Scribd Logo
Upload

Welcome to Scribd!

  • Functions of A Cost Auditor - Mythhen (Cma)

    Uploaded by

    Mytheen Muhammed
    5K views13 pages
    The document outlines areas that a cost auditor should review including material, labor, and overhead records. Specifically, it recommends reviewing inventory levels and order sizes, labor performance and efficiency compared to standards, and capacity utilization to ensure idle time is not excessive and production volume is optimized. The goal of the cost audit is to verify the correctness of the costing system and accounts and ensure they adhere to cost accounting objectives.

    Original Description:

    Original Title

    Functions of a Cost Auditor . Mythhen (Cma)

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    The document outlines areas that a cost auditor should review including material, labor, and overhead records. Specifically, it recommends reviewing inventory levels and order sizes, labor performance and efficiency compared to standards, and capacity utilization to ensure idle time is not excessive and production volume is optimized. The goal of the cost audit is to verify the correctness of the costing system and accounts and ensure they adhere to cost accounting objectives.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    5K views13 pages

    Functions of A Cost Auditor - Mythhen (Cma)

    Uploaded by

    Mytheen Muhammed
    The document outlines areas that a cost auditor should review including material, labor, and overhead records. Specifically, it recommends reviewing inventory levels and order sizes, labor performance and efficiency compared to standards, and capacity utilization to ensure idle time is not excessive and production volume is optimized. The goal of the cost audit is to verify the correctness of the costing system and accounts and ensure they adhere to cost accounting objectives.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 13

    | |

     

     

    ͞It is the detailed checking of the


    costing system, technique and
    accounts to verify their
    correctness and to ensure
    adherence to the objective of
    cost accountancy.͟
    ?  AUDI PR RAMME
    he ?ost Auditor should pay his attention to the
    following records:
    V Record of Materials
    V Labour Records
    V Record of verhead ?harges
    V Depreciation
    V Work-in-Progress Records
    V Incomplete Records
    V tores and pare Parts Records
    | |
     

    Inventory
    V Is the size of the inventory adequate or
    excessive compared with he production
    programme?
    V Dose it ensure optimum order size?
    Inventory
    Labour
    V Assess the performance efficiency of the
    labour and compare it with the standard
    performance, so that labour utilization could
    be progressively improved.
    V ?ost of labour is allocated to different jobs
    with reference to time or job cards
    ?apacity utilisation
    V he idel capacity in any production shop or of
    transport facilities for distribution is not
    excessive.
    V he production volume and overall machine
    hours utilised are commensurate. In other
    words, the machine hours utilised have given
    the optimum out turn.
    verheads
    ANK Y U!

    You might also like