Name: Denise Lea Jean O.

Manolong

COST ACCOUNTING REVIEWER

Cost Accounting- It is the field of accounting that measures, records, and reports information
about cost. It is the intersection between financial and managerial accounting

Financial Accounting- Is primarily concerned with financial statements for external use by
those who supply funds to the entity.

Managerial Accounting- Focuses on the needs of parties within the organization, rather than
interested parties outside the organization.

Planning- is the process of establishing objectives or goals for the firm and determining the
means by which the firm will attain them.

Control- is the process of monitoring the company’s operations and determining whether the
objectives identified in the planning process are being accomplished.

Strategic Planning- concern with setting long range goals and objectives to determine the
overall direction of the company

Tactical Planning- concerned with plans for a shorter range and emphasizes plans to achieve
strategic goals.

Operations Planning- relates to the day to day implementation of tactical plans. It emphasizes
the coordination of the major factors of production (materials, labor & facilities)

Job Order Costing- is a product costing system used by companies making one-of-a-kind or
special-order products.

Process Costing- is a product costing system used by companies that make a large number of
similar products or maintain a continuous production flow.

Operation Costing- is a hybrid costing system often used in repetitive manufacturing where
finished products have common

PROCESS COSTING JOB ORDER COSTING

-homogenous units pass through a
similar process.
-cost are accumulated by process
department
-unit cost are computed by dividing
the individual departments cost by
the equivalent production
-unique jobs are worked on during a
time period
-cost are accumulated by individual
job
-unit cost are determined by
dividing the total costs on the job
cost sheet by the number of units on
job.
-the cost of production report -the job cost sheet provides the
provides the detail for the work in detail for the work in process
process account for cash account
department.