Summary MANAGEMENT ACCOUNTING Notes 2024

MANAGEMENT ACCOUNTING Notes 2024 CONTENT 1.Nature and purpose of cost and management accounting -The nature of cost accounting and costing terms -The role of cost accounting in management -The purposes of cost accounting information -Scope of cost accounting -Meaning of management accounting, scope, limitations, applications -Relationship between cost, financial and management accounting -Selection of an ideal cost accounting system 2.Cost classification -Definition and purpose of cost classification -Methods of cost classification: By nature/elements of manufacturing costs; Functional classification; Behavioral classification; Controllability; Time; Financial accounting; Identification with inventory; For decision making 3.Cost estimation -Meaning of cost estimation -Methods of estimating cost; non-mathematical methods like engineering method, accounts analysis method and high-Iow method; mathematical methods like scatter graph method, OLS regression method (simple linear regression only)