Cost Accounting

Paper Code: 
BSR 112
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

The objective of this course is to familiarize students with basic costing concepts and tools used in cost accounting

9.00
Unit I: 
Introduction:
 
Meaning and definition of cost accountancy, Nature and Scope of Cost Accounting, Cost Concepts, Distinction between Financial and Cost Accounting. Elements of Cost, Cost Statements: An Introduction

Material: Material Cost Management, Need for Efficient Purchasing, Storing of Materials, Methods of Inventory Control, Some Specific Techniques Related to Operating Control System viz. ABC Analysis, VED Analysis, JIT, FSN, Material Cost and its Components, Economic Order Quantity, Inventory Levels i.e. Reorder Level, Maximum Stock Level, Minimum Stock Level, Average Stock Level, Methods of Issue Pricing i.e. LIFO, FIFO, Simple Average, Weighted Average, HIFO, Standard Price And Base Stock Method.

 

9.00
Unit II: 
Labour:

 Recruitment, Recording of time and wages, Time Keeping and Time booking, Job Evaluation and Merit rating, Labour Turnover: meaning and nature, Methods of calculating Labour Turnover, Methods of remunerating Labours, Incentive Plans, Allocation of wages, Idle Time: meaning and causes, Treatment of idle time, Over time.

9.00
Unit III: 
Overhead:

 Meaning, Collection, Classifications, Apportionment, Allocation and Absorption of overheads; Treatment of interest on capital, Research and development expenses.

9.00
Unit IV: 
Single Output or Unit Costing:
Cost sheet, Adjustments in cost sheet, Treatment of Scrap, defectives, Absorption of overheads and calculation of Tender price, Job Costing.

 

9.00
Unit V: 
Contract Costing:
 Contract accounting, Methods of determining contract price, Escalation clause, Profit on uncompleted contracts and different Types ofproblems related to contract.

 

Essential Readings: 

Cost Accounting: Jain, Khandelwal & Pareek, (Ajmera Book Company, Jaipur)
2. Cost Accounting: Agarwal, Jain, Sharma, Shah &Mangal,(Ramesh Book Depot, Jaipur )
3. Cost Accounting Principles and Practice: M.N. Arora, (Vikas Publication, New Delhi)
4. Cost Accounting: Ravi M Kishore ( Taxmann’s-New Delhi)

 
References: 
 

1. Cost Accounting: B.M Lall Nigam, I.C. Jain, PHI, New Delhi
2. Cost Accounting Theory and Practice: (Bhabatosh Banerjee, PHI, New Delhi)
3. Cost Accounting-S.N Maheshwari, (Mahavir Publication)
4. Cost Accounting: Jawahar Lal, (Tata Mcgraw Hill, New Delhi)
5. Cost Accounting: J. Madegowda ( Himalaya Publishing House)

 

 

Academic Year: 
2015-2016
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