Cost Accounting

The Cost Accounting book has been published according to the latest syllabus of Kumaun University, Nainital for B.Com. Semester III.

• In this revised edition, several new Illustrations (solved) of real worth have been added and questions graded. All the chapters have been closely screened and revised to make the book utility-oriented in a larger measure. Questions asked in various universities examinations have been incorporated in the book.
• The Illustrations and Practical Questions have been given Topic-wise, graded from easy to difficult. The students of elementary studies may select easy questions Topic-wise and leave difficult ones.
• Most important feature of this edition is that some advanced exercises with solutions and problems with answer have been given chapter-wise at the end of the book.

Cost Accounting Syllabus for B.Com Semester III of Kumaun University

UNIT-I: Introduction: Definition, Nature, Objectives, Importance, Limitations of Cost Accounting, Characteristics of an Ideal System of Cost Accounting.

UNIT-II: Elements of Cost: Direct Materials: Inventory Control, Pricing of Issue of Materials, Direct Labour: Turnover, Treatment of Idle time and over time, Overhead – nature, Collection, and Classification.

UNIT-III: Unit Costing: Preparation of Cost Sheet and Statement of Cost, Computation of Quotation Price, Tender Price.

UNIT-IV: Contract Account, Calculation of Profit on complete and incomplete Contract, Work-in-Progress and Balance Sheet of a Contracting firm.

UNIT-V: Reconciliation of Cost account with Financial Account.

Cost Accounting Book Contents

1. Cost Accounting: An Introduction
2. Cost: Elements, Concepts, and Classification (as per CAS-1)
3. Material Cost Accounting (including Material Purchase and Issue Pricing)
4. Material/Inventory Cost Control: Concept and Techniques (including Treatment of Material Losses)
5. Labour Cost Accounting Labour Turnover, Idle Time and Overtime (in the context of CAS-7) 
6. Methods of Wage Payment: Time Rates, Piece Rates, and Incentive Schemes
7. Accounting for Overheads: Classification and Treatment
8. Overheads: Allocation, Apportionment (Departmentalisation) and Absorption (in the context of CAS-3)
9. Machine Hour Rate Method
10. Unit or Output Costing-I (Cost Sheet, Cost Statement, and Production Account) 
11. Unit or Output Costing-II (Calculation of Estimates, Tender and Quotation Price)
12. Contract Costing (including AS-7)
13. Reconciliation of Cost and Financial Accounts