Cost Accounting – BBA

Credit: 3

Hours: 51

Credit Type: Theory

Pre-requisite: Principle of Accounting (2)


The aim of cost accounting is to familiarize students with the nature of expenses and other economical information and the uses of this information in management. This course has emphasized on the expansion of information regarding cost of finished goods and how to use these information in analyzing, planning and controlling operations in industrial organizations.

Main Topics:

  1. General understanding of expenses concepts
  2. Understanding expense factors and different systems to calculate cost of goods
  3. An understanding of expenses application in assessment of operation execution and profit planning
  4. An understanding of expenses application in managerial decision making

Cost Accounting which is offered in 3 credit hours and is divided into two general sections:

1- Examining main methods of  cost of goods which focuses on collecting information (not application) of information about costs and generally involves followings topic:

System of cost determination of Production steps

System of cost determination of orders

Standard costs

Direct costs

2- Examining the accounting information application in planning and decision making and control which normally involves:

Cost classification and its analysis- cost analysis- volume- profit


Liability accounting

Profit assessment

Cost distribution analysis

Decision making costs

Assessment of investment costs