Page 4 - DCOM206_COST_ACCOUNTING_II

SYLLABUS

Cost Accounting – II

Objectives:
 To familiarize the students with concepts, principles, and practices of cost accounting.
 To make students understand the use of various techniques of cost control.

 To enable students to choose cost effective alternatives in real time situations of business.

Sr. Content
No.

1 Service costing: users of service costing, evaluation of cost of various service
organizations.

2 Reconciliation of cost and financial accounting.
3 Absorption costing and marginal costing: need for marginal costing and

difference between Absorption costing and marginal costing.

4 Cost Volume Profit analysis: objectives, marginal cost equation, effects of
certain changes on P/V ratio, Break even Analysis and practical applications of

C.V.P analysis for decision making.

5 Differential Cost: meaning, difference between differential cost analysis and
marginal costing and practical application of differential costs.

6 Budgetary Control: Introduction, meaning, objectives of Budgetary control,
essentials of budgetary control, classification of budget-preparation of cash and

flexible budgets. Performance budget, Zero base budgeting.

7 Cost Audit, Cost reduction and cost control
8 Cost accounting records, Information system and reporting to management.

9 Standard costing: Material, Labour and overhead variances.

10 Emerging concepts in cost management: ABC Costing, Target Costing,
Kaizen Costing, Life cycle Costing, Value Chain Analysis.