Cost Accounting : Principles and Practice,9780273643654

Cost Accounting : Principles and Practice

by
ISBN13: 9780273643654
ISBN10: 0273643657
Format: Paperback
Pub. Date: 2002-06-01
Publisher(s): Trans-Atlantic Pubns
Availability: This title is currently not available.
  • Free Shipping Icon

    This Item Qualifies for Free Shipping!*

    *Excludes marketplace orders.

List Price: $104.48

Rent Textbook

Select for Price
Add to Cart
There was a problem. Please try again later.

New Textbook

We're Sorry
Sold Out

Used Textbook

We're Sorry
Sold Out

eTextbook

We're Sorry
Not Available

Summary

This text provides a clear exposition of the principles and technical procedures of cost accounting. It emphasizes the role of cost accounting within a multi disciplinary approach to management and enhances the appreciation of the wide applicability of the principles and techniques of each topic.

Table of Contents

Preface xv
Acknowledgements xvii
1 Introduction
Introduction
1(1)
Objectives
2(1)
Data, information and the management information system
3(1)
Financial, non-financial, quantitative and qualitative information
3(3)
Strategic, tactical and operational information
6(3)
Organisational objectives
9(1)
Users of accounting information
10(1)
Financial accounting, management accounting and cost accounting
11(3)
Purposes of cost accounting
14(4)
Characteristics of useful information
18(3)
Cost accounting functions
21(2)
Cost accounting as communication
23(1)
Summary
24(1)
Further reading
25(1)
Self-test questions
26(1)
Questions without answers
27(2)
2 The cost accounting framework
29(31)
Introduction
29(1)
Objectives
30(1)
Why do we need to attribute costs?
30(2)
Cost classification
32(12)
'Traditional' costing methodologies
44(3)
Cost accounting's developing environment
47(6)
Summary
53(2)
Further reading
55(1)
Self-test questions
56(2)
Questions without answers
58(2)
3 Cost estimation
60(28)
Introduction
60(1)
Objectives
61(1)
The need for cost estimation
61(1)
Engineering approaches to estimation
62(1)
Estimation by inspection of accounts
63(1)
Estimation using a scattergraph
64(4)
High-low analysis
68(3)
Linear regression analysis
71(2)
The 'single-factor' assumption
73(3)
The relevant range and cost estimation
76(1)
Inflation and cost estimation
77(4)
Summary
81(2)
Further reading
83(1)
Self-test questions
84(2)
Questions without answers
86(2)
4 Costing materials and labour
88(32)
Introduction
88(1)
Objectives
89(1)
Costing materials
89(17)
Costing labour
106(6)
Summary
112(2)
Further reading
114(1)
Self-test questions
115(2)
Questions without answers
117(3)
5 Absorption of overhead
120(30)
Introduction
120(1)
Objectives
121(1)
Rationale for absorption of overheads
121(1)
Absorption costing: 'traditional' methodology
122(19)
Administration, selling and distribution overheads
141(1)
Summary
142(1)
Further reading
143(1)
Self-test questions
144(2)
Questions without answers
146(4)
6 Activity-based costing
150(26)
Introduction
150(1)
Objectives
151(1)
Factors leading to dissatisfaction with 'traditional' methodology
151(3)
The rationale for ABC
154(1)
Design and operation of an ABC system
155(6)
'Traditional' absorption costing and ABC compared
161(4)
Summary
165(2)
Further reading
167(1)
Self test questions
168(4)
Questions without answers
172(4)
7 Cost bookkeeping
176(25)
Introduction
177(1)
Objectives
177(1)
Control accounts
177(2)
Integrated accounting systems
179(12)
Interlocking accounting systems
191(5)
Integrated versus interlocking systems
196(1)
Summary
197(1)
Further reading
198(1)
Self-test questions
199(2)
Questions without answers
201(1)
8 Specific order costing
201(30)
Introduction
204(1)
Objectives
205(1)
Specific order costing
205(1)
Job costing
205(5)
Batch costing
210(1)
Contract costing
211(12)
Summary
223(1)
Further reading
224(1)
Self-test questions
225(3)
Questions without answers
228(3)
9 Process costing
231(39)
Introduction
231(1)
Objectives
232(1)
Basic accounting procedures
233(1)
Normal loss, waste and scrap
234(3)
Abnormal losses and abnormal gains
237(5)
By-products
242(3)
Incomplete units
245(13)
Summary
258(2)
Further reading
260(1)
Appendix 9A: Abridging the unit cost tabulation
260(1)
Appendix 9B: Normal losses and equivalent units
261(4)
Self-test questions
265(2)
Questions without answers
267(3)
10 Joint product costing 270(23)
Introduction
270(1)
Objectives
270(1)
The costing problem
271(1)
Apportioning joint process cost
272(5)
The 'sell or process further' decision
277(2)
Joint cost apportionments, planning, control and decision making
279(2)
The joint process account
281(4)
The joint process as a profit centre
285(2)
Summary
287(1)
Further reading
288(1)
Self-test questions
289(2)
Questions without answers
291(2)
11 Service costing 293(23)
Introduction
293(1)
Objectives
294(1)
Characteristics of service output
294(1)
Services and cost accounting
295(10)
Internally provided services
305(2)
Summary
307(1)
Further reading
308(1)
Self-test questions
309(3)
Questions without answers
312(4)
12 Absorption costing and marginal costing 316(28)
Introduction
316(1)
Objectives
317(1)
Marginal and absorption costing: different rationales
317(2)
Absorption and marginal costing profit statements
319(9)
Marginal and absorption costing: decision making
328(4)
Absorption and marginal costing: a comparison
332(4)
Summary
336(1)
Further reading
337(1)
Self-test questions
338(2)
Questions without answers
340(4)
13 Cost/volume/profit analysis 344(39)
Introduction
344(1)
Objectives
344(1)
Breakeven point
345(2)
Sales required to earn a target profit
347(1)
The margin of safety
348(2)
Graphical presentations
350(7)
Sensitivity analysis
357(6)
Multiple products/services
363(6)
Assumptions of cost/volume/profit analysis
369(3)
Reconciling assumptions with reality
372(4)
Summary
376(1)
Further reading
377(1)
Self-test questions
378(3)
Questions without answers
381(2)
14 Relevant costs and benefits for decision making 383(34)
Introduction
383(1)
Objectives
384(1)
The concept of relevance
384(5)
A full definition of relevance
389(1)
Applying the definition in analysis
389(3)
Opportunity cost
392(2)
A comprehensive example
394(2)
Relevant costing: potential problems
396(3)
Limiting factor decisions
399(8)
Summary
407(2)
Further reading
409(1)
Self-test questions
410(4)
Questions without answers
414(3)
15 Capital investment appraisal 417(32)
Introduction
417(1)
Objectives
418(1)
Capital investment appraisal and organisational strategy
418(1)
Accounting rate of return
419(4)
Payback
423(2)
The time value of money
425(3)
Discounted cash flow (DCF) techniques
428(10)
General difficulties with capital investment criteria
438(1)
Project post-audit
439(1)
Summary
440(2)
Further reading
442(1)
Self-test questions
443(3)
Questions without answers
446(3)
16 Budgetary planning I 449(32)
Introduction
449(1)
Objectives
450(1)
'Budget': a definition
450(1)
Objectives of budgets
451(2)
Operational, tactical and strategic budgets
453(3)
Budget organisation
456(1)
Standard costs: budgetary building blocks
457(7)
Preparation of functional budgets
464(10)
Summary
474(2)
Further reading
476(1)
Self-test questions
477(1)
Questions without answers
478(3)
17 Budgetary planning II 481(27)
Introduction
481(1)
Objectives
482(1)
The master budget
482(1)
The cash budget
483(3)
The budgeted profit and loss account
486(4)
The budgeted balance sheet
490(1)
Budgeting for service industries
491(1)
Public sector budgeting
492(2)
Approaches to budget formulation
494(5)
Summary
499(1)
Further reading
500(1)
Self-test questions
501(3)
Questions without answers
504(4)
18 Budgetary control 508(35)
Introduction
508(1)
Objectives
508(1)
Exceptions reporting
509(1)
Feedback and feedforward control
510(2)
Fixed and flexible budgets
512(8)
Determining the significance of variances
520(2)
Responsibility accounting and control reporting
522(2)
Activity-based control
524(1)
Target costing
525(1)
Benchmarking
526(1)
Cost reduction
526(3)
Financial control: possible problem areas
529(7)
Summary
536(1)
Further reading
537(1)
Self-test questions
538(2)
Questions without answers
540(3)
19 Analysis of variances 543(36)
Introduction
543(1)
Objectives
543(1)
Why analyse budget variances?
544(1)
Subdividing budget variances
544(17)
Reconciling budgeted and actual costs and profit
561(5)
Standard costing control ratios
566(2)
Variance analysis: reinforcing some general problems?
568(3)
Summary
571(1)
Further reading
572(1)
Self-test questions
573(2)
Questions without answers
575(4)
20 Standard cost bookkeeping 579(28)
Introduction
579(1)
Objectives
579(1)
Standard cost bookkeeping
580(11)
Standard process costing
591(4)
Backflush costing
595(3)
Summary
598(1)
Further reading
599(1)
Self-test questions
600(3)
Questions without answers
603(4)
Glossary 607(11)
Appendix A Solutions to self-test questions 618(65)
Appendix B Present value tables 683(2)
Index 685

An electronic version of this book is available through VitalSource.

This book is viewable on PC, Mac, iPhone, iPad, iPod Touch, and most smartphones.

By purchasing, you will be able to view this book online, as well as download it, for the chosen number of days.

Digital License

You are licensing a digital product for a set duration. Durations are set forth in the product description, with "Lifetime" typically meaning five (5) years of online access and permanent download to a supported device. All licenses are non-transferable.

More details can be found here.

A downloadable version of this book is available through the eCampus Reader or compatible Adobe readers.

Applications are available on iOS, Android, PC, Mac, and Windows Mobile platforms.

Please view the compatibility matrix prior to purchase.