Fear of awkward conversations costing accountants money
Accounting Today
SEPTEMBER 8, 2022
(..)
Cost accounting basics
Accounting Tools
JULY 15, 2024
What are the Basics of Cost Accounting? Cost accounting is the art of translating the costs incurred by a business into actionable analyses that can improve operations and profits. Here are several basic ways in which to use cost accounting: Activity-based costing. Contract costs.
Join 52,000+
professionals
Sign Up for our Newsletter
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Webinars
From Start to Scale: Driving Growth Through Seamless Payments Implementation
Unlock The Blueprint: How To Construct A Better Payment Workflow
The New Way CPAs are Delivering Value: Aligning Automation with Client Success
Profit in the Details: Rethinking Spend for Monumental Impact
Trending Sources
Cost accounting definition
Accounting Tools
MARCH 27, 2023
Related Courses Cost Accounting Fundamentals Financial Analysis What is Cost Accounting? Cost accounting examines the cost structure of a business. None of these tools are used by financial accountants, who are more concerned with the production of financial statements.
Webinars
From Start to Scale: Driving Growth Through Seamless Payments Implementation
Unlock The Blueprint: How To Construct A Better Payment Workflow
The New Way CPAs are Delivering Value: Aligning Automation with Client Success
Profit in the Details: Rethinking Spend for Monumental Impact
The advantages of cost accounting
Accounting Tools
JULY 8, 2024
What is Cost Accounting? Cost accounting involves the recordation, analysis, and reporting of costs to management. The intent behind this type of accounting is to provide insights into the cost structure of a business that can be used to better manage it, thereby improving profitability.
Manufacturing cost accounting definition
Accounting Tools
OCTOBER 9, 2023
Related Courses Activity-Based Costing Constraint Management Cost Accounting Fundamentals What is Manufacturing Cost Accounting? Manufacturing cost accounting encompasses areas that impact production operations and the valuation of inventory.
Cost accounting formulas
Accounting Tools
OCTOBER 8, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals The Interpretation of Financial Statements Certain cost accounting formulas should be monitored on a regular basis in order to spot spikes or drops in the performance of an organization. The result should be close to 1.
The difference between cost accounting and financial accounting
Accounting Tools
OCTOBER 27, 2023
Related Courses Accountants’ Guidebook Cost Accounting Fundamentals There are a number of differences between cost accounting and financial accounting , which are noted below. Cost accounting involves the preparation of a broad range of reports that management needs to run a business.
Process costing | Process cost accounting
Accounting Tools
APRIL 17, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals What is Process Costing? Process costing is used when there is mass production of similar products, where the costs associated with individual units of output cannot be differentiated from each other. First-in first-out costing (FIFO).
Cost accountant job description
Accounting Tools
JANUARY 12, 2024
What is a Cost Accountant? A cost accountant is someone who analyzes the cost structure of a business and extracts actionable information that can improve the profitability of a business. Related Articles Accounting Career Advice (podcast) The Cost Accountant Position (podcast) The Different Types of Accountants
Accounting for manufacturing businesses
Accounting Tools
JULY 8, 2024
How to Account for a Manufacturing Business The accounting for a manufacturing business deals with inventory valuation and the cost of goods sold. The number of cost pools should be minimized to reduce the amount of allocation work by the accountant. The concepts are expanded upon below.
Accounting 
76
76 
The functions of managerial accounting
Accounting Tools
APRIL 4, 2023
Related Courses Cost Accounting Fundamentals Managerial accounting involves collecting, analyzing, and reporting information about the operations and finances of a business. The functions of managerial accounting include the following: Margin analysis. Transaction analysis.
Accounting 75
75 
Booz Allen pays $377.5M to settle U.S. civil probe
Accounting Today
JULY 24, 2023
The federal contractor reached one of the largest procurement fraud settlements in history over a civil investigation related to its cost accounting.
Cost Accounting 130
130 
Types of accounting
Accounting Tools
JUNE 20, 2023
Related Courses Bookkeeping Guidebook CFO Guidebook New Controller Guidebook What are the Types of Accounting? There are several types of accounting that range from auditing to the preparation of tax returns. Accountants tend to specialize in one of these fields, which leads to the different career tracks noted below.
Accounting 75
75 Basics of accounting
Accounting Tools
OCTOBER 11, 2023
Related Courses Accountants’ Guidebook Bookkeeper Education Bundle Bookkeeping Guidebook Introduction to Accounting Basics Accounting is the practice of recording and reporting on business transactions. This means setting up accounts in which financial information is stored. Examples are accounts receivable and inventory.
Accounting 75
75 
What AI Will Automate In Accounting with Erica Goode, CPA
Cloud Accounting Podcast
APRIL 26, 2023
FTX had 80,000 transactions in Ask My Accountant; the crazy cost accounting behind EY's failed breakup; using ChatGPT for financial statement analysis; what the tech world thinks AI will automate in accounting and more! Interested in sponsoring the Cloud Accounting Podcast? We appreciate you!
CPA 98
98 
Accounting department responsibilities
Accounting Tools
APRIL 6, 2024
What Does the Accounting Department Do? The accounting department is responsible for a large number of administrative functions within an organization. Though considered "back office" activities, these functions are essential to the proper operation of a business. They are as follows: Credit.
Accounting 75
75 
Accounting for inventory
Accounting Tools
MARCH 23, 2023
Related Courses Accounting for Inventory How to Audit Inventory Inventory Management How to Account for Inventory The accounting for inventory involves determining the correct unit counts comprising ending inventory , and then assigning a value to those units. These basic inventory accounting activities are expanded upon below.
Accounting 75
75 
What is accountancy?
Accounting Tools
DECEMBER 19, 2023
Accountancy is the practice of recording, classifying, and reporting on business transactions for a business. The key accountancy tasks are noted below. There are also a number of business transactions that are non-repetitive in nature, and so require the use of journal entries to record them in the accounting records.
Common Accounting Mistakes: Government Edition - Issue #11 What is GAAP?
SMB Accounting and Consulting
DECEMBER 2, 2020
Many small business government contractors are exempt from complying with cost accounting standards (CAS) and defined by the code of federal regulations (CFR). However, compliance with generally accepted accounting principles (GAAP) is required. These should be integrated in any federal contractors accounting policies.
Accruals 87
87 What is an accountant?
Accounting Tools
NOVEMBER 1, 2023
Related Courses Accountants' Guidebook Bookkeeping Guidebook New Controller Guidebook An accountant is a person who records business transactions on behalf of an organization, reports on company performance to management, and issues financial statements. Management reports are issued to the management team.
Accounting for pensions
Accounting Tools
OCTOBER 28, 2023
Related Courses Accounting for Retirement Benefits How to Account for a Pension The accounting for pensions can be quite complex, especially in regard to defined benefit plans. The Types of Pension Costs There are a number of costs associated with defined benefit plans that may at first appear arcane.
Accounting 75
75 
Traceable costs definition
Accounting Tools
JULY 19, 2024
The cost cannot be traced to the cost objects within the building, such as a production line, since the line could be shuttered but the insurance expense would still be incurred as long as the building was owned by the company.
How to calculate the cost of goods sold
Accounting Tools
JUNE 22, 2024
Formula for the Cost of Goods Sold The cost of goods sold is calculated by aggregating the period-specific expense listed in each of the general ledger accounts that are designated as being associated with the cost of goods sold.
Manufacturing overhead definition
Accounting Tools
APRIL 7, 2024
Related AccountingTools Courses Accounting for Inventory Activity-Based Costing Cost Accounting Fundamentals What is Not Included in Manufacturing Overhead? Manufacturing overhead does not include any of the selling or administrative functions of a business. it is also possible to use multiple allocation methods.
How to Become a CPA in Florida
Intuit
SEPTEMBER 18, 2024
Table of Contents Florida CPA Requirements How to Become a CPA in Florida CPA Jobs According to Florida’s Department of Business & Professional Regulation (DBPR), there are more than 36,000 Certified Public Accountants (CPAs) and 5,000-plus CPA firms in the state. To sit for the exam, you must meet Florida’s CPA education requirements.
CPA 130
130 
Hybrid costing system definition
Accounting Tools
APRIL 10, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals What is a Hybrid Costing System? A hybrid costing system is a cost accounting system that includes features of both a job costing and process costing system.
Costing definition
Accounting Tools
JULY 27, 2023
Related Courses Activity-Based Costing Activity-Based Management Cost Accounting Fundamentals What is Costing? Costing is any system for assigning costs to an element of a business. This calls for the use of a cost allocation system, consistently applied.
What are direct materials?
Accounting Tools
NOVEMBER 1, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals How to Audit Inventory Direct material is the physical items built into a product. The direct materials concept is used in cost accounting , where this cost is separately classified in several types of financial analysis.
Cost of goods manufactured schedule
Accounting Tools
SEPTEMBER 7, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals How to Audit Inventory What is a Cost of Goods Manufactured Schedule? The cost of goods manufactured schedule is used to calculate the cost of all items produced during a reporting period.
Total cost definition
Accounting Tools
FEBRUARY 15, 2024
What is Total Cost? Total cost is the total expenditure incurred to produce some type of output. From an accounting perspective, the total cost concept is more applicable to financial reporting, where overhead costs must be assigned to certain assets. The alternative definitions for total cost are noted below.
Cost concepts in decision making
Accounting Tools
JULY 7, 2024
Related AccountingTools Courses Cost Accounting Fundamentals Effective Decision-Making Financial Analysis Allocated Costs Overhead costs are allocated to manufactured goods only because it is required by the accounting standards (for the production of financial statements ).
The formula for calculating efficiency
Accounting Tools
JUNE 12, 2023
Related Courses Cost Accounting Fundamentals Financial Analysis Operations Management How to Calculate Efficiency The efficiency equation is a comparison of the work output from an operation to the work input to that same operation. The concept has been most thoroughly formalized in cost accounting , as noted below.
Conversion costs definition
Accounting Tools
JUNE 21, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals What are Conversion Costs? Conversion costs are those production costs required to convert raw materials into completed products. Therefore, the conversion cost per unit for the month was $6.80
Factory cost definition
Accounting Tools
NOVEMBER 1, 2023
Related Courses Accounting for Inventory Cost Accounting Fundamentals What is Factory Cost? Factory cost refers to the total cost required to manufacture goods. This concept is the basis for several cost accounting analyses. As such, these costs are recorded as part of the inventory asset.
Cost of sales definition
Accounting Tools
JUNE 11, 2023
Related Courses Accountants' Guidebook Bookkeeping Guidebook Cost Accounting Fundamentals What is the Cost of Sales? The cost of sales is the accumulated total of all costs used to create a product or service, which has been sold.
Downward demand spiral definition
Accounting Tools
APRIL 25, 2024
Related AccountingTools Courses Activity-Based Costing Cost Accounting Fundamentals Example of a Downward Demand Spiral Tsunami Products manufactures several types of shower heads. After a detailed analysis of margins, the company’s cost accountant recommends to management that the dual shower head model be cancelled.
Product cost definition
Accounting Tools
JUNE 20, 2024
Managers may also prefer to focus on the impact of a product on a bottleneck operation, which means that their main focus is on the direct materials cost of a product and the time it spends in the bottleneck operation. It is charged to the cost of goods sold as soon as the product is sold, and appears as an expense on the income statement.
Process costing system definition
Accounting Tools
AUGUST 11, 2024
The classic example of a process costing environment is a petroleum refinery, where it is impossible to track the cost of a specific unit of oil as it moves through the refinery. Direct Materials Costs Using either a periodic or perpetual inventory system, we determine the amount of direct materials used during the period.
Collections 75
75 
The difference between job costing and process costing
Accounting Tools
JUNE 8, 2023
Related Courses Accounting for Inventory Activity-Based Costing Cost Accounting Fundamentals Job costing involves the detailed accumulation of production costs attributable to specific units or groups of units. Costs are likely to be accumulated at the department level, and no lower within the organization.
The difference between direct and indirect labor
Accounting Tools
APRIL 17, 2024
Related AccountingTools Course Cost Accounting Fundamentals Comparing Direct and Indirect Labor The difference between direct labor and indirect labor is that only labor involved in the hands-on production of goods and services is considered to be direct labor. The accounting is noted below.
Full cost definition
Accounting Tools
APRIL 20, 2023
Related Courses Cost Accounting Fundamentals What is Full Cost? Full cost is the aggregation of all costs associated with a product or other cost object. These costs include both the direct costs and indirect costs of production, but do not include selling, general and administrative expenses.
The Difference between Bookkeeping and Accounting
SMB Accounting and Consulting
DECEMBER 21, 2022
Bookkeeping and accounting are often used interchangeably when describing a process of recording financial transactions for a business, but they are not the same functions. Accountants also support management in the implementation and monitoring of internal controls. Tax accountants specialize in IRS law and completion of tax returns.
Bookkeeping 52
52 Plantwide overhead rate definition
Accounting Tools
JULY 28, 2023
Related Courses Accounting for Inventory Activity-Based Costing Cost Accounting Fundamentals What is a Plantwide Overhead Rate? The plantwide overhead rate is a single overhead rate that a company uses to allocate all of its manufacturing overhead costs to products or cost objects.
Relative sales value method definition
Accounting Tools
OCTOBER 23, 2023
Related Courses Cost Accounting Fundamentals What is the Relative Sales Value Method? The relative sales value method is a technique used to allocate joint costs based on the prices at which products will be sold.
Let's personalize your content