CMA USA Part 1-Financial Planning, Performance, and Analytics | CMA USA Part 2- Strategic Financial Management
CMA USA has a total of 12subjects covering part 1 and Part 2. On completion of all these topics students will have good clarity on the basic fundamental topics like Financial Reporting, Budgeting, costing, internal controls and advanced decision-making areas like Financial Statement Analysis, Corporate Finance, Capital Budgeting, Risk Management, Marginal Costing and so on
A detailed content outline of Part 1 and 2 is given below
Financial Reporting
A person who drives the business has to be aware of their past, present, and prediction of their future financial condition. This certification of CMA USA will teach skills by including the rare traits. These are the traits that people take casually and end up facing huge impacts on their business. To avoid the never-ending loop, your company needs some smart moves. A blend of some basic accounting, principles, tax principles, and financial reporting skills through certification would be helpful. A completely different insight and decision power comes when you are aware of financial data. It includes financial summaries, statements, and disclosures. The way you will analyze this data will change, and you can sense future debt easily.
Planning and budgeting
An organization without a budget is like you share your bank account but hold no control on the transactions. The budget decides the figures of profit present in the reports. Planning makes an organization ready for the risks and dilutes its effects. CMA certification allows your innovation to roll around each corner of the business. Your learnings reach a different level when you get it from someone having experience and knows about the practical scenarios. Planning and budgeting is way different in practical situations. Your certification has to hold a blend of possible scenarios and experience.
Performance management
The performances of each asset in an organization have a direct link with earning profits in a business. This process comes across multiple times in a year. It helps stakeholders to stay up with all the financial updates. To be an expert, a CMA certification holder always has to make sure of every small thing which could disturb the performance. You have to update yourself by predicting the future aspects and learning about the past and present from someone who holds a relevant experience.
Cost management
In CMA certification part 1, these aspects alone hold 20 percent of the weightage. The reason being is the cost. This thing is always the soul of every business. The skills of a CMA certification holder always align with the transactional data. The movement of profits, according to the planning, is crucial. Estimation of cost as per the records and controlling expenses by the plan is essential. The learning in this certification can help you make better decisions for cost management.
Internal controls
The skills of CMA USA certification holder covers a broad area of controls. The plan for risk management, compliance, audits, and governance is crucial for any enterprise. Inspections have two branches that are external and internal. It is essential to take care of the internal audits so that the operations could be more refined. The planning and actions should lie under the paths of risk management. Someone having experience of such things can always add value to your learnings.
Technology and Analytics
The world is getting crazy for analytics, and the reason being is the value it adds to the prediction. When we take out the report from the past and merge with the risk, then analytics come into action. Every enterprise looks for an Accountant whose analytical skills could support the prediction. This certification helps an individual in making predictions so that the preparation for the upcoming could be better.
Financial statement analysis
Financial statement analysis gives an organization a better view of the current and noncurrent assets, liabilities, and cost. The skills that an individual earns through CMA certification help them analyze the actual and the projected cost.
Corporate finance
For every enterprise, it is essential to know the 'why' behind each report and predictions. As a certified accountant, you can present the long term financial aspects which ultimately helps in raising such financial skills in which you analyze the return and risk attached to it. Learnings and practical scenarios help an individual to succeed in this career.
Decision analysis
Every decision has an impact on the volume, budget, and the financial condition of an enterprise. There are various ways of analyzing it, but as a certified accountant, you will present the best way of implementing any decision.
Every decision has an impact on the volume, budget, and the financial condition of an enterprise. There are various ways of analyzing it, but as a certified accountant, you will present the best way of implementing any decision.
It is an essential phase for any organization. There are several financial risks that can come across and bring the entire business down. On the broader terms, there are three risks: Market risks, Credit risks, and Financing risks. Each of them includes proper guidance so that your knowledge could be useful in practical scenarios. A mentor having experience in such fields is a must so that your certification could hold more value.
Investment decisions
There are several investments that an enterprise can make, and it can be new machinery or new space. In long term insight, investment decisions have to be appropriate. The accountant plays a vital role in presenting complete information in a much simpler and vivid format. In the examination for CMA certification, it holds 15 percent of the weightage.
Professional ethics
Generally, people ignore this part for CMA certification but knowing the actual professional environment and ethics is essential. The update in your learning has to be fast, and a mentor having relevant experience can present it more vividly.