Transfer of Ownership
3.3 Conditions and Warranties
3.4 Performance of the Contract of Sale
3.5 Rights of Unpaid Seller
3.6 Auction Sales

4. Negotiable Instruments Act, 1881

4.1 Definition and Features of Negotiable Instrument
4.2 Crossing, Endorsement and Material Alteration
4.3 Acceptance, Assignment and Negotiation
4.4 Rights and Liabilities of Parties
4.5 Dishonour of a Negotiable Instrument (with Special Emphasis on Section 138)

5. Indian Partnership Act, 1932

5.1 Nature of Partnership
5.2 Rights and Liabilities of Partners
5.3 Formation, Reconstitution and Dissolution of Firms

6. Limited Liability Partnership Act, 2008

6.1 Concept, Formation, Membership, Functioning
6.2 Dissolution

7. Factories Act, 1948
8. Payment of Gratuity Act, 1972
9. Employees Provident Fund and Miscellaneous Provisions Act, 1952
10. Employees State Insurance Act, 1948
11. The Code on Wages, 2019
12. Companies Act, 2013

12.1 Company Types, Promotion, Formation and Related Procedures (Sec 1 to Sec 122 of
Companies Act, 2013)
12.2 Director – Role, Responsibilities, Qualification, Disqualification, Appointment,
Retirement, Resignation, Removal, Remuneration and Powers, Directors Identification
12.3 Operational and Financial Control
12.4 Internal Financial Control for Financial Reporting (Section 134, 143 and 177)
12.5 Rights of Shareholders
12.6 Key Managerial Personnel

13. Business Ethics and Emotional Intelligence

13.1 Ethics – Meaning, Importance and Nature
13.2 The “Seven Principles of Public Life” – Selflessness, Integrity, Objectivity,
Accountability, Openness, Honesty and Leadership
13.3 The Relationship between Ethics and Law
13.4 Business Ethics and its Relevance to Business
13.5 Values and Attitudes of Professional Accountants
13.6 Primary Norms of Business Ethics – Honesty, Accountability etc., the Application
in Decisions regarding Employers, Finance and Trading
13.7 Internal Code of Ethics
13.8 Ethics in Business Dealings
13.9 Case Study on Business Ethics
13.10 Emotional Intelligence (Concept and Importance)

1. Accounting Fundamentals

1.1 Four Frameworks of Accounting (Conceptual, Legal, Institutional and Regulatory)
1.2 Accounting Principles, Concepts and Conventions
1.3 Capital and Revenue Transactions – Capital and Revenue Expenditures, Capital and
Revenue Receipts
1.4 Accounting Cycle – Charts of Accounts and Codification Structure, Analysis of Transaction
– Accounting Equation, Double Entry System, Books of Original Entry, Subsidiary
Books and Finalisation of Accounts
1.5 Journal (Day Books and Journal Proper – Opening Entries, Transfer Entries, Closing
Entries, Adjustment entries, Rectification entries), Ledger
1.6 Cash Book, Bank Book, Bank Reconciliation Statement
1.7 Trial Balance (Preparation and Scrutiny)
1.8 Adjustments and Rectifications
1.8.1 Depreciation and Amortisation
1.8.2 Adjustment Entries and Rectification of Errors
1.8.3 Accounting Treatment of Bad Debts and Provision for Doubtful Debts,
Provision for Discount on Debtors and Provision for Discount on Creditors

2. Bills of Exchange, Consignment, Joint Venture
3. Preparation of Final Accounts of Commercial Organisations, Not-for-Profit Organisations
and from Incomplete Records

3.1 Preparation of Financial Statements of Commercial Organisations (other than Corporate
Form of Organisation)
3.1.1 Income Statement
3.1.2 Balance Sheet
3.2 Preparation of Financial Statements of Not-for-Profit Organisation
3.2.1 Preparation of Receipts and Payments Account
3.2.2 Preparation of Income and Expenditure Account
3.2.3 Preparation of Balance Sheet
3.3 Preparation of Financial Statements from Incomplete Records

4. Partnership Accounting

4.1 Admission of Partner
4.2 Retirement of Partner
4.3 Death of Partner
4.4 Treatment of Joint Life Policy
4.5 Dissolution of Partnership Firms Including Piecemeal Distribution
4.6 Amalgamation of Partnership Firms
4.7 Conversion of Partnership Firm into a Company and Sale of Partnership Firm to a
4.8 Accounting of Limited Liability Partnership

5. Lease Accounting
6. Branch (including Foreign Branch) and Departmental Accounts
7. Insurance Claim for Loss of Stock and Loss of Profit
8. Hire Purchase and Installment Sale Transactions
9. Accounting Standards

9.1 Introduction to Accounting Standards
9.1.1 GAAP
9.1.2 AS
9.1.3 Convergence to Ind AS – Applicability and Scope
9.2 Specified Accounting Standards with Comparative Provisions under Ind AS
9.2.1 Disclosure of Accounting Policies (AS 1)
9.2.2 Property Plant and Equipment (AS 10)
9.2.3 The Effects of Changes in Foreign Exchange Rate (AS 11)
9.2.4 Accounting for Government Grants (AS 12)
9.2.5 Borrowing Costs (AS 16)
9.2.6 Accounting for Taxes on Income (AS 22)

1. Basics of Income Tax Act

1.1 Basic Concepts, Basis of Charge and Capital & Revenue Receipts
1.2 Residential Status and Scope of Total Income
1.3 Agricultural Income
1.4 Income which do not form part of Total Income

2. Heads of Income

2.1 Salaries
2.2 Income from House Property
2.3 Profits and Gains of Business or Profession including Tax Audit u/s 44AB; and
Provisions u/s 43A, 43B, 43AA, 44AD, 44ADA and 44AE (excluding Sections 42 to
2.4 Capital Gains
2.5 Income from Other Sources

3. Total Income and Tax Liability of Individuals & HUF

3.1 Income of Other Person included in Assesses Total Income (Clubbing of Income)
3.2 Set off and Carry Forward of Losses
3.3 Deductions, Rebate and Relief
3.4 Taxation of Individual (including AMT but excluding Non-resident) & HUF
3.5 Advance Tax
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3.6 Tax Deducted at Source & Tax Collected at Source (excluding Non-resident)
3.7 Filing of Return of Income
3.8 PAN
3.9 Self-Assessment & Intimation

4. Concept of Indirect Taxes

4.1 Concept and Features of Indirect Taxes
4.2 Difference between Direct and Indirect Taxes
4.3 Background of erstwhile Indirect Taxes (Central Excise, VAT etc.)
4.4 Constitutional Validity of GST

5. Goods and Services Tax (GST) Laws

5.1 Introduction to GST Law
5.2 Levy and Collection of CGST and IGST
5.2.1 Application of CGST/IGST law
5.2.2 Concept of Supply including Composite and Mixed Supplies
5.2.3 Charge of Tax including Reverse Charge
5.2.4 Exemption from Tax
5.2.5 Composition Levy
5.3 Basic concepts of Time and Value of Supply
5.4 Input Tax Credit
5.5 Computation of GST Liability
5.6 Registration
5.7 Tax Invoice – Electronic Way Bill
5.8 Returns and Payment of Taxes

6. Customs Act

6.1 Customs Act-Basic Concepts and Definitions
6.2 Types of Duties
6.3 Valuation Rules
6.4 Computation of Assessable Value and Duties

1. Introduction to Cost Accounting

1.1. Introduction
1.2. Important Cost Accounting Terms
1.3. Elements of Cost
1.4. Classification of Cost
1.5. Preparation of Cost Sheet and Ascertainment of Profit

2. Cost Ascertainment – Elements of Cost

2.1 Material Costs
2.1.1 Procurement of Materials
2.1.2 Inventory Management and Control
2.1.3 Inventory Accounting and Valuation
2.1.4 Physical Verification, Slow and Non-moving Stock and Treatment of Losses
2.1.5 Scrap, Spoilage, Defectives and Wastages
2.2 Employee Costs
2.2.1 Time Keeping, Time Booking and Payroll
2.2.2 Principles and Methods of Remuneration and Incentive Schemes
2.2.3 Overtime and Idle Time
2.2.4 Employee Cost Reporting
2.2.5 Labour Turnover
2.3 Direct Expenses
2.3.1 Definition and Examples
2.3.2 Nature of Direct Expense
2.3.3 Direct vs. Indirect Expense
2.4 Overheads
2.4.1 Collection, Classification, Apportionment and Allocation of Overheads
2.4.2 Absorption and Treatment of Over or Under Absorption of Overheads
2.4.3 Reporting of Overhead Costs

3. Cost Accounting Standards (CAS 1 to CAS 24)
4. Cost Book Keeping

4.1 Cost Book – Keeping
4.2 Reconciliation of Costing and Financial Profit
4.3 Integrated Accounting System

5. Methods of Costing

5.1 Job Costing
5.2 Batch Costing
5.3 Contract Costing
5.4 Process Costing – Normal and Abnormal Losses, Equivalent Production, Inter-process
Profit, Joint and By Products
5.5 Operating Costing – Transport, Hotel and Healthcare

6. Cost Accounting Techniques

6.1 Marginal Costing
6.1.1 Concept of Marginal Cost and Marginal Costing
6.1.2 Absorption Costing vs. Marginal Costing
6.1.3 CVP Analysis
6.1.4 Margin of Safety
6.1.5 Application of Marginal Costing for Decision Making
6.2 Standard Costing and Variance Analysis
6.2.1 Concept of Standard Cost and Standard Costing
6.2.2 Advantages and Limitations
6.2.3 Computation and Analysis of Variances (Material and Labour Costs only)
6.3 Budget and Budgetary Control
6.3.1 Concepts, Types of Budget
6.3.2 Budgetary Control vs. Standard Costing
6.3.3 Advantages and Limitations
6.3.4 Preparation of Budgets

1. Introduction

1.1 Scope
1.2 Characteristics of Modern Operations Functions
1.3 Recent Trends in Production and Operations Management

2. Operations Planning

2.1 Demand Forecasting
2.2 Capacity Planning
2.3 Facility Location and Layout
2.4 Resource Aggregate Planning
2.5 Material Requirements Planning
2.6 Manufacturing Resource Planning
2.7 Economic Batch Quantity

3. Designing of Operational Systems and Control

3.1 Product Design
3.2 Process Design and Selection
3.3 Product Life Cycle
3.4 Process Planning and Selection
3.5 Design Thinking

4. Application of Operation Research – Production Planning and Control

4.1 Introduction
4.2 Production Planning and Control
4.3 Control Measures – Time & Motion Study, Method Study, Work Study
4.4 Optimum Allocation of Resources – LPP
4.5 Transportation
4.6 Job Evaluation, Job Allocation – Assignment
4.7 Scheduling and Queuing Models
4.8 Simulation and Line Balancing
4.9 Lean Operations
4.10 JIT

5. Productivity Management and Quality Management

5.1 Measurement Techniques of Productivity Index
5.2 Productivity of Employee
5.3 Productivity of Materials
5.4 Productivity of Management Resources
5.5 Productivity of other factors
5.6 Productivity Improving Methods
5.7 TQM Basic Tools and Certification
5.8 ISO Standards Basics

6. Project Management, Monitoring and Control

6.1 Project Planning
6.2 Project Life Cycle
6.3 Gantt Charts
6.4 PERT and CPM
6.5 Basics of MS Project
The Institute of Cost Accountants of India
CMA Syllabus 2022

7. Economics of Maintenance and Spares Management

7.1 Breakdown Maintenance
7.2 Preventive Maintenance
7.3 Routine Maintenance
7.4 Replacement of Machine
7.5 Spare Parts Management

8. Introduction

8.1 Introduction to Strategy and Strategic Management
8.2 Alignment of Strategy with Vision, Mission and Culture
8.3 Objectives of Strategic Management
8.4 Organisational Genomics
8.5 Alignment with Individual Level Objective and Organisational Objective
8.6 Balanced Score Card
8.7 EVA – Driven Responsibility Accounting

9. Strategic Analysis and Strategic Planning

9.1 Analysis of Business Environment
9.2 PESTEL, Value Chain and Porter’s 5 Framework
9.3 SWOTC Analysis (Industry Sector and Company)
9.4 Portfolio Analysis and BCG Matrix
9.5 Stages in Strategic Planning
9.6 Alternatives in Strategic Planning

10. Formulation and Implementation of Strategy

10.1 Strategy Formulation – Production Strategy, Supply Chain Strategy, Marketing
Strategy, Human Resource Strategy
10.2 Structuring of Organisation for Implementation of Strategy
10.3 Strategic Business Unit
10.4 Business Process Re-engineering
10.5 Management Control, Operational Control and Task Control
10.6 Goal Congruence

11. Digital Strategy

11.1 Introduction
11.2 Digital Transformation for Competitive Advantages
11.3 Innovations and Disruptive Business Models
11.4 Emerging Trends in Digital and Social Marketing Strategies

1. Accounting for Shares and Debentures

1.1 Issue of Shares, Forfeiture of Shares, Rights Issue, Bonus Issue, Sweat Equity Shares,
Employee Stock Option and Stock Purchase Scheme, Buy-back of Shares
1.2 Redemption of Preference Shares, Issue and Redemption of Debentures
1.3 Underwriting of Securities

2. Preparation of the Statement of Profit and Loss and Balance Sheet (As per Schedule III of
Companies Act, 2013)

2.1 Statement of Profit and Loss (as per Division I of Schedule III)
2.2 Balance Sheet (as per Division I of Schedule III)
2.3 An Introduction to Division II of Schedule III

3. Cash Flow Statement
4. Accounts of Banking, Electricity and Insurance Companies
5. Accounting Standards

5.1 Conceptual Framework
5.2 Specified Ind AS with Comparative Provisions under AS
5.2.1 Presentation of Financial Statements (Ind AS 1)
5.2.2 Inventories (Ind AS 2)
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5.2.3 Events after the Reporting Period (Ind AS 10)
5.2.4 Employee Benefits (Ind AS 19)
5.2.5 Earnings per Share (Ind AS 33)
5.2.6 Provisions, Contingent Liabilities and Contingent Assets (Ind AS 37)

6. Basic Concepts of Auditing

6.1 Nature, Scope, Objectives and Significance of Auditing
6.2 Brief Introduction to Auditing Standards
6.3 Audit Engagement, Audit Program, Audit Documentations, Audit Evidence, Audit
Note Book
6.4 Audit Risk, Assessment of Audit Risk, Internal Control, Internal Check, Internal Audit –
Industry Specific, Interplay between Internal Audit and Statutory Audit, Risk Based Internal
Audit, Internal Financial Control and Internal Control over Financial Reporting
6.5 Audit Sampling, Audit Techniques and Analytical Procedure (Including Scrutiny of
Trial Balance and Grouping Schedules)
6.6 Application of Technology in Audit and Audit Trail

7. Provisions Relating to Audit under Companies Act, 2013

7.1 Statutory Audit – Auditor’s Eligibility, Qualifications, Disqualifications, Appointment,
Resignation, Rotation, Remuneration, Removal, Rights and Duties, Liabilities, Branch
Audit and Joint Audit, Role of Audit Committee
7.2 Cost Audit
7.3 Secretarial Audit
7.4 Audit of Various Items of Financial Statements (with Special Emphasis on Audit of
Inventory and PPE)
7.5 Audit Report, Report vs. Certificate, Reporting Requirements under Companies Act,
Contents of the Reports and Modifications in the Report (with Coverage of CARO)
7.6 Report on Internal Financial Control over Financial Reporting
7.7 National Financial Reporting Authority (NFRA)

8. Auditing of Different Types of Undertakings

8.1 Audit of Educational Institutions
8.2 Audit of Healthcare Organisations
8.3 Audit of Organisations in Hospitality Sector
8.4 Audit of Banks
8.5 Audit of Co-operative Societies
8.6 Audit of Local Self-Government



1. Fundamentals of Financial Management

1.1 Introduction to Financial Management
1.1.1 Fundamentals
1.1.2 Objective of Financial Management
1.1.3 Scope and Functions of Financial Management
1.1.4 Profit Optimisation and Value Maximisation Principle
1.1.5 Dynamic Role of a CFO in Emerging Business Environment
1.2 Time Value of Money
1.2.1 Rationale
1.2.2 Techniques
1.2.3 Future Value and Present Value of a Single Cash Flow
1.2.4 Annuity and Perpetuity
1.2.5 Compound Annual Growth Rate (CAGR)
1.2.6 Practical Applications
1.3 Risk and Return
1.3.1 Various Connotations of Return
1.3.2 Ex–ante and Ex–post Return
1.3.3 Types of Risks
1.3.4 Calculation of Return and Risk
1.3.5 Capital Asset Pricing Model

2. Institutions and Instruments in Financial Markets

2.1 Financial Institutions
2.1.1 Reserve Bank of India
2.1.2 Commercial Banks
2.1.3 NBFCs
2.1.4 Insurance Companies
2.1.5 Pensions Funds
2.1.6 Alternative Investment Funds (AIF): Angels, Venture Capital, Private Equity
and Hedge Funds
2.1.7 SEBI Regulations (including AIF Circulars)
2.2 Capital Market
2.2.1 Primary and Secondary Markets and its Instruments
2.2.2 Compulsory / Optionally Convertible Financial Instruments, Deep Discount
2.2.3 Euro Bond and Masala Bond
2.2.4 Rolling Settlement, Clearing House Operations
2.2.5 Dematerialization, Re-materialisation and Depository System
2.2.6 Initial Public Offering (IPO), Follow on Public Offer (FPO), Book Building,
Green-shoe Option
2.2.7 Offer for Sale, Private Placement and Preferential Allotment
2.2.8 Insider Trading
2.2.9 Credit Rating – Credit Rating Methods and Rating Agencies in India
2.3 Money Market
2.3.1 Call Money
2.3.2 Treasury Bills
2.3.3 Commercial Bills
2.3.4 Commercial Paper
2.3.5 Certificate of Deposits
2.3.6 Repo, Reverse Repo
2.3.7 Promissory Notes and Government Securities

3. Tools for Financial Analyses

3.1 Comparative, Common-Size Financial Statements and Trend Analysis
3.2 Financial Ratio Analysis
3.2.1 Financial Ratio Analysis
3.2.2 Financial Scores: Altman’s Z Score, Beneish M Score, Piotroski F Score
3.3 Fund Flow Statement – Preparation and Analysis
3.4 Cash Flow Statement – Preparation and Analysis

4. Sources of Finance and Cost of Capital

4.1 Sources of Finance
4.1.1 Long Term and Short Term
4.1.2 Financing a Start-up – Alternative Investment Funds and Crowd Funding
4.1.3 Cost of Capital
• Meaning of Cost of Capital
• Computation of Weighted Average Cost of Capital

5. Capital Budgeting

5.1 Introduction to Capital Budgeting
5.2 Identification of Cash Flows and Forecasting
5.3 Cash Flow vs. Profit of the Firm
5.4 Evaluation Techniques – Non-discounted and Discounted Cash Flow Methods
5.5 Hurdle Rate in a Conglomerate Environment

6. Working Capital Management

6.1 Introduction to Working Capital Management
6.1.1 Theoretical Underpinnings
6.1.2 Planning of Working Capital
6.1.3 Working Capital Cycle and Cash Cycle
6.1.4 Estimation of Working Capital Requirement
6.2 Receivable Management
6.3 Payable Management
6.4 Inventory Management
6.5 Management of Cash and Cash Equivalents
6.5.1 Motives of holding Cash
6.5.2 Objectives of Cash Management
6.5.3 Models of Cash Management
6.6 Financing Working Capital
6.6.1 Monthly Cash Flow Forecast and Analysis
6.6.2 Maximum Permissible Bank Finance (MPBF) Calculation
6.6.3 Commercial Paper
6.6.4 Export Financing – Pre-shipment and Post-shipment Packing Credit

7. Financing Decisions of a Firm

7.1 Capital Structure and Capital Stacking
7.1.1 Collateral
7.1.2 Covenant (Financial and Non-financial), Negative Covenants and Cross
7.1.3 Capital Stacking and Risk Analysis
7.1.4 Senior and Junior Debt Management
7.1.5 Capital Structure Theories
7.2 Leverage Analyses and EBIT – EPS Analysis
7.3 Dividend Decisions and Dividend Theories

8. Introduction to Data Science for Business Decision-making

8.1 Meaning, Nature, Properties, Scope of Data
8.2 Types of Data in Finance and Costing
8.3 Digitization of Data and Information
8.4 Transformation of Data to Decision Relevant Information
8.5 Communication of Information for Quality Decision-making
8.6 Professional Skepticism regarding Data
8.7 Ethical Use of Data and Information

9. Data Processing, Organisation, Cleaning and Validation

9.1 Development of Data Processing
9.2 Functions of Data Processing
9.3 Data Organization and Distribution
9.4 Data Cleaning and Validation

10. Data Presentation: Visualisation and Graphical Presentation

10.1 Data Visualisation of Financial and Non-financial Data
10.2 Objective and Function of Data Presentation
10.3 Data Presentation Architecture
10.4 Dashboard, Graphs, Diagrams, Tables, Report Design
10.5 Tools and Techniques of Visualisation and Graphical Presentation

11. Data Analysis and Modelling

11.1 Process, Development and Types of Data Analysis
11.2 Data Mining and Implementation of Data Analysis
11.3 Analytics and Model Building (Descriptive, Diagnostic, Predictive, Prescriptive)
11.4 Standards for Data Tagging and Reporting (XML, XBRL)
11.5 Cloud Computing, Business Intelligence, Artificial Intelligence, Robotic Process
Automation and Machine Learning
11.6 Model vs. Data-driven Decision-making

1. Introduction to Management Accounting

1.1. Conceptual Understanding
1.2. Relationship between Management Accounting and Cost Accounting
1.3. Role of a Management Accountant in Modern Business World

2. Activity Based Costing

2.1 Traditional Cost System
2.2 Definition and Meaning of Activity Based Costing (ABC)
2.3 Steps in ABC System
2.4 Cost Pools and Cost Drivers
2.5 Merits and Demerits of ABC System
2.6 Activity Based Information and Decision Making

3. Marginal Costing

3.1 Concept
3.2 Cost-Volume-Profit Analysis
3.3 Break-Even Charts and Profit Charts
3.4 Multiple Product Break Even Analysis
3.5 Differential Cost Analysis
3.6 Marginal Costing Vs. Absorption Costing (advanced applications)

4. Applications of Marginal Costing in Short Term Decision Making

4.1 Pricing Decision
4.2 Make or Buy decisions
4.3 Accept an Order or Reject
4.4 Optimum Utilization of Factors of Production [Limiting Factor Analysis]
4.5 Replacement Decision
4.6 Evaluation of Alternative Choices
4.7 Subcontracting and Ancillarisation
4.8 Expansion of Business
4.9 Shutdown or Continue

5. Transfer Pricing

5.1 Concept
5.2 Methods and Techniques
5.3 Divisional Performance and Problem of Goal Congruence
5.4 Determination of Inter-departmental or Inter-company Transfer Price
5.5 International Transfer Pricing

6. Standard Costing and Variance analysis

6.1 Material and Labour Variances
6.2 Variable Overhead Variance
6.3 Fixed Overhead Variance
6.4 Sales Variance
6.5 Interpretation of Variances and Inferences Drawn

7. Forecasting, Budgeting and Budgetary Control

7.1 Introduction
7.2 Rationale for Budgets
7.3 General principles in the Budgetary process
7.4 Formulation of various types of Budgets
7.4.1 Fixed and Flexible Budgets
7.4.2 Functional Budgets
7.4.3 Master Budget
7.4.4 Cash Budget
7.4.5 Zero Base Budget
7.4.6 Performance Budget
7.4.7 Programme Budget
7.4.8 Rolling Budget
7.4.9 Outcome Budget
7.4.10 Budgetary Control
• Rationale for Budgetary Control
• Importance and Significance of Budgetary Control
• Linkage of Budgetary Control with Standard Costing and Profit
• Benchmarking and Key Success Factor
• Interpretation of Under and Over Performance and Inferences Drawn
for Corrective Actions

8. Divisional Performance Measurement

8.1 Organizations with Multiple divisions, Benefits of Decentralization
8.2 DuPont Analysis
8.3 Divisional Performance Measurement tools – ROI, Residual Income
8.4 Economic Value Added – Definition, EVA Centre, EVA Drivers
8.5 Introduction to Learning Curve
8.6 Balanced Score Card for Variable Pay Management

9. Responsibility Accounting

9.1 Concept of Cost, Revenue, Profit and Responsibility Centres
9.2 Preparation of Responsibility Report

10. Decision Theory

10.1 Decision Making under Certainty
10.2 Decisions Making under Risk
10.3 Decision Making under Uncertainty
10.4 Decision Tree


The CMA Intermediate Course is a level of the CMA program offered by ICMAI that builds on the foundational knowledge gained in the CMA Foundation Course. It provides more in-depth understanding of cost and management accounting concepts.
Candidates who have completed the CMA Foundation Course or have a graduation degree (excluding Fine Arts) from a recognized university are eligible to enroll.

Group – I
Paper 5: Business Laws And Ethics
Paper 6: Financial Accounting
Paper 7: Direct And Indirect Taxation
Paper 8: Cost Accounting
Group – II
Paper 9: Operations Management And Strategic Management
Paper 10: Corporate Accounting And Auditing
Paper 11: Financial Management And Business Data Analytics
Paper 12: Management Accounting

The examination is typically conducted in a descriptive format, requiring candidates to provide written answers.
The examination is usually conducted twice a year, in June and December.
You need to secure a certain percentage of marks in each paper and an overall aggregate to pass.
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