Cost Account for Engineers MTRSO5043A

Course content: Cost based decision making: the meaning of cost, classification of costs – different type of costs for different purposes, the calculation of product costs. Cost accounting: the models of cost accounting (cost systems), absorption costing and variable costing system; Methods for separating variable costs and fixed costs, costs in profit and loss accounting. The operational process of costs budgeting and controlling costing. Activity Based Costing systems, Target costing and Kaizen costing, the costs of quality.

Learning outcomes: students should be able to: define and describe structures costs, describe the role and chosen methods of modern strategic cost management, to explain how variable costing can be used for decision making, prepare profit and loss account and apply budgeting process.