Cost Accounting (Cost & Management Accounting)
Now known as Cost & Management Accounting.
Main Aim(s) of the Unit:
This module aims to develop the necessary skills and knowledge base to maintain a sound system for classifying and recording cost accounting information for stock valuation, profit measurement, and for assisting management in the profitable operation of a business.
Main Topics of Study:
Introduction & Materials
- What is Costing?
- Framework
- Classification & Coding
- Purchasing, Reception & Storage
- Stock Recording & Inventory Control
- Pricing Issues & Stock
Labour & Overheads
- Remuneration Methods
- Recording, Costing & Allied Procedures
- Overheads
- Cost Accounts
Costing Methods
- Introduction
- Job & Batch
- Contract
- Operation & Service
- Process
- Joint & By-Product
Planning, Control & Decision Making
- Cost Behaviour
- Marginal & Absorption Costing
- Short Run Decision Making
- B E Analysis
- Capital Investment Appraisal
Budgets & Standards
- Budgets
- Introduction to Standards
- Material, Labour & Overhead Variances
- Sales & Standard Marginal Costs Variances
- Activity-Based Costing
Learning Outcomes for the Unit
At the end of this Unit, students will be able to:
- Explain the role of cost and management accounting in the management process
- Describe and demonstrate how different concepts are used for identifying costs according to the purposes for which those costs are needed
- Explain and demonstrate the Cost-Volume-Profit model and the limitations of its use
- Describe and critically evaluate the different costing systems that operate in organisations
- Describe and demonstrate the role of budgeting within the planning process
- Explain how a standard costing system operates and prepare variances
Learning and teaching methods/strategies used to enable the achievement of learning outcomes:
Learning takes place on a number of levels through lectures, class discussion including problem review and analysis. Formal lectures provide a foundation of information on which the student builds through directed learning and self managed learning outside of the class. The students are actively encouraged to form study groups to discuss course material which fosters a greater depth learning experience.
Assessment methods which enable student to demonstrate the learning outcomes for the Unit:
Examination: 3 hours duration
Indicative Reading for this Unit:
Main Text:
Costing – T Lucey (Continuum)
Alternative Texts and Further Reading:
Cost Accounting – Glautier & Underdown (Pitman)
Finance & Accounting – Giles & Capel (Macmillan)
Guideline for Teaching and Learning Time (10 hrs per credit)
50 hours Lectures / Seminars / Tutorials / Workshops:
Tutorial support includes feedback on assignments and may vary by college according to local needs and wishes.
50 hours Directed learning:
Advance reading and preparation / Class preparation / Background reading / Group study / Portfolio / Diary etc
100 hours Self managed learning:
Working through the course text and completing assignments as required will take up the bulk of the learning time. In addition students are expected to engage with the tutor and other students and to undertake further reading using the web and/or libraries.
