Higher Education

Cornerstones of Managerial Accounting, 5th Edition

  • Maryanne M. Mowen Oklahoma State University
  • Don R. Hansen Oklahoma State University
  • Dan L. Heitger Miami University - Oxford, Ohio
  • ISBN-10: 1133943985  |  ISBN-13: 9781133943983
  • 800 Pages
  • Previous Editions: 2012, 2009, 2008
  • © 2014 | Published
  • College Bookstore Wholesale Price = $288.75
  • Newer Edition Available
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Cornerstones Story

Get your students where they need to be with CORNERSTONES.

Cornerstones is the only text that delivers a truly unique learning system through the entire journey of introductory accounting—ensuring they will leave the course with the needed elements to be future business leaders. Students are guided through:

Building a Strong Foundation - The unique Cornerstones approach gets them through the fundamentals faster so that they can transition to analyzing and applying concepts.

Understanding the Meaning Behind the Numbers - Rather than focusing on concepts in isolation, students should understand accounting as an interrelated system and how the end result changes based on how the numbers affect each other.

Seeing the Real World Connection - The real world coverage in Cornerstones provides students with the valuable business context they need to make this content come to life.

Creating a Successful Future in Business - Students are now given the tools to bring their knowledge full circle and practice making good business decisions.

About

Overview

Get your students where they need to be with CORNERSTONES OF MANAGERIAL ACCOUNTING. Cornerstones delivers a truly unique learning system that is integrated through the entire introductory managerial accounting journey — ensuring students will leave the course with the knowledge they need to be future business leaders. Students are guided through: Building A Strong Foundation: Students need to build a strong foundation of the fundamentals before they can move forward in this course. The unique Cornerstones approach gets them through the fundamentals FASTER so that they can transition to analyzing and applying concepts. Understanding Relationships: Rather than focusing on concepts in isolation, students should understand accounting as a system and recognize how the end result changes based on how the numbers affect each other. CORNERSTONES aids students in this step as an important part in training them to be good decision makers. Making Decisions: Armed with the knowledge they have gained from working through the other aspects of the Cornerstones approach, students are now given the tools to bring their knowledge full-circle and practice making good business decisions. Students love this approach because it presents materials the way they learn. Instructors love it because it gets students to master the foundations more quickly and allows more time to learn and apply the analysis and decision making of accounting. Get There with Cornerstones! Available with InfoTrac® Student Collections http://gocengage.com/infotrac.

Features and Benefits

  • Carefully crafted in response to studies on student reading behavior and market research, the innovative Cornerstones approach has been proven to increase student engagement and preparedness while improving grades. Each major concept is illustrated in a Cornerstone, which supports accounting concepts with a compelling example, followed by step-by-step calculations to solve a business problem, and finally a link to a brief video segment that reinforces and summarizes key concepts and procedures. In addition, end-of-chapter Cornerstones Exercises refer to Cornerstones in the chapter, allowing students to consider relevant examples when completing assignments, something they highly value and that can help them become more independent learners as they work.
  • Each chapter opens with an Experience Managerial Decisions vignette that shows how real companies — including Hard Rock Cafe, Cold Stone Creamery, Washburn Guitars, Google, Apple, and more — are using accounting information to make better decisions. Featured companies are referenced throughout the chapter to emphasize the importance of managerial accounting concepts in the real world, and the vignettes are supported by engaging videos in the Experience Accounting Video Series.
  • Included in every chapter, a Here's the Real Kicker continuing case (based on author interviews with Stillwater Designs, a company that makes dynamic speaker systems and audio gear) features interesting anecdotes and engaging examples to show how real financial information is used to make strong business decisions in a working business context. Corresponding end-of-chapter Kicker Problems allow students to work with actual financial data and address real situations facing the company.
  • To succeed in today's business climate, students need to be able to analyze business situations thoughtfully and make informed, ethical decisions. The text weaves Ethical Decisions features throughout the chapters to encourage students to develop these essential skills and consider the ethical implications of their actions in every situation.
  • Engage your students with the Experience Accounting Video Series. These 14 videos focus on how progressive companies in the manufacturing and service sectors—including Hard Rock Cafe, Cold Stone Creamery, Washburn Guitars, Google, Apple, and more—incorporate managerial accounting to fuel better business performance. Critical thinking exercises accompany each video to test student comprehension and stimulate classroom discussion.
  • CengageNOW is a powerful course management and online homework tool that provides control and customization to optimize the student learning experience and produce desired outcomes. CengageNOW offers a variety of advantages, including: Easy-to-use course management options that offer flexibility and continuity from one semester to another; Robust assignment options that allows for maximum instructor control; Smart Entry, which reduces typos and errors to help students do their best work and understand the concept behind each answer; The ability to analyze student work from the gradebook and generate reports on learning outcomes.

Table of Contents

1. Introduction to Managerial Accounting.
2. Basic Managerial Accounting Concepts.
3. Cost Behavior.
4. Cost-Volume-Profit Analysis: A Managerial Planning Tool.
5. Job-Order Costing.
6. Process Costing.
7. Activity-Based Costing and Management.
8. Absorption and Variable Costing, and Inventory Management.
9. Profit Planning.
10. Standard Costing: A Managerial Control Tool.
11. Flexible Budgets and Overhead Analysis.
12. Performance Evaluation and Decentralization.
13. Short-Run Decision-Making: Relevant Costing.
14. Capital Investment Decisions.
15. Statement of Cash Flows.
16. Financial Statement Analysis.

What's New

  • Addition of "Why" to Cornerstone Examples: Each Cornerstone now includes a "Why" portion, reinforcing for students the reasons behind doing the calculations.
  • Additional conceptual material in end-of-chapter: Additional Conceptual Connection questions are identified in the end-of-chapter content. These questions ask students to go beyond the calculations and articulate the conceptual context behind the work they've just completed and how that may impact a company's decision-making.
  • Additional Excel Spreadsheet Templates: To give students additional practice using Excel to complete their homework, each chapter will have an average of two additional templates.
  • Author-revised feedback: CengageNOW helps students get further outside the classroom and keeps them from getting stuck by providing them with meaningful, written feedback as they work. This edition, that feedback has been fully revised by the author team to guide students and to be consistent with material presented in the text.
  • Post-Submission Feedback: Also available in CengageNOW is the ability to show the full solution in addition to newly added source calculations to enhance the learning process. Now students can see where they may have gone wrong so that they can correct it through further practice.
  • NEW ANIMATED ACTIVITIES: Animated Activities in CengageNOW are the perfect pre-lecture assignment to expose you to concepts before class! These illustrations visually guide students through selected core topics using a realistic company example to illustrate how the concepts relate to the everyday activities of a business. Animated Activities are assignable or available for self-study and review.
  • NEW BLUEPRINT CONNECTIONS: Blueprint Connections in CengageNOW are shorter extensions of the Blueprint Problems that build upon concepts covered and introduced within the Blueprint Problems. These scenario-based exercises help reinforce your knowledge of the concept, strengthen your analytical skills and are useful as in-class activities or as homework/review after lecture and before the exam.
  • NEW CONCEPTUAL CONVERSION QUESTIONS: End-of-chapter questions or requirements within larger questions that were previously short answer have been converted to be assignable & gradable within CengageNOW.
  • InfoTrac® Student Collections are specialized databases expertly drawn from the Gale Academic One library. Each InfoTrac® Student Collection enhances the student learning experience in the specific course area related to the product. These specialized databases allow access to hundreds of scholarly and popular publications - all reliable sources - including journals, encyclopedias, and academic reports. Learn more and access at: http://gocengage.com/infotrac.

Alternate Formats

Choose the format that best fits your student's budget and course goals

To customize your learning solution, contact your Learning Consultant for more information.

  • Looseleaf Edition

    ISBN-10: 1285055128 | ISBN-13: 9781285055121

    List Price = $244.95  | CengageBrain Price = $244.95  | College Bookstore Wholesale Price = $183.75

Learning Resource Bundles

Choose the textbook packaged with the resources that best meet your course and student needs. Contact your Learning Consultant for more information.

Printed Text + CengageNOW Instant Access

ISBN-10: 1285579232  | ISBN-13: 9781285579238

List Price = $396.95  | CengageBrain Price = $396.95  | College Bookstore Wholesale Price = $298.75

This Bundle Includes:

  • Cornerstones of Managerial Accounting
    List Price = $384.95  | CengageBrain Price = $384.95  | College Bookstore Wholesale Price = $288.75
  • CengageNOW™, 1 term (6 months) Instant Access
    List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00


Printed Text + CengageNOW with eBook on Blackboard® Instant Access

ISBN-10:  1285579224  | ISBN-13:  9781285579221

List Price = $396.95  | College Bookstore Wholesale Price = $298.75

This Bundle Includes:

  • Cornerstones of Managerial Accounting
    List Price = $384.95  | CengageBrain Price = $384.95  | College Bookstore Wholesale Price = $288.75
  • CengageNOW on Blackboard®, 1 term (6 months) Instant Access
    List Price = $134.00  | College Bookstore Wholesale Price = $134.00


Printed Text + LMS Integrated for CengageNOW™, 1 term Instant Access

ISBN-10:  1305519752 | ISBN-13:  9781305519756

List Price = $396.95  | CengageBrain Price = $396.95  | College Bookstore Wholesale Price = $298.75

This Bundle Includes:

  • Cornerstones of Managerial Accounting
    List Price = $384.95  | CengageBrain Price = $384.95  | College Bookstore Wholesale Price = $288.75
  • LMS Integrated for CengageNOW™, 1 term Instant Access
    List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00


Efficacy and Outcomes

Reviews

"The Cornerstone examples are excellent and helpful for the students."

— Courtney Greer Naismith, Collin College

"I love the cornerstone videos, the integrative multi-chapter assignments and the spreadsheet templates. The course I teach is offered either online or hybrid and these components lend themselves extremely well to this pedagogy."

— Roger Lirely, The University of Texas at Tyler

"Most texts make too many 'exhibit' references throughout the body of each chapter which can cause students to lose focus and eventually cause frustration. The Cornerstones approach removes this distraction from the body of the text and instead highlights the computational aspect of each chapter visually by using the Cornerstones."

— Amanda Farmer, University of Georgia

"It is an admirable approach. Students struggle with understanding and completing accounting homework. The Cornerstones approach acknowledges this fact and squarely takes on this problem."

— Nancy Snow, University of Toledo

"Students don't really read the text. They'll go to it and read if they're struggling with something, to look for help in that area. This is the priority of issues with trying to accommodate students' learning. With Cornerstones, it gives the students the easiest option to get help with the step by step approach."

— Deb Cosgrove, University of Nebraska - Lincoln

"It supports student learning in the beginning by giving them direction, then as they progress leads them to be more independent and learn to apply the concepts and knowledge. This should prepare them for testing and real-world better than if they are always given the appropriate learning objective to apply."

— Barbara Woods Mcelroy, Susquehanna University

"The book is used by students as a tool in their quest to complete their homework...As they successfully use these Cornerstones to complete their homework, they gain confidence in the material covered and will end up completing more if not all of the homework assigned!"

— Anna M. Boulware, St. Charles Community College

"I have recently tried the problems in Cornerstones and found that the step-by-step examples that are placed within the text helped extremely...I compared the chapters in Cornerstones to our textbook and felt that Cornerstones was much easier to understand by just reading the chapter."

— Katie Hogan, Student, University of Cincinnati

"The 'Cornerstones' were very helpful in working through the homework..."

— James Nissen, Student, Arizona State University

"I found that after reading the material, the 'Cornerstones' helped reinforce the main points and overall understanding... The professor can spend more time teaching other concepts and different examples."

— Sarah Earnhart, Student, Eastern Illinois University

"I understood the material better after reading Cornerstones. Cornerstones presents information the way it should be learned, in a logical manner. Neat, concise, and all facts are thoroughly explained."

— Seth-David Wilson, Student, University of Massachusetts

"It was easy to read and get through...with the online practice problems and text, it helps students learn even more efficiently."

— Jennifer Han, Student, California Polytechnic University - Pomona

"With my current textbook, it is hard to find valuable material. With Cornerstones, finding important material is much quicker and a lot more effective."

— Joshua Marks, Student, St. Norbert College

Supplements

All supplements have been updated in coordination with the main title. Select the main title's "About" tab, then select "What's New" for updates specific to title's edition.

For more information about these supplements, or to obtain them, contact your Learning Consultant.

Instructor Supplements

Instructor’s Resource CD-ROM  (ISBN-10: 1285055098 | ISBN-13: 9781285055091)

Place all of the key teaching resources you need at your fingertips with this all-in-one resource, which includes everything you need to plan, teach, grade, and assess student understanding and progress. This CD includes the Solutions Manual, Test Bank in Microsoft® Word and ExamView®, Microsoft PowerPoint® slides and Instructor’s Manual. All resources on the IRCD are also available on the password protected portion of the text’s web site.

Solutions Manual  (ISBN-10: 1285055071 | ISBN-13: 9781285055077)

Author-written and carefully verified multiple times to ensure accuracy and consistency with the text, the Solutions Manual contains answers to all Discussion Questions, Multiple-Choice Exercises, Cornerstone Exercises, Exercises, Problems, and Cases that appear in the text. These solutions help you easily plan, assign, and efficiently grade assignments. All solutions are given in simplified Excel spreadsheets and also available in PDF format. The Solutions Manual is available on the Instructor's Resources CD-ROM and on the password protected portion of the text's website.

CengageNOW™, 1 term (6 months) Instant Access  (ISBN-10: 1285163842 | ISBN-13: 9781285163840)

Ensure that your students have the understanding they need of the accounting procedures and concepts they need to know with CengageNOW. This integrated, online course management and learning system combines the best of current technology to save to time in planning and managing your course and assignments. You can reinforce comprehension with customized student learning paths and efficiently test and automatically grade assignments with reports that correspond to AACSB, AICPA, and IMA standards. This online instant access code allows students to access CengageNOW. For your convenience, CengageNOW is also compatible with WebCT® and Blackboard®.

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

CengageNOW with Cengage Learning Write Experience 2.0 Powered by MyAccess Instant Access  (ISBN-10: 128517819X | ISBN-13: 9781285178196)

List Price = $144.00  | CengageBrain Price = $144.00  | College Bookstore Wholesale Price = $144.00

CengageNOW on Blackboard®, 1 term (6 months) Instant Access  (ISBN-10: 1285163885 | ISBN-13: 9781285163888)

List Price = $134.00  | College Bookstore Wholesale Price = $134.00

Cengage Learning Write Experience 2.0 Powered by MyAccess with eBook, 1 term (6 months) Instant Access  (ISBN-10: 1285178246 | ISBN-13: 9781285178240)

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

LMS Integrated for CengageNOW™, 1 term Instant Access  (ISBN-10: 130538881X | ISBN-13: 9781305388819)

With its engaging learning and assessment tools, CengageNOW supports the entire student workflow, from motivation to mastery. For instructors, CengageNOW provides control and customization with the opportunity to tailor the learning experience to improve outcomes.

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

Student Supplements

CengageNOW™, 1 term (6 months) Instant Access  (ISBN-10: 1285163842 | ISBN-13: 9781285163840)

CengageNOW is an easy-to-use online resource that helps you study in less time to get the grade you want. This integrated system helps you efficiently manage and complete homework assignments from the text. Take pre-tests to determine the areas that require more practice and direct you to review tutorials, demonstration exercises, videos, eBook content, and fun accounting games to help learn the material, and get feedback on post-tests that check your comprehension afterward. This instant access code allows access to CengageNOW.

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

CengageNOW with Cengage Learning Write Experience 2.0 Powered by MyAccess Instant Access  (ISBN-10: 128517819X | ISBN-13: 9781285178196)

Succeed in your accounting course with CengageNOW™, a powerful online homework tool that optimizes your learning experience. This interactive system generates a diagnostic Personalized Study Plan (with a chapter-specific Pre-test, Study Plan, and Post-test) to help you master concepts, prepare for exams, and get a better grade. You'll also receive access to Write Experience 2.0, an innovative system that scores your writing instantly and provides you with detailed revision goals and feedback to put you on track for writing excellence.

List Price = $144.00  | CengageBrain Price = $144.00  | College Bookstore Wholesale Price = $144.00

CengageNOW on Blackboard®, 1 term (6 months) Instant Access  (ISBN-10: 1285163885 | ISBN-13: 9781285163888)

Succeed in your accounting course with CengageNOW™, a powerful online homework tool that optimizes your learning experience. This interactive system generates a diagnostic Personalized Study Plan (with a chapter-specific Pre-test, Study Plan, and Post-test) to help you master concepts, prepare for exams, and get a better grade.

List Price = $134.00  | College Bookstore Wholesale Price = $134.00

Cengage Learning Write Experience 2.0 Powered by MyAccess with eBook, 1 term (6 months) Instant Access  (ISBN-10: 1285178246 | ISBN-13: 9781285178240)

Successfully complete your accounting writing assignments with Write Experience 2.0. This innovative system scores your writing instantly and provides you with detailed revision goals and feedback to put you on track for writing excellence.

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

LMS Integrated for CengageNOW™, 1 term Instant Access  (ISBN-10: 130538881X | ISBN-13: 9781305388819)

Have the tools you need to be successful A variety of tools are available in CengageNOW™, all combined in one easy-to-use resource designed to improve your grades. Some resources get you prepared for class and help you succeed on homework, and others show you specific areas where you can work to improve. Stay ahead of the course requirements CengageNOW shows you the path through your course—from first day through finals. Once you know what’s expected, it’s easier to complete your assignments. Gain understanding that stays with you Do well on tests as well as the assignments! Bridge the gap between homework and tests by using CengageNOW to truly understand the material. Self-study and review materials keep you on the right track, to make sure your understanding goes beyond memorization. Set yourself up for better grades Why wonder where you stand? CengageNOW includes trackable assignments and grades. It tells you what to do to improve your grade, and gives you the tools to accomplish it! Student Testimonials: “I love the check your work option. Really, when you’re having a hard time figuring out an answer, sometimes working backwards is the best way to understand conceptually what you’re doing wrong.” - Brad Duncan University of Utah “I liked the videos because they were short enough to teach me and because they were short, I was able to find time to watch them again and again if I did not understand the first time.” - Jennifer Wright Northeast Wisconsin Technical College CTA: Ask your instructor about CengageNOW for this course.

List Price = $134.00  | CengageBrain Price = $134.00  | College Bookstore Wholesale Price = $134.00

Bundle: Text + CengageNOW™, 1 term Printed Access Card  (ISBN-10: 1285579259 | ISBN-13: 9781285579252)

Students save money by purchasing this bundle which includes Cornerstones of Managerial Accounting, 5th Edition and access to CengageNOW™ via Printed Access Card.  CengageNOW provides one easy-to-use resource designed to improve your grades. Some resources get you prepared for class and help you succeed on homework, and others show you specific areas where you can work to improve.

List Price = $396.95  | College Bookstore Wholesale Price = $298.75

Meet the Author

Author Bio

Maryanne M. Mowen

Dr. Maryanne M. Mowen is Associate Professor Emerita of Accounting at Oklahoma State University. She currently teaches online classes in cost and management accounting for Oklahoma State University. She received her Ph.D. from Arizona State University. Dr. Mowen brings a unique interdisciplinary perspective to teaching and writing in cost and management accounting, with degrees in history and economics. She has taught classes in ethics and the impact of the Sarbanes-Oxley Act on accountants. Her scholarly research focuses on areas of management accounting, behavioral decision theory, and compliance with the Sarbanes-Oxley Act. She has published articles in journals, such as Decision Science, The Journal of Economics and Psychology, and The Journal of Management Accounting Research. Dr. Mowen has served as a consultant to mid-sized and Fortune 100 companies and works with corporate controllers on management accounting issues. She is a member of the Northern New Mexico chapter of SCORE and serves as a counselor, assisting small and start-up businesses. Outside the classroom, she enjoys hiking, traveling, reading mysteries, and working crossword puzzles.

Don R. Hansen

Dr. Don R. Hansen is Professor Emeritus of Oklahoma State University. He has an undergraduate degree in mathematics from Brigham Young University. He received his Ph.D. from the University of Arizona in 1977. Dr. Hansen has published articles in both accounting and engineering journals, including The Accounting Review, The Journal of Management Accounting Research, Accounting Organizations and Society, Accounting Horizons, and IIE Transactions. He has served on the editorial board of The Accounting Review. His outside interests include family, church activities, reading, movies, and watching sports.

Dan L. Heitger

Dr. Dan L. Heitger is the Deloitte Professor of Accounting and Co-Director of the Center for Business Excellence at Miami University. He received his Ph.D. from Michigan State University and his undergraduate degree in accounting from Indiana University. He actively works with executives and students of all levels in developing and teaching courses in managerial accounting, business sustainability, risk management, stakeholder management, governance, and business reporting. He co-founded an organization that provides executive education for large international organizations. His interactions with business professionals, through executive education and the Center, allow him to bring a current and real-world perspective to his writing. His published research focuses on managerial accounting and risk management issues and has appeared in HARVARD BUSINESS REVIEW, BEHAVIORAL RESEARCH IN ACCOUNTING, ACCOUNTING HORIZONS, ISSUES IN ACCOUNTING EDUCATION, JOURNAL OF ACCOUNTANCY, and MANAGEMENT ACCOUNTING QUARTERLY. His outside interests include hiking with his family in the National Park system.

Videos & Market Research

VIDEOS

Experience Accounting Video Series for Managerial Accounting

Developed by co-author Dan Heitger from Miami University, these videos center on cutting-edge success, showing how progressive companies use managerial accounting to fuel better business performance.

This series features top companies, such as:

  • Hard Rock Café — Investments
  • BP — Process Costing
  • Cold Stone Creamery — Activity-Based Costing
  • And More!


These videos are available in CengageNOW and Aplia
or can be bundled with any Managerial Accounting or Cost Accounting textbook at no cost. View the Videos »

Cornerstones Videos for Financial & Managerial Accounting

Each “Cornerstone” in the book is accompanied by a short video clip that students may view online or download onto their portable video player. These videos are available in CengageNOW or on the Instructor Resource CD.

See an example of the Cornerstone Videos for financial accounting »
See an example of the Cornerstone Videos for managerial accounting »


STUDENT RESEARCH

Student Responses to Cornerstones

  • 100% said the Cornerstones are clear and easy to follow.
  • 95% said the Cornerstones would help them understand the material.
  • 90% would read and use the Cornerstones to complete their homework.

INSTRUCTOR RESEARCH

From Current Users of Cornerstones: The Cornerstones approach has been proven to work.

  • 80% of Cornerstones adopters like the Cornerstones textbook better than their previous text.
  • 57% of instructors said that after using Cornerstones, they spend less time inside and outside of class explaining computations and concepts to students as compared to the prior text in use.
  • 67% of instructors said after using Cornerstones, their students performed better on tests/exams.