Break-even analysis covering meaning of break-even point, calculation methods (units, value, percentage), margin of safety, break-even chart preparation, angle of incidence, profit and loss areas, graphical representation.
Cost-volume-profit analysis covering contribution, P/V ratio computation, uses of P/V ratio, improving P/V ratio, relationship between cost, volume and profit at different activity levels, sales mix decisions.
Process costing method covering definition, features, elements of cost, process accounts preparation, treatment of normal and abnormal losses, abnormal gains, inter-process profits, work-in-progress valuation, equivalent production calculations.
Single/output costing method covering definition, objectives, elements of cost, cost sheet preparation, statement of cost, advantages, applications in continuous production industries with uniform homogeneous products.
Contract and job costing covering meaning, procedure, material cost, labor cost, direct expenses, plant and machinery, sub-contract cost, extra work, work certified, work uncertified, retention money, profit calculation on incomplete contracts.