Methods / Techniques of Cost Accounting
Ex-MBA 2011-2014 ( Batch - Weekend )
Semester - 2
Subject: Managerial Accounting
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Title : Methods / techniques of cost accounting
Submitted by : Vishwajeet Gaikwad – 2011G04 Submitted to : Prof. Sameer Deshmukh
INDEX
SR NO | TITLE | PAGE NO | 1 | INTRODUCTION | 3 | 2 | METHODS OF COST ACCOUNTING | 4 | 3 | TECHNIQUES OF COST ACCOUNTING | 8 | 4 | USEFULNESS | 10 | | | | | | | 5 | EXAMPLE, CASE, SCENARIO | 14 | | | | | | |
1. INTRODUCTION
Cost accounting information is designed for managers. Since managers are taking decisions only for their own organization, there is no need for the information to be comparable to similar information from other organizations. Instead, the important criterion is that the information must be relevant for decisions that managers operating in a particular environment of business including strategy make. Cost accounting information is commonly used in financial accounting information, but first we are concentrating in its use by managers to take decisions. The accountants who handle the cost accounting information generate add value by providing good information to managers who are taking decisions. Among the better decisions, the better performance of your organization, regardless if it is a manufacturing company, a bank, a non-profit organization, a government agency, a school club or even a business school. The cost-accounting system is the result of decisions made by managers of an organization and the environment in which they make them.
The organizations and managers are most of the times interested in and worried for the costs. The control of the costs of
Semester - 2
Subject: Managerial Accounting
-------------------------------------------------
Title : Methods / techniques of cost accounting
Submitted by : Vishwajeet Gaikwad – 2011G04 Submitted to : Prof. Sameer Deshmukh
INDEX
SR NO | TITLE | PAGE NO | 1 | INTRODUCTION | 3 | 2 | METHODS OF COST ACCOUNTING | 4 | 3 | TECHNIQUES OF COST ACCOUNTING | 8 | 4 | USEFULNESS | 10 | | | | | | | 5 | EXAMPLE, CASE, SCENARIO | 14 | | | | | | |
1. INTRODUCTION
Cost accounting information is designed for managers. Since managers are taking decisions only for their own organization, there is no need for the information to be comparable to similar information from other organizations. Instead, the important criterion is that the information must be relevant for decisions that managers operating in a particular environment of business including strategy make. Cost accounting information is commonly used in financial accounting information, but first we are concentrating in its use by managers to take decisions. The accountants who handle the cost accounting information generate add value by providing good information to managers who are taking decisions. Among the better decisions, the better performance of your organization, regardless if it is a manufacturing company, a bank, a non-profit organization, a government agency, a school club or even a business school. The cost-accounting system is the result of decisions made by managers of an organization and the environment in which they make them.
The organizations and managers are most of the times interested in and worried for the costs. The control of the costs of