The Certified Management Accountant (CMA) designation is the most prestigious globalization certification. It would prepare an accountant to specialize in strategic management and financial decision-making roles. The subjects of the CMA syllabus will give detailed knowledge about the financial and non-financial areas of business management. This guide will take you through all areas of the CMA syllabus, outlining the topics that will be covered and the skills you will gain.
CMA Syllabus 2024: An Overview
The entire CMA syllabus is divided into three parts: foundation, intermediate, and final level. They target different aspects of management accounting and are done in a manner that is clear and detailed. The topics that are covered are very vast and important for the current business environment. Here is the detailed syllabus for CMA foundation, intermediate, and final level examinations.
CMA Syllabus for Foundation Level
Four papers are conducted in the CMA Foundation level examination. Here take a look at the below table which explains a list of CMA Foundation level papers.
| CMA Papers | Syllabus |
| 1 | Fundamentals of Economics & Management |
| 2 | Fundamentals of Accounting |
| 3 | Fundamentals of Law and Ethics |
| 4 | Fundamentals of Business Mathematics & Statistics |
CMA Intermediate Course Syllabus
CMA Intermediate syllabus is divided into two groups, Group I and Group II. Here look at the topics mentioned in the table below.
CMA Intermediate Course Syllabus Group – I
Four papers are conducted under CMA Intermediate course Group I. Let’s take a look at that.
| CMA Papers | Syllabus |
| 5 | Business Law and Ethics |
| 6 | Financial Accounting |
| 7 | Direct and Indirect Taxation |
| 8 | Cost Accounting |
CMA Intermediate Course Group II
CMA Intermediate Course Group II has also four examinations mentioned in the table below.
| CMA Papers | Syllabus |
| 9 | Operations Management and Strategic Management |
| 10 | Corporate Accounting and Auditing |
| 11 | Financial Management and Business Data Analytics |
| 12 | Management Accounting |
CMA Final Course Syllabus
The CMA Final Course syllabus is divided into Group III and Group IV. The topics that fall under this exam are of advanced level. Here are the topics mentioned in the table below.
CMA Final Course Syllabus Group III
Checkout the syllabus for CMA Final Course Group III.
| CMA Papers | Syllabus |
| 13 | Corporate and Economics Law |
| 14 | Strategic Financial Management |
| 15 | Direct Tax Laws and International Taxation |
| 16 | Strategic Cost Management |
CMA Final Course Syllabus Group IV
The syllabus for CMA Final Course is also divided into 4 papers. Here is the table that explains the four exams of the CMA Final Course.
| CMA Papers | Syllabus |
| 17 | Cost and Management Audit |
| 18 | Corporate Financial Accounting |
| 19 | Indirect Tax Laws and Practice |
| 20 | 20 A: Strategic Performance Management and Business Valuation |
| 20 B: Risk Management in Banking and Insurance | |
| 20 C: Entrepreneurship and Startup |
CMA Syllabus for Financial Planning, Performance, and Analytics
Part A of the CMA syllabus focuses on financial reporting, planning, performance management, and application of analytics in making business decisions. This will be a very essential segment of the course for candidates to understand what aspects of finance drive the decisions of businesses.
Section A: External Financial Reporting Decisions
- Financial Statements: It refers to how financial statements are prepared and analyzed under different accounting standards.
- Recognition, Measurement, and Valuation: The principles that govern the recognition, measurement, and valuation of assets, liabilities, equity, revenue, and expenses.
- Disclosure: It highlights the importance of appropriate disclosure of information in financial reporting.
Section B: Planning, Budgeting, and Forecasting
- Strategic Planning: The process of setting long-term objectives and identifying the resources that will be needed to attain them.
- Budgeting Concepts: The different techniques of budgeting, zero-based budgeting, flexible budgeting, and rolling forecasts.
- Forecasting Techniques: The technique for making an educated guess about future financial performance.
Section C: Performance Management
- Cost Management: To understand cost concepts, cost behavior, and cost management techniques.
- Internal Controls: It is for designing and evaluating internal controls to properly protect the assets and ensure fairness in financial reporting.
- Variance Analysis: To study the differences between actual performance and budgeted targets.
Section D: Cost Management
- Costing Systems: Introduce job order costing, process costing, and activity-based costing.
- Overhead Costing: Allocation and analysis of overhead costs
- Supply Chain Management: The role of management accounting in optimizing supply chain processes.
Section E: Internal Controls
- Risk Management: Identification and management of risks within an organization.
- Corporate Governance: Knowledge of corporate governance principles and their impact on internal controls.
- Ethics in Management Accounting: The ethical responsibilities of management accountants.
Section F: Technology and Analytics
- Information Systems: Information systems in support of FP&A.
- Data Analytics: Financial data analysis techniques in support of business decisions.
- Emerging Technologies: Impact of emerging technologies such as AI, blockchain, and big data in the field of management accounting.
CMA Syllabus for Strategic Financial Management
Part 2 of the CMA syllabus contains topics on financial management, strategy, decision analysis, and risk management. The information in this section helps to prepare candidates on how to make strategic financial decisions within a business set-up.
Section A: Financial Statement Analysis
- Ratio Analysis: Analysis of a company’s performance through the use of financial ratios.
- Cash Flow Analysis: Utilization of cash flows to analyze the liquidity, solvency, and financial flexibility of a company.
- Earnings Quality: How to assess the quality and sustainability of earnings.
Section B: Corporate Finance
- Ratio Analysis: Approaches to determining an appropriate mix of debt and equity in the capital structure.
- Cash Flow Analysis: How to Calculate the Cost of capital and its implications for capital investments.
- Earnings Quality: Theories and practices for determining dividend policy.
Section C: Decision Analysis
- Cost-Volume-Profit Analysis: Effects of various costs and volume on profit.
- Pricing Decisions: Approaches for pricing a product for maximum profit.
- Make or Buy Decisions: Understanding financial implications of outsourcing
Section D: Risk Management
- Types of Risks: Understanding different types of risks: financial, operational and strategic
- Hedging Techniques: Risk management strategy to offset one risk with a contrary position in another item
- Risk assessment: estimation of chance of occurrence and its impact regarding risks
Section E: Investment Decisions
- Capital Budgeting: Techniques for evaluating desirability of investments
- Valuation Methods: Different types of techniques to value an asset and business
- Mergers and Acquisitions: Financial dimensions of a merger and acquisition.
Section F: Professional Ethics
- Ethical Considerations: Ethics in financial management—its importance
- Corporate Social Responsibility: CSR in corporate strategy
- Ethical Leadership: To lead with integrity and create an ethical work culture.
Skills Developed through CMA Syllabus
The CMA syllabus is not only designed to test one’s knowledge of the theory, but the same can also build practical skills and competencies that will be of much help in the practice of management accounting. Some of the key competencies acquired include:
- Analytical Skills: Capability to analyze financial data and put out relevant insights for action
- Strategic Thinking: Knowing the long-term impact that financial decisions will have on business strategy
- Decision Making: Making informed decisions that align with business objectives.
- Risk Management: It refers to a process of risk identification and management that may have an impact on the financial well-being of an organization.
- Ethical Judgment: It refers to the navigation of complex ethical dilemmas posed within a business.
Conclusion: CMA Syllabus 2024
The depth and breadth of the CMA syllabus make it a very resourceful package for professionals to practice the complex demands of the management accounting profession. The topics it covers range from financial planning to performance management and strategy in financial management, which makes sure that candidates develop relevant skills to excel in their careers. Whether you’re just initiating your career or looking for senior-level positions, the CMA certification will lead you through a pathway to fulfilling your professional goals.
CMA Syllabus 2024 FAQs
Q1. What is the syllabus of CMA?
A1. The CMA syllabus is divided into two parts, one is, Financial Planning, Performance, and Analytics and part 2 is Strategic Financial Management.
Q2. Will the CMA syllabus change yearly?
A2. No, the CMA syllabus does not change yearly. It was last changed in 2016 by ICMAI.
Q3. Is CMA very difficult?
A3. Yes, CMA is a difficult exam that tests your academic knowledge. The average passing rate for both subjects is 45%, which is less than half of the people taking this exam.
Q4. Is CMA as tough as CA?
A4. According to many students, CA is more tough than CMA because there are various students who pass the CMA exam with better marks as compared to CA.
