Cost Accounting Fundamentals ... Continued

IMPORTANCE OF COST ACCOUNTING

For Management

  1. Helps in determination of cost
  2. Aids price fixing
  3. Reduction in cost
  4. Eliminates wastage
  5. Helps in finding unprofitable activities
  6. Helps cross check accuracy of financial accounts
  7. Helps in determining selling price
  8. Aids Inventory management
  9. Helps in Estimating for tenders
For  Employees
  1. Incentive Plans
  2. Control of Turnover



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