Sample Cost Accounting of Tata Steel
Meaning of cost
‘COST’ represents a sacrifice of values, a foregoing or a release of something of value. It is the price of economic resources used as a result of producing or doing the thing costed. It is the amount of expenditure incurred on a given thing.
Cost has been defined as the amount measured in money or cash expended or other property transferred, capital stock issued, services performed or a liability incurred in consideration of goods or services received or to be received.
CLASSIFICATION OF COST Cost classification is the process of grouping costs according to their common features. Costs are to be classified in such a manner that they are identified with cost center or cost unit.
Fixed Cost
Variable Cost Semi-variable Cost
PROFILE OF TATA STEEL
founder; Jamsetji Nusserwanji Tata., that on 27th February, 1907.
Tata Steel Limited -Bombay House, MUMBAI.
Backed by 100 glorious years of experience in steel making.
It is listed in Fortune 500 Company.
World ranking stands 5th position.
Turnover in FY 11 rose 17.5% to 29,396 crores (US$6.59 billion) from 25,022 crores (US$5.61 billion) in FY 10
Current chairperson of TATA GROUP is Mr. CYRUS MISTRY.
VISION OF THE COMPANY
PLANT LOCATION & LAYOUT
Located at Jamshedpur
Easy availability of resources
Water
Iron coal Other essential resources.
Tata Steel - Product Profile
Steel
Hot Rolled Coils and Sheets
Cold Rolled & Galvanised Coils & Sheets
Wire Rod Coils
Rebar's and Light Structural's
Forging Quality Steels
Semis
Tubes
Precision tubes
Black/Galvanised tubes
Bearings
Ball bearings
Cost sheet
COST SHEET – FORMAT Particulars Amount Amount
Opening Stock of Raw Material ***
Add: Purchase of Raw materials ***
Add: Purchase Expenses *** Less: Closing stock of Raw Materials ***
Raw Materials Consumed *** Direct Wages (Labor)
‘COST’ represents a sacrifice of values, a foregoing or a release of something of value. It is the price of economic resources used as a result of producing or doing the thing costed. It is the amount of expenditure incurred on a given thing.
Cost has been defined as the amount measured in money or cash expended or other property transferred, capital stock issued, services performed or a liability incurred in consideration of goods or services received or to be received.
CLASSIFICATION OF COST Cost classification is the process of grouping costs according to their common features. Costs are to be classified in such a manner that they are identified with cost center or cost unit.
Fixed Cost
Variable Cost Semi-variable Cost
PROFILE OF TATA STEEL
founder; Jamsetji Nusserwanji Tata., that on 27th February, 1907.
Tata Steel Limited -Bombay House, MUMBAI.
Backed by 100 glorious years of experience in steel making.
It is listed in Fortune 500 Company.
World ranking stands 5th position.
Turnover in FY 11 rose 17.5% to 29,396 crores (US$6.59 billion) from 25,022 crores (US$5.61 billion) in FY 10
Current chairperson of TATA GROUP is Mr. CYRUS MISTRY.
VISION OF THE COMPANY
PLANT LOCATION & LAYOUT
Located at Jamshedpur
Easy availability of resources
Water
Iron coal Other essential resources.
Tata Steel - Product Profile
Steel
Hot Rolled Coils and Sheets
Cold Rolled & Galvanised Coils & Sheets
Wire Rod Coils
Rebar's and Light Structural's
Forging Quality Steels
Semis
Tubes
Precision tubes
Black/Galvanised tubes
Bearings
Ball bearings
Cost sheet
COST SHEET – FORMAT Particulars Amount Amount
Opening Stock of Raw Material ***
Add: Purchase of Raw materials ***
Add: Purchase Expenses *** Less: Closing stock of Raw Materials ***
Raw Materials Consumed *** Direct Wages (Labor)