CAF-3 Cost and Management Accounting by Sir Ali Ahmad
This course is part of the CAF Group A Module
Students already enrolled: 10,000+
Fee: Rs 18,000
What you will Learn
The Cost and Management Accounting course is designed to provide students with a deep understanding of accounting practices and principles related to cost management, budgeting, and decision-making within organizations. This course equips future chartered accountants with the knowledge and skills necessary to assist organizations in managing costs effectively and making informed financial decisions.
This course covers various aspects of cost management and accounting:
1. Costs Associated with Production: It includes understanding and accounting for production costs, raw materials, manufacturing overheads, and labor. Topics include inventory valuation, cost accumulation methods, and dealing with over or under-absorbed overheads.
2. Cost Flow in Process Costing: This section addresses the flow of costs in process costing, handling losses, gains, rework costs, and valuing work in process and finished goods. It also covers joint and by-product costing.
3. Cost Management Planning and Decisions: This part focuses on cost-volume-profit analysis, special orders, make or buy decisions, further processing choices, shutdown decisions, economic order quantity (EOQ), and safety stock calculations to support effective decision-making in cost management.
Overall, the course equips students with tools and techniques to manage and make informed decisions about costs in production and business operations.
1. Inventory valuation methods like FIFO, weighted average, and lower of cost and net realizable value, along with concepts of direct and indirect costs, variable, semi-variable, and fixed costs, form the foundation of cost accounting.
2. Methods of apportioning service department costs, such as repeated distribution and simultaneous equation methods, as well as learning curve theory, opportunity costs, and relevant costs, are essential for cost allocation and decision-making.
3. Breakeven analysis, profit/volume charts, economic order quantity, and various variance calculations (e.g., material, labor, production overhead, and sales variances) provide tools for financial analysis and performance evaluation in business.