The scope of cost accounting very wide. There are lots of techniques, tools, procedures, processes, programs are used in cost accounting for calculating cost and its control. But basically, we divide its scope within three major parts.
1. Cost Ascertainment
In this region of cost accounting, cost accounting collects product's material, labour and overhead cost and try to calculate total and per unit cost of the product. This total cost calculation will be based on historical or standard or estimated basis. After this, cost accountant will use any method of costing like specific order costing, operation costing, and direct costing techni
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The scope of cost accounting very wide. There are lots of techniques, tools, procedures, processes, programs are used in cost accounting for calculating cost and its control. But basically, we divide its scope within three major parts.
1. Cost Ascertainment
In this region of cost accounting, cost accounting collects product's material, labour and overhead cost and try to calculate total and per unit cost of the product. This total cost calculation will be based on historical or standard or estimated basis. After this, cost accountant will use any method of costing like specific order costing, operation costing, and direct costing technique. These techniques and methods may be used for calculating different nature products in same organisation.
2. Cost Records
In this part of cost accounting, cost accountant maintains cost books, vouchers, ledgers, reports and other cost related documents for future comparison and reference. It will also be under the scope of cost accounting.
3. Cost Control
this is the end boundary of cost accounting scope. In this division, cost accountant used different techniques and methods for controlling the cost. Save One Rupees in the cost of product means we have earned one rupees in the production of goods. So, Cost accountant uses budgetary control, standard costing, break-even point analysis and many other techniques for controlling the cost
job opportunities available in India
Cost accountants might work for accounting or consulting firms, or they might work directly for corporations in the retail or manufacturing sectors. But regardless of the work environment, accurate cost accounting enables a company to reduce financial waste and increase profit. Entry Level jobs
Types of Roles
Staff cost accountant, junior accountant, accounting assistant, accounting clerk
Mid Level jobs
Types of Roles
Cost accounting manager, senior cost accountant
Senior Level jobs
Types of Roles
Financial controller, chief financial officer, vice-president of finance.
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