Published on Accounting and Taxation (https://accountingtaxation.iisuniv.ac.in)

Home > COST AND MANAGEMENT AUDIT

COST AND MANAGEMENT AUDIT [1]

Paper Code: 
24ATG 324
Credits: 
06
Contact Hours: 
90.00
Max. Marks: 
100.00
Objective: 

This course will enable the students to gain proficiency in conducting cost and management audits to enhance organizational financial performance and accountability.

 

Course Outcomes: 

Course

Learning outcome

(at course level)

Learning and teaching strategies

Assessment Strategies

Course Code

Course

title

24ATG324

 

 

Cost and Management Audit

(Theory)

CO79: Analyze the differences between Financial and Cost Audit, and evaluate the appointment, rights, duties, and liabilities of a Cost Auditor under the Companies Act 2013.

CO80: Evaluate the preparation of a Cost Audit Programme, including assessing internal control systems and their application in various industries.

CO81: Demonstrate advanced report writing skills for Cost Audit Reports and conduct audits and investigations for specific purposes.

CO82: Appraise the concepts, objectives, and procedures of Peer Review to enhance Audit Quality in the context of Cost Audit and Management Audit

CO83: Interpret the nature, scope, and qualities of Management Audit, and develop skills in programming and

CO84: Contribute effectively in course-specific interaction

Approach in Teaching: Interactive Lectures, Discussion, Tutorials, Problem Solving Sessions & Presentations

 

Learning activities for the students: Self-learning assignments, Case Study Analysis, Class Presentations (Individual & Group)

 

Continuous Assessment Test, Semester End Examinations, Quiz, Solving Numerical Problems, Assignments,

Individual & Group Projects

 

18.00
Unit I: 
Cost Audit and Cost Auditor

● Cost Audit: Meaning, Object, Advantage of cost Audit, Difference between Financial and cost audit, Cost Audit of Material, Labour and Overhead.

● Cost Auditor: Appointment, Rights, Duties and Liabilities of Cost Auditor under the companies Act 2013, Relationship between statutory financial auditor, Cost Auditor and Internal Auditor.

18.00
Unit II: 
Cost Accounting Record Rules and Cost Audit Programme

  • Cost Accounting Record Rules: requirements, Maintenance of Cost Accounting Records, CARR in different Industries with special reference to cement industry and steel industry.

  • Preparation of the Cost Audit Programme: Evaluation of internal control system including material inventory, capacity utilization, management information system and internal audit.

18.00
Unit III: 
Cost Audit Report and Peer Review

  • Cost Audit Report:  Audit and Investigation for specify purpose. Advance Report writing with reference to specific situations and problems

  • Peer Review: Improving Audit Quality, Concept, Objectives, Scope, Procedure

18.00
Unit IV: 
Management Audit and Audit Function Management

● Management Audit: Meaning, Nature, and Scope, Qualities of Management Auditor, Concept of Efficiency Audit, Proprietary Audit and Operational Audit

● Programming and Managing the Management Audit Function: Planning, Determination of Scope, Frequency of management audit, Recruitment and Training of Management Auditor,

18.00
Unit V: 
Specific areas of Management Audit

  • Specific areas of Management Audit:  Review of internal control, review of purchasing control, review of selling and distribution policies and programmes, review of manufacturing operations.

Essential Readings: 

1. Cost And Management Audit: Agarwal ,Pareek (Ramesh Book Depot)
2. Cost Audit & Management Audit: D.Duttachoudhury(New Central Book Agency (P) Limited)
3. Cost Management Audit: Abhishek Goutamchand Jain, (Himalaya Publishing House Ptv. Limited)
4. Management Audit: Khandelwal M.C(Ramesh Book Depot)
5. Management Audit And Cost Control: Choudhary D, (New Central Book Agency, Kolkata)

References: 

Suggested Readings:

  1. Cost And Management Audit: Ramanathan(Tata Mcgraw Hill)
  2. Contemporary Auditing: Kamal Gupta(Tata Mc-Graw Hill)
  3. Auditing Principles And Practice: Ravinder Kumar [2], Virender Sharma [3] (Phi Learning [4])
  4. Auditing: Principle And Practice, S.D Sharma (Taxmann)

 

e-Resources:

  1. https://icmai.in/upload/Students/Syllabus2016/Final/Paper-19-August.pdf [5]
  2. https://egyankosh.ac.in/bitstream/123456789/13796/1/Unit-12.pdf [6]
  3. https://docplayer.net/7215617-Chapter-30-cost-audit.html [7]

 

Academic Year: 
2024-2025 [8]

Follow Accounting and Taxation on:

IIS (Deemed to be University)

Gurukul Marg, SFS, Mansarovar, Jaipur 302020, (Raj.) India Phone:- +91-141-2400160-61, 2397906-07, Fax: 2395494, 2781158

Source URL: https://accountingtaxation.iisuniv.ac.in/courses/subjects/cost-and-management-audit-9

Links:
[1] https://accountingtaxation.iisuniv.ac.in/courses/subjects/cost-and-management-audit-9
[2] https://www.google.co.in/search?hl=en&q=inauthor:%22RAVINDER+KUMAR%22&tbm=bks
[3] https://www.google.co.in/search?hl=en&q=inauthor:%22VIRENDER+SHARMA%22&tbm=bks
[4] https://www.google.co.in/search?hl=en&gbpv=1&dq=%E2%80%A2%09Cost+and+Management+Audit&printsec=frontcover&q=inpublisher:%22PHI+Learning%22&tbm=bks&sa=X&ved=2ahUKEwj95IT4qeP2AhXwUGwGHcT2CF8QmxMoAHoECBwQAg
[5] https://icmai.in/upload/Students/Syllabus2016/Final/Paper-19-August.pdf
[6] https://egyankosh.ac.in/bitstream/123456789/13796/1/Unit-12.pdf
[7] https://docplayer.net/7215617-Chapter-30-cost-audit.html
[8] https://accountingtaxation.iisuniv.ac.in/academic-year/2024-2025