We will describe the concept of decentralization, how it applies to businesses, and the pros and cons of a more decentralized organization from a centralized one. The course will cover general managerial accounting concepts necessary to study responsibility accounting, comparing and contrasting managerial accounting and financial accounting. The course will discuss the following : - what a responsibility accounting system looks like and the benefits of a responsibility accounting system. - the categorization of costs between direct costs and indirect costs and why this categorization between direct and indirect is useful for reporting financial data by department. - problems with allocating indirect costs to the proper departments and explain various methods for allocating indirect costs. - departmental income statement is and how to create a departmental income statement. - forecasted departmental income statement is and put together a forecasted departmental income statement. - other performance measures like return on investment (ROI) and a balance scorecard.