Cost accounting developed as an advanced phase of accounting science and is trying to make up the deficiencies of financial accounts.
Of Cost Accounting
Cost accounting developed as an
advanced phase of accounting science and is trying to make up the deficiencies
of financial accounts. It is essentially a creation of the twentieth century.
Cost accounting accounts for the costs of a product, a service or an operation.
It is concerned with actual costs incurred and the estimation of future costs.
Cost accounting is a conscious and rational procedure used by accountants for
accumulating costs and relating such costs to specific products or departments
for effective management action. Cost accounting through its marginal costing
technique helps the management in profit planning and through its another
technique i.e. Standard costing facilitates cost control. In short, cost
accounting is a management information system which analyses past, present and
future data to provide the basis for managerial decision making.
Tags : Accounting For Managers - Cost Estimation And Control-Cost Accounting
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