What are the objective and advantages of cost accounting?
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Objectives of Cost Accounting
1.Cost Accounting is used for estimating the profit and loss of every operation. It also helps to determine the management about the unit cost of service, department or job and product.
2.It is used for taking necessary financial decisions by collecting and contributing appropriate data.
3.For fixing an accurate selling price of a product, cost accounting provides necessary instructions.
4.It helps in the administration of future production policies.
5.Cost Accounting helps the administrative body to prepare and take important steps regarding the budget. It also assists them to execute budget control measures for their company.
6.It provides distinguished cost audit services.
7.Cost Accounting helps in interpreting and presenting data related to planning, performance appraisal and control, assisting the administrative body.
8.It helps the management steer towards proposed capital projects and future expansion programmes.
9.Along with various departmenth eads, it helps to combine the cost reduction programme.
Advantages of Cost Accounting
1.Cost Accounting is very advantageous to the government.
2.Every information on the basis of which tenders and estimates rest, is due to cost accounting.
3.It helps in revealing both moneymaking and unprofitable activities of a firm.
4.It supports an organisation by providing appropriate guidance for reducing prices even less than the total cost.
5.It helps management take apropos decision regarding expenditure towards machineries and labours.
6.Cost Accounting assists the management (administrative body) to make steadfast checks on the precision of a financial account.
7.It also helps in detecting losses in a business and also various reasons for the loss.
I think this hlps u .
Cpd frm google
1.Cost Accounting is used for estimating the profit and loss of every operation. It also helps to determine the management about the unit cost of service, department or job and product.
2.It is used for taking necessary financial decisions by collecting and contributing appropriate data.
3.For fixing an accurate selling price of a product, cost accounting provides necessary instructions.
4.It helps in the administration of future production policies.
5.Cost Accounting helps the administrative body to prepare and take important steps regarding the budget. It also assists them to execute budget control measures for their company.
6.It provides distinguished cost audit services.
7.Cost Accounting helps in interpreting and presenting data related to planning, performance appraisal and control, assisting the administrative body.
8.It helps the management steer towards proposed capital projects and future expansion programmes.
9.Along with various departmenth eads, it helps to combine the cost reduction programme.
Advantages of Cost Accounting
1.Cost Accounting is very advantageous to the government.
2.Every information on the basis of which tenders and estimates rest, is due to cost accounting.
3.It helps in revealing both moneymaking and unprofitable activities of a firm.
4.It supports an organisation by providing appropriate guidance for reducing prices even less than the total cost.
5.It helps management take apropos decision regarding expenditure towards machineries and labours.
6.Cost Accounting assists the management (administrative body) to make steadfast checks on the precision of a financial account.
7.It also helps in detecting losses in a business and also various reasons for the loss.
I think this hlps u .
Cpd frm google
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