Saturday 5 November 2011

What is cost accounting


What is cost accounting

Cost accounting is basically a part of management accounting. However, cost accounting provides lot information for financial accounting as well. It has special relevance in production industry where the more detailed analyses of costs are required involved.


Cost accounting provides useful information to management to establish cost of goods produced, set selling price and put a stock value. Cost accounting help full in determine the future cost. Cost accounting also facilitates the costs comparison for control purposes.  

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