Scope of Cost Accountancy

Scope of Cost Accountancy 

Scope of Cost Accountancy 

The scope of cost accountancy is wider than cost costing and cost accounting when we think about the cost accountancy then we find following related is scope.

1. Cost Ascertainment:- Cost of certainment the primary and main scope of cost accountancy is to find out the cost of product / services rendered with reasonable degree of accuracy.

2. Cost accounting:- it is the process of accounting for cost which begins with recording of expenditure and ends with preparation of data.

3. Cost control:- it is a process of regulating the action so as to keep element of cost within the set parameters.

4. Cost report:- This is ultimate functions of cost accounting. these reports are primarily prepared for use by the different level of management. it helps in planning and control performance appraisal and managerial decision making.

5. Cost audit:- Cost audit is the verification of correctness of cost accounts and check on the others to the cost accounting plan.

6. Cost reduction:- it is a process of decreasing business expenses and improving efficiency to achieve lower over all expenditure.

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