Cost and Management Accounting Syllabus | Dibrugarh University M.Com 1st Sem | Notes

Cost and Management Accounting Syllabus
Dibrugarh University M.Com 1st Sem
Course: COM-103 (First Semester) Cost and Management Accounting Credits: 4

Block I: Cost Accountancy, Activity Based Costing and Cost Reduction Marks-16

Cost Accountancy: Objectives, Introduction, Definition of Cost, Costing and Cost Accounting; Nature of Cost Accounting, Objective of Cost accounting, Importance of Cost Accounting, Evolution of Cost Accounting System and Cost Concepts.

Activity Based Costing Objectives, Weaknesses of Conventional Costing, Meaning of Activity Based Costing, Stages and Flow of Costs in Activity Based Costing, Cost Analysis under Activity Based Costing, Differences between Activity Based Costing and Conventional Costing, Scope of Activity Based Costing, Benefits and Limitations of Activity Based Costing, Installation of Activity Based Costing.

Cost Reduction: Objectives, Meaning of Cost Reduction, Cost Control and Cost Reduction, Objectives of Cost Reduction, principles of Cost Reduction and Control, scope and Areas of Cost Control and Cost Reduction, Distinction between Cost Control and Cost Reduction, Techniques to Control and Reduce Costs, Advantages of Cost Reduction, Dangers of Cost Reduction Efforts, Cost Reduction-its Organization.

Block II: Operating Costing, Process Costing and Reconciliation of Cost and Financial Accounts Marks-16

Operating Costing: Objectives, Concept of Operating Costing, Transport Costing-Objectives, Composition of Costs, Collection of Costs, Ascertainment of Costs.

Process Costing: Objectives, Process Costing, Introduction, Applicability of Process Costing, Essential Characteristics of Process Costing, Distinction between job Costing and Process Costing, General principles of Process Costing. Normal Process Loss: Abnormal Process Loss: Abnormal Gain/Effectiveness: Inter-Process Profits: By-product and its accounting treatment: Joint products and their accounting treatment.

Reconciliation of Cost and Financial Accounts: Objectives, Introduction, Objectives of Reconciliation, Need for Reconciliation, Reasons for disagreement between Cost Accounts and Financial Accounts, Differing Treatment of items, Effects of various items on profit, procedure of Reconciliation.

Download DTS App for Notes and Solved Papers

Block III: Analysis and Interpretation of Accounts; Study of Financial Statements; Techniques of Financial Statement Analysis Marks-16

Analysis and Interpretation of Accounts. Objectives, Meaning of Financial Statement Analysis, Interpretation of Financial Statements, Parties interested in Financial Statements, Limitations of Financial Statement Analysis, Procedure for interpretation.

Study of Financial Statements; Techniques of Financial Statement Analysis. Objectives, Techniques of Financial Statement Analysis-Horizontal Analysis, Vertical Analysis, Trend Analysis, Ratio-Analysis, Comparative Financial Statements, Common-size statements.

Block IV: Analysis and Interpretation of Financial Data; Ratio Analysis Marks-16

Analysis and Interpretation of Financial Data Objectives, Meaning, Purposes and need for Ratio Analysis, Advantages of Ratio Analysis, Limitations of Ratio Analysis. Ratio Analysis Objectives, Different modes of expressing ratios, Balance Sheet Ratios, Revenue Statement Ratios, Composite Ratios. Functional or Purpose classification of Ratios-Liquidity Ratios, Leverage Ratios, Profitability Ratios, Activity Ratios.

Block V: Working Capital: Concept and Management; Projections of Working Capital Requirements Marks-16

Working Capital: Concept and Management objectives, Meaning of Working Capital, Concepts of Working Capital, Importance of Working Capital, Factors affecting the amount of Working Capital, Classification of Working Capital, Working Capital cycle.

Projection of Working Capital requirements; in case of Trading Organisation - in case of Manufacturing Organisation. Objective, estimating Working Capital requirement - manufacturing concerns, Illustrations.

Recommended Books and Suggested Readings:

1. Arora M.N.: Cost Accounting; Principles and Practices; Vikas; New Delhi.

2. Jain S.P.& Narang K.L: Cost Accounting; Kalyani; New Delhi

3. Anthony; Robert & Reece; Et Al: Principles of Management Accounting; Richard Irwin Inc.

4. Horngren; Charles; Forest And Datar El Al: Cost Accounting; A Managerial Emphasis; Prentic Hall; New Delhi.

5. Debarshi Bhattacharyya: Management Accounting; Pearson Education.