Cost Accounting (Meaning, Definition, Objectives)

Cost Accounting (Meaning, Definition, Objectives)

Cost Accounting 

Meaning of Costi Accounting :- Cost accounting is a branch of accounting that focuses on recording, analyzing, and managing the costs incurred by a business. It involves tracking expenses, determining the cost of producing goods or services, and providing information for decision-making to improve efficiency and profitability. 

Definition of Cost Accounting :- Cost accounting is the process of accounting for cost which begins with the recording of income and expenditure are the basis on which they are calculated and ends with the preparation of periodical statements and reports for training and controlling costs.

Objectives of Cost Accounting :- There are following objectives related to Cost Accounting ......

1. Determination of Costs

2. Determination of selling price

3. Cost Control

4. Cost Reduction

5. Inventory Valuation

6. Planning and Policy formation

7. Ascertainment of profit of each activity 

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