Meaning Of Cost Accounting Essay Business Planning Tips
There are five commonly accounting assumptions The accounting entity assumption - regards that the business is an entity or body separate from its owners, the accounting entity is not always the same as the legal entity. (Cost Accounting manager needs to effectively manage the firm or not-for-profit organization -- both financial information about costs and revenues and relevant non-financial information about productivity, quality, and other key success factors for the firm. Direct Materials Cost - According to our text book, direct materials cost is “Acquisition costs of all materials that eventually become part of the cost object (work in process and then finished goods), and that can be traced to the cost object in an economically feasible way.” Examples of this are the stuffing and cloth used to make pillows, as well as the acquisition costs of these items such as shipping charges and sales tax.Many factors are considered while fixing the price of a product/item such as competitors’ price etc.One of the basic factors is the cost of its production. 1-4 In the private sector, the Financial Accounting Standards Board, an independent organization, and the American Institute of Certified Public Accountants (AICPA) supply guidance regarding financial reporting practices. Typically, cost management is the responsibility of the Chief Financial Officer (CFO) who often delegates much of this responsibility to the Controller.A presumption exists that an accounting principle once adopted shall not be changed in accounting for events and transactions of a similar type (Financial Accounting Standards Board).It is preferred that consistent use of the same accounting principle from one accounting period to another is used because it enhances Apolinar Perdomo Phase 1 Accounting in the Organization DB2 ACC350-1103A-10 Colorado Technical University Professor Lynn Sheik Accounting can be broken down into many different categories and areas. In 3 – 4 sentences, define the following terms and give two examples of each: c.Crisp Company, a manufacturer with heavy investments in property this end, you have worked with accounting and other areas to gather the following information assembled.