INSTITUTE OF BUSINESS & MANAGEMENT SCIENCES KPK AGRICULTURAL UNIVERSITY PESHAWAR Programme Course Name Course Code Credit Hours Total Weeks Total Hours : : : : : : MBA-II Cost Accounting MBA-713 03 16 48 Course Objectives This course of cost Accounting deals with planning and controlling. The planning function is essentially a decision making process and controlling deals with management task of organization. The connecting link between the originating planning function and the terminating control function is the cost accounting information system, rightly termed as a tool of management that permits effective communication, continuous feedback, responsibility accounting and managerial flexibility. This course will help the students to perform well and succeed at any level of management in both problem identification and problem solving. Week 1: Introduction The Nature and Scope of Cost Accounting Relationship of Cost Accounting to General Accounting Limitations of Financial Accounting Week 2: Classification of Cost Distinctions between Cost and Expense Sources of Costing Accounting Data Cost Department Week 3: Financial Statement Reporting Function Evaluating Annual Result to Outsider Evaluating Annual Report Result to Insider Week 4: Cost of Goods Manufactured Statement Cost of Goods Sold Statement Income Statement & Balance Sheet Week 5: Job Order Costing Cost Accumulation Procedure Job Order Cost Accumulation Procedure Cost Accounting Procedure for Material Week 6: Cost Accounting Procedure for Labor Cost Accounting Procedure for F.O.H Job Order Cost Sheet Week 7: Process Costing Characteristic of Process Costing Procedure of Process Costing Procedure for Material Week 8: Procedure for Labor Procedure for F.O.H Cost of Production Report Week 9: Factory Overhead Application F.O.H. Predetermined Activity Level Selection Predetermined F.O.H Factor. Week 10: Factory Overhead Actual and Applied Factory Overhead Over and Under Applied Variance Analysis Week 11: Controlling and Costing Of Material Cost Procedure for Material Procurement and use Material Costing Methods FIFO, LIFO, and Average Method Perpetual & Physical Inventory Systems. Week 12: Quantitative Model For Material Planning Material Requirement Economic Order Quantity Maximum, Minimum, Level and Ordering Point Week 13: Planning And Controlling Labor Cost Basis for Labor Cost Control. Productivity and Efficiency Measurement Labor Performance Report Procedure for Labor Costing. Incentive Wage Plan, Types & Purposes. Week 14: Budgeting Profit Sales And Cost Profit Analysis Types and Principles of Budget Advantages of Profit Planning Week 15: Standard Costing Objectives of Standard Costing Budgets and Standards Material Cost Standard Week 16: Labor Cost Standard Factory Overhead Standard Analysis of Variance Recommended Book COST ACCOUNTING PLANNING AND CONTROL-- Matz and Usry. South Western Publishing Company (1990).