Cost Accounting 2023

Unit I
Cost accounting – Definition – Meaning and Scope – Concept and
Classification – Costing an aid to Management – Types and
Methods of Cost – Elements of Cost– Preparation of Cost Sheet
and Tender
Unit II
Material Control: Levels of material Control – Need for Material
Control – Economic Order Quantity – ABC analysis – Perpetual
inventory – Stock Levels– Purchase and stores Control: Purchasing
of Materials – Procedure and documentation involved in purchasing
– Requisition for stores – Stores Control – Methods of valuing
material issue.
Unit III
Labour: System of wage payment – Idle time – Control over idle
time – Labour turnover. Overhead – classification of overhead –
allocation and apportionment of overhead – Primary and secondary
distribution of overhead – absorption of overhead – overhead
absorption rate – under or over absorption of overhead.
Unit IV
Process costing – Features of process costing – process losses,
wastage, scrap, normal process loss – abnormal loss, abnormal gain
(Excluding inter process profits and equivalent production)
Unit V
Operating Costing – Transport costing – Contract costing –
Reconciliation of Cost and Financial accounts