ACC2232 - Cost Accounting Study Plan

Assalamualaikum and dear Costing students,

Below is the study plan for this semester, hope you'll be able to benefit from this....

	WEEK	TOPIC
WEEK 1 9/7/18 – 13/7/18		1.       INTRODUCTION TO COST ACCOUNTING ·         Basic definition of cost accounting ·         Objective of cost accounting ·         Difference between cost accounting and management accounting
		2.   COST CONCEPTS AND CLASSIFICATIONS ·         Cost concept Ø  Cost unit Ø  Cost centre
WEEK 2 16/7/18 – 20/7/18		2.   COST CONCEPTS AND CLASSIFICATIONS – cont’ ·         Cost classification Ø  Behaviour Ø  Product Ø  Cost objectives ‐        Relevant and irrelevant costs ‐        Avoidable and unavoidable cost ‐        Sunk cost ‐        Opportunity costs ‐        Controllable and uncontrollable cost
WEEK 3 23/7/18 – 27/8/18		3.   MATERIAL COSTS ·        Distinguish between direct material and indirect material ·        Material purchasing procedure ·        Inventory control method Ø  Objective of inventory control Ø  Economic order quantity
	WEEK 4 30/8/18 – 3/8/18	3.   MATERIAL COSTS – cont’ ·        Stock valuation methods Ø  FIFO Ø  LIFO Ø  Weighted average
	WEEK 5 6/8/18 – 10/8/18	4.  LABOUR COSTS ·         Distinguish between direct labour and indirect labour ·         Labour control procedure Ø     Recruitment process Ø     Methods of recording labour times ·         Methods of remuneration Ø  Time based, Output based, Incentive schemes
	WEEK 6 13/8/18 – 17/8/18	4.  LABOUR COSTS – cont’ ·         Methods of remuneration Ø  Time based, Output based, Incentive schemes ·         Advantages and disadvantages of each type remuneration methods
	WEEK 7 17/8/18 – 26/8/17 MID-SEMESTER BREAK
	WEEK 8 27/8/18 – 31/8/18	5.   OVERHEAD COSTS ·         Classification of overhead costs ·         Distinguish between production and service cost centre ·         Overhead analysis sheet preparation Ø  Cost allotment, cost apportionment and cost reapportionment steps
	WEEK 9 3/9/18 – 7/9/18	5.   OVERHEAD COSTS – cont’ ·         Predetermined absorption rates Ø  Over or under absorption of overhead
	WEEK 10 10/9/18 – 14/9/18	6.   JOB COSTING ·         Overview of job costing Ø     Definition Ø     Characteristics ·         Recording the flow of job costing Ø  Accounting for material, labour and overhead Ø  Job cost sheet preparation
	WEEK 11 17/9/18 – 21/9/18	6.   JOB COSTING – cont’ ·         Recording the flow of job costing Ø  Accounting for material, labour and overhead Ø  Job cost sheet preparation
	WEEK 12 24/9/18 – 28/9/18	6.   JOB COSTING – cont’ ·         Batch costing
		7.   CONTRACT COSTING ·         Overview of contract costing Ø     Definition Ø     Characteristics ·         Cost accumulation Ø     Materials, wages, plant and others
	WEEK 13 1/10/18 – 5/10/18	7.   CONTRACT COSTING – cont’ ·         Progress payments Ø     Value of work certified Ø     Retention money ·         Profit calculation and balance sheet entries for uncompleted contracts
	WEEK 14 8/10/18 – 12/10/18	7.   CONTRACT COSTING – cont’ ·         Profit calculation and balance sheet entries for uncompleted contracts
		8.   PROCESS COSTING ·         Overview of process costing Ø  Definition Ø  Characteristics ·         Flow of costs in process costing system
	WEEK 15 15/10/18 – 19/10/18	8.   PROCESS COSTING – cont’ ·         Process losses Ø     Normal loss Ø     Abnormal loss Ø     Abnormal gain ·         Equivalent units ·         Joint product and by-product
	WEEK 16 22/10/18 – 23/10/18	8.   PROCESS COSTING – cont’ ·         Joint product and by-product

ACC2236 - Management Accounting Study Plan

Assalamualaikum and dear students,

Below is the study plan for this semester. Do some reading and it will enhance you knowledge. Always browse thru this blog or any other blogs which you may find suitable and relevant.

WEEK 1 9/7/18 – 13/7/18	TOPIC 1: INTRODUCTION TO MANAGEMENT ACCOUNTING ·     The role of management accounting ·     Basic terminology in management accounting ·     Cost behaviour
WEEK 2 16/7/18 – 20/7/18	TOPIC 2: ABSORPTION AND MARGINAL COSTING ·      Definition and concept of absorption and marginal costing ·      Comparison between absorption and marginal costing ·      Advantages and disadvantages of absorption and marginal costing ·      Absorption and marginal costing statement
WEEK 3 23/7/18 – 27/8/18	TOPIC 2: ABSORPTION AND MARGINAL COSTING – cont’ ·       Absorption and marginal costing statement
WEEK 4 30/8/18 – 3/8/18	TOPIC 3: ACTIVITY-BASED COSTING (ABC) ·         Emergence of ABC costing system ·         Principles of ABC ·       Comparison between ABC with traditional systems (marginal & absorption costing)
WEEK 5 6/8/18 – 10/8/18	TOPIC 3: ACTIVITY-BASED COSTING (ABC) – cont’ ·         ABC costing statements
WEEK 6 13/8/18 – 17/8/18	TOPIC 4: COST-VOLUME PROFIT ·         Mathematical approach to CVP analysis ·         Break-even analysis: Single product vs. multiple products and its limitations

WEEK 7 17/8/18 – 26/8/17 MID-SEMESTER BREAK
WEEK 8 27/8/18 – 31/8/18	TOPIC 4: COST-VOLUME PROFIT – cont’ Contribution margin analysis
WEEK 9 3/9/18 – 7/9/18	TOPIC 5: RELEVANT COST FOR SHORT TERM DECISION MAKING ·           Concept of relevant costs ·           Make or Buy ·           Accepting or rejecting order
WEEK 10 10/9/18 – 14/9/18	TOPIC 5: RELEVANT COST FOR SHORT TERM DECISION MAKING – cont’ ·           Concept of relevant costs ·           Make or Buy ·           Accepting or rejecting order
WEEK 11 17/9/18 – 21/9/18	TOPIC 6: BUDGETARY PLANNING AND CONTROL ·         Functions and types of budgets ·         Preparation of the budget
WEEK 12 24/9/18 – 28/9/18	TOPIC 6: BUDGETARY PLANNING AND CONTROL  – cont’ ·         Fixed and flexible budgeting ·         Behavioural aspects of budgeting
WEEK 13 1/10/18 – 5/10/18	TOPIC 6: BUDGETARY PLANNING AND CONTROL  – cont’ ·         Fixed and flexible budgeting ·         Behavioural aspects of budgeting
WEEK 14 8/10/18 – 12/10/18		TOPIC 6: BUDGETARY PLANNING AND CONTROL  – cont’ ·         Fixed and flexible budgeting ·         Behavioural aspects of budgeting
		TOPIC 7: STANDARD COSTING AND VARIANCE ANALYSIS ·           Introduction and types of standards
WEEK 15 15/10/18 – 19/10/18		TOPIC 7: STANDARD COSTING AND VARIANCE ANALYSIS – cont’ ·         Material variances ·         Labour variances ·         Overhead variances – Variable and fixed ·         Profit reconciliation statements
WEEK 16 22/10/18 – 23/10/18		TOPIC 7: STANDARD COSTING AND VARIANCE ANALYSIS – cont’ ·         Material variances ·         Labour variances ·         Overhead variances – Variable and fixed ·         Profit reconciliation statements

Difference Between Cost Accounting and Management Accounting

January 10, 2015 By Surbhi S  

- https://keydifferences.com/difference-between-cost-accounting-and-management-accounting.html

Cost accounting is that branch of accounting which aims at generating information to control operations with a view to maximizing profits and efficiency of the company, that is why it is also termed control accounting. Conversely, management accounting is the type of accounting which assist management in planning and decision-making and thus known as decision accounting.

The two accounting system plays a significant role, as the users are the internal management of the organization. While cost accounting has a quantitative approach, i.e. it records data which is related to money, management accounting gives emphasis on both quantitative and qualitative data. Now, let’s understand the difference between cost accounting and management accounting, with the help of given article.

Comparison Chart

BASIS OF COMPARISON	COST ACCOUNTING	MANAGEMENT ACCOUNTING
Meaning	The recording, classifying and summarising of cost data of an organisation is known as cost accounting.	The accounting in which the both financial and non-financial information are provided to managers is known as Management Accounting.
Information Type	Quantitative.	Quantitative and Qualitative.
Objective	Ascertainment of cost of production.	Providing information to managers to set goals and forecast strategies.
Scope	Concerned with ascertainment, allocation, distribution and accounting aspects of cost.	Impart and effect aspect of costs.
Specific Procedure	Yes	No
Recording	Records past and present data	It gives more stress on the analysis of future projections.
Planning	Short range planning	Short range and long range planning
Interdependency	Can be installed without management accounting.	Cannot be installed without cost accounting.

Definition of Cost Accounting

Cost Accounting is a method of collecting, recording, classifying and analyzing the information related to cost. The information provided by it is helpful in the decision-making process of managers. There are three major elements of cost which are material (direct & indirect), labor (direct & indirect) and overhead (Production, Office & Administration, Selling & Distribution, etc.).

The main aim of the cost accounting is to track the cost of production and fixed costs of the company. This information is useful in reducing and controlling various costs. It is very similar to financial accounting, but it is not reported at the end of the financial year.

Definition of Management Accounting

Management Accounting refers to the preparation of financial and non-financial information for the use of management of the company. It is also termed as managerial accounting. The information provided by it is helpful in making policies and strategies, budgeting, forecasting plans, making comparisons and evaluating the performance of the management.

The reports produced by management accounting are used by the internal management (managers and employees) of the organisation, and so they are not reported at the end of the financial year.

Key Differences Between Cost Accounting and Management Accounting

1. The accounting related to the recording and analysing of cost data is cost accounting. The accounting related to the producing information which is used by the management of the company is management accounting.
2. Cost Accounting provides quantitative information only. On the contrary, Management Accounting provides both quantitative and qualitative information.
3. Cost Accounting is a part of Management Accounting as the information is used by the managers for making decisions.
4. The primary objective of the Cost Accounting is the ascertainment of cost of producing a product, but the main objective of the management accounting is to provide information to managers for setting goals and future activity.
5. There are specific rules and procedure for preparing cost accounting information while there is no specific rules and procedures in case of management accounting information.
6. The scope of Cost Accounting is limited to cost data however the Management Accounting has a wider area of operation like tax, budgeting, planning and forecasting, analysis, etc.
7. Cost accounting is related to ascertainment, allocation, distribution and accounting face of cost. On the flip side, management accounting is associated with impact and effect aspect of cost.
8. Cost accounting stresses on short-range planning, but management accounting focuses on long and short range planning, for which it uses high level techniques such as probability structure, sensitivity analysis etc.
9. While management accounting can’t be installed in the absence of cost accounting, cost accounting has no such requirement, it can be installed without management accounting.

Similarities

• Branch of Accounting
• Helpful in decision-making
• Prepared for a particular period.
• Not reported at the end of the financial year.

Conclusion

Both the cost accounting and management accounting are a part of accounting. They are helpful in for ensuring the smooth and efficient running of the business. On the basis of the information provided by the two entities various analysis are conducted. Cost accounting aims at reducing extra expenditure, eliminating unnecessary costs and controlling various costs. On the other hand management accounting aims at the planning of policies, strategy formulation setting goals, etc.

YIPPI Group and YIPPI Time

Assalamualaikum,

Attention to BUS1233, ACC2232, ACC2233 and ACC2236

For students who wish to interact with me, you are requested to install the following apps. Questions, notifications and other information will be relayed thru this. Whatsaap will not be entertained.

Check out Yippi for your smartphone. Download it today from
https://yippi.app.link/LP4k560BsO

After you have downloaded the apps, make sure to me as a friend: fm04