ITS-MANAGEMENT & IT INSTITUTE MOHAN NAGAR, GHAZIABAD Course: PGDM (11-13) Batch Section: A,B,C& D Trimester: II Subject: Cost

Accounting

Name of Faculty: Prof Neetu Purohit & Prof Manju Lamba PART-1 Learning Objectives Objective: This Course intends to: 1. Develop basic understanding of cost management, 2. Introduce budgetary control and standard costing techniques as control mechanism, and 3. Impart analytical technique of cost estimation, cost analysis and benchmarking. Outcomes: To achieve this unit a student must: Examine cost accounting framework and process for implementing in organisations Apply tools to control cost Explain the concept of cost accounting & Activity based costing in business Explain techniques of management accounting like CVP analysis Prepare various budgets for decision making. Emerging concepts Contents: Unit I Introduction: Understanding various cost elements, overhead analysis Unit II Marginal costing and Cost Volume Profit analysis-Introduction to Relevant Costing Unit III Standard Costing: Concept of standard costs, establishing various cost standards, calculation of Material Variance, Labour Variance and its applications and implications. Budgeting: Concept of Budget; Budgeting and Budgetary Control Unit IV Responsibility Accounting, Profit Centre, SBV Approach, Transfer Pricing Multinational transfer pricing, market based transfer pricing, cost-based transfer pricing, Cost of Quality and Time Neo

Concepts for Decision Making: Activity Based Costing, Cost Management, Value Chain Analysis, Target Costing & Life Cycle Costing : concept, strategies and applications of each SUGGESTED READINGS: 1) Horngren et al- Introduction to Management Accounting (Pearson, 12th edition), 2002 2) Khan and Jain- Management Accounting (Tata McGraw-Hill, 2000) 3rd ed. 3) Pandey I M- Management Accounting, Vikas Publication, 3rd Edition. 4) Bhattacharyya S K and Dearden J- Accounting for Management (Vikas), 1987, 8th ed. 5) Sahaf M A- Management Accounting: Principles and Practice (Vikas), 2000 6) Shah Paresh- Management Accounting(Oxford University Press), 2009 7) Bhattacharyya Debarshi- Management Accounting(Pearson) 8) Singh S.K.,Gupta Lovleen- Management Accounting : Theory & Practice ( Pinnacle), 2008. 9) Rajasekaran V.,Lalitha R. Cost Accounting (Pearson),2011 10) Horngren, Charles T., Gary L., Sundem and William O. Stratton, Introduction to Management Accounting, Prentice Hall. 11) Drury, C., Management and Cost Accounting, International Thompson Business Press. 12) Hussey, Jill and Hussey, Roger, Cost and Management Accounting, 2nd ed., Houndmills, McMillan Press, 1999 13) Van Darbeck, Edward J and Nagy, Charles F, Principles of cost accounting, 11 th Ed., Cincinnati, Ohio: ITP South-Western College, 1999 Delivery: The subject will be taught using a mixture of lectures to cover basic theory, practical case studies and examples / numerical covered in workshops/seminars and tutorials sessions. Tutorials will help in the discussion of the various cases, problems and models. Group presentations will be encouraged to explore alternatives. Evaluation Criteria:Internal : 60 Online Quiz: 20 Project & Presentation :20 Test: 10 Assignment: 10 External : 40 Part-II Lesson Plan S.No Unit-1 Introduction: Understanding various cost elements 1-2 Khan and JainManagement Accounting (Tata Sycon Technology Inc. Case on Topic Lecture No References Remarks

McGraw-Hill, 2000) 3rd ed Unit2 Marginal costing and Cost Volume Profit analysis-Introduction to Relevant Costing Project Allocation Unit-3 Budgeting: Concept of Budget; Budgeting and Budgetary Control Standard Costing: Concept of standard costs, establishing various cost standards, calculation of Material Variance, Labour Variance and its applications and implications. Test Assignment Unit-4 Responsibility Accounting, Profit 16 Centre, SBV Approach, Transfer Pricing Multinational 17 transfer pricing, market based transfer pricing, cost-based transfer pricing, Cost of Quality and Time Neo Concepts for Decision 18 Making: Activity Based Costing, Cost Management, Value Chain Analysis, Target Costing & Life Cycle Costing : concept, strategies and applications of each Online Quiz Shah PareshManagement Accounting(Oxford University Press) Shah PareshManagement Accounting(Oxford University Press) Shah PareshManagement Accounting(Oxford University Press) 9-11 Rajasekaran V.,Lalitha R. Cost Accounting (Pearson),2011 Horngren et alIntroduction to Management Accounting (Pearson, 12th edition) 3-8 Rajasekaran V.,Lalitha R. Cost Accounting (Pearson),2011

Cost Concept

Practical

12-15

Practical

Case: ABC and Customer Profitability