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Chapteri Basicconcepts 100217174049 Phpapp01
Chapteri Basicconcepts 100217174049 Phpapp01
Accounting-I
Basic Concepts
Cost Accounting
Cost Accounting is the
Cost Accountancy
the application of costing and
Limitations of Financial
Accounting
Historical
Price Fixation
Unclassified
difficult
No Cost Reduction
Tenders &
Quotations
Data for Reporting
Elimination of loss
Manipulation
No Comparison
Whole Organisation
No Material Control
No Wage Control
No Overheads
Control
No Normalcy
Approach
No Cost Evaluation
Financial
Financial
Accounting
Accounting
Cost
Cost Accounting
Accounting
Internal Reporting
Periodic Reporting
External Reporting
Annual Reporting
Historical
Objective Information
Divisional
Wholesome Approach
Voluntary
Compulsory
Rigid Preparation
Flexibility
Accurate
Independent
Audit
Historical/Prospective
Subjective
Approximation
dependant
No Audit
Resources
Elimination of Wastages
Cost Control
Facilitating Price Fixation
Helping Decision-making
Preparation of Budgets
Profit Planning
Advantages to Workers
Fair Wages
Recognition of Efficiency
Incentive System of Payment
Cordial Relation
Higher Share of Profit
Advantages to the
Government
Resolving Tax Disputes
Policy Framing
Planning
Price Control
Measuring Efficiency
Quantum of Subsidy
Methods of Costing
Where the Objective is cost
ascertainment:
Process Costing: Unit Costing,
Systems of Costing:
Where the objective is
cost evaluation:
Standard Costing
Historical Costing
Techniques of Costing
Where the objective is cost
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