Course Contents

1. The Concept of Management, Organizing Accounting: The Framework for Planning and Controlling Management Activities. 2. The Nature of Cost Accounting, Scope of Cost Accounting, The Cost Department, Relationship of the Cost Department to other Departments, Sources of Cost Accounting Data 3. Financial Statements: The bases for Planning and Control: The Reporting Function, Financial Statements in the Annual Report, Evaluating Annual Results to Orient the Outsider and Insider, The Flow of Costs. 4. Planning and Control Models, Cost And Profit Analysis, Operations Research, Government And Private Organizations Influencing General And Cost Accounting Principles And Practices 5. Costs Concepts, Uses and Classifications: The concept “Cost”, uses of cost data, Cost Data: Importance of Past, Present, Future, Classifications of Costs, Factors Influencing Responsible Cost Control, Cost Accounting Standards Board 6. The Cost Accounting System: Design and Operation: Fundamentals of a Cost Accounting Information System, Chart of Accounts, Data Processing by means of the Journal Voucher, Control System, The Manufacturing Cost Accounting Cycle, The Factory Ledger, Electronic Data Processing. 7. Job Order Costing: Cost systems: Actual or Standard, Cost Accumulation Procedures: Job Order or Process. Job Order Cost Accumulation Procedures. 8. Process Costing: Cost of Production Report, Lost Unit Calculations: Characteristics and Procedures of Process Costing, Costing by Departments, Product flow, Procedures for Materials, Labor and Factory Overhead Costs. The Cost of Production Report. FINAL TERM PROJECT: The basic aim of this course is to access unit cost and total cost of product. Based upon the Company’s Past Financial Statements, the cost analysis, cost evaluation and preparing cost analysis is final term project. Following contents should be incorporated in final project report. 1. Executive Summary 2. Preliminary Business Analysis (Evaluating the Business Environment of Company and Strategies) 3. Cost of Goods Sold statement/Income Statement 4. The main element of cost that is given to be ascertain 5. Recommendations and Conclusion Note: At least 3 years Financial Statements should be selected for Cost Analysis with a group of 5 to 6 students. The power point presentation will be compulsory part of project.

Course Synopsis

After completing the program students should be able to know: 1. The importance of Cost Accounting as a first step in the Manufacturing Process. 2. The steps involved in the Accumulation of Total Cost in different departments. 3. The required Cost data for the decision making for higher management. 4. The product costing preparation and process costing analysis. 5. Cost of production and cost of goods sold statements for onward reporting to Financial Statements.

Course Learning Outcomes

This course is designed to emphasize the importance of Cost Accounting to the performance and success of any level of management in both problem identification and problem solving.