Cost and Management Accounting-II

Paper Code: 
BCS 312
Credits: 
03
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

To acquire knowledge and understanding of the concepts, techniques and practices of cost and management accounting and to develop skills for decision making.

 

9.00
Unit I: 
Process Costing

Features, Applications and Types of Process Costing, Process Loss, Abnormal Gains and Losses, Equivalent Units, Inter-Process Profit, Joint Products, By-Products and Accounting

Service Costing: Features and Applications, Unit Costing and Multiple Costing, Application, Identification of Cost Unit and Cost Determination and Control

9.00
Unit II: 
Marginal Costing

• Meaning, Advantages, Limitations and Applications

• Breakeven Analysis

• Cost-Volume Profit Analysis

• P/V Ratio and its Significance

• Margin of Safety

• Absorption Costing: System of Profit Reporting and Stock Valuation

• Difference between Marginal Costing and Absorption Costing

• Income Measurement under Marginal Costing and Absorption Costing

9.00
Unit III: 
Standard Costing

• Definition, Significance and Applications

• Various Types of Standards

• Installation of Standard Costing System-for Material, Labour, and Overhead

• Variance Analysis for Materials, Labour and Overheads and Accounting Treatment of Variances

• Benchmarking for Setting of Standards

• Variance Reporting to Management

9.00
Unit IV: 
Budget, Budgeting and Budgetary Control

• Budget Concept, Manual

• Fixed and Flexible Budgets

• Preparation and Monitoring of Various Types of Budgets

• Budgetary Control System: Advantages, Limitations and Installation

• Zero Base Budgeting

• Programme and Performance Budgeting

Cost Accounting Records and Cost Audit

• Nature and Scope of Cost Audit

• Cost Accounting Records and Cost Audit under Companies Act,1956

• Purpose, Scope and Advantages of Cost Audit

• Implementing Authorities of Cost Audit

• Cost Audit Techniques and Programmes

• Cost Audit Report

• Cost Auditor – Appointment, Rights and Responsibilities

9.00
Unit V: 
Analysis and Interpretation of Financial Statements

• Financial Statements: Nature, Attributes, Objectives, Importance, Limitations

• Recent Trends in Presenting Financial Statements

• Financial Statements Analysis: Types, Methods, Objectives, Limitations

• Ratio Analysis: Accounting, Uses, Classification, Advantages, Limitations

• Cash Flow Statement

• Fund Flow Statement

• Difference between Cash Flow and Fund Flow Statement

• Management Reporting

References: 
  1. Cost and Management Accounting-VK Saxena & C.D Vashisht(Sultan Chand & Sons 23 Daryaganj New Delhi)
  2. Cost and Management Accounting,-S.P Jain and K.L Narang Kalyani Publishers, 23, Daryaganj, New Delhi-110002
  3. Cost and Management Accounting-S.N Maheshwari (Sultan Chand & Sons New Delhi)
  4. Cost and Management Accounting-M.N Arora (Vikash Publishing House(P) Ltd

5.  Study Material Issued by ICSI

6.  Scanner-Arun Kumar(Shuchita Prakashan (P) Ltd)

7.   Management Accounting- I.M Pandey(Vikas Publishing House (P) Ltd

 

Academic Year: 
2015-2016
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