Marginal costing and Absorption costing: the concept of marginal and absorption costing and its practical applications on business decisions. Cost Volume Profit Analysis: Relationship, impact on pricing, practical decision making strategies through CVP analysis Standard Costing and Variance analysis: concept and objectives of standard costing, advantages and limitations, variance analysis (Material, labour, overheads and sales variance), practical applications Budgeting and budgetary control mechanism Activity based costing, Responsibility Accounting Target costing
Objective of this course is to help student understand:
The essence of management accounting-effective use ...view middle of the document...
1 Course background, Internal assessment criterion, lecture approach, An approach to management accounting, financial accounting and cost accounting and their significance, cost concepts, classification, measurement and cost management A case analysis Chapters 1 & 2 of the text Book 2 & 3 Cost sheet/ production statement
cost sheet statement, production account (prime cost, factory cost, cost of production, cost of sale) allocation and assessment. Chapter 5 & 6 of the text book. Numerical exercise. 4 & 5 Marginal and Absorption costing
A comparison between variable and absorption costing, Reconciliation variable costing and short term decisions, advantages and limitations of variable costing. Chapter 16 of the text book. Case analysis of marginal and absorption costing. Numerical exercises
6 & 7 Cost-Volume profit analysis
basic concepts and significance, cost planning and CVP, break even chart and limitations of CVP analysis Chapter 16 of the text book. Case analysis on BEP. Numerical exercises on CVP analysis 8 & 9 Process, Joint and By-product costing -...