January 2023

Introduction to costing terms

By |2022-09-15T12:32:29+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Costing Terms

  • Before we get started with the actual costing process you need to get acquainted with various cost accounting terms and costing
  • It is important to note that this is not meant to be a glossary of all the terms in cost accounting
  • This is […]
Comments Off on Introduction to costing terms

Inventory valuation methods: AVCO: Solution to Example Question

By |2022-09-15T12:32:21+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Inventory valuation: Inventory valuation methods: Weighted Average Cost(AVCO): Example Question

If you are viewing this post on a small screen/mobile device please view it in Landscape Mode otherwise it will be distorted.

Comments Off on Inventory valuation methods: AVCO: Solution to Example Question

Absorption Costing: Statement of Profit or Loss Example

By |2022-09-15T12:30:37+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Absorption Costing: Statement of Profit or Loss Example

  • We have already looked at the format of a Statement of Profit or Loss under Absorption Costing here
  • It is now time to look at an example

Example Question

Oakwood Manufacturing Ltd started in business on 1 January 20×8 […]

Comments Off on Absorption Costing: Statement of Profit or Loss Example

Cost Behaviour: Fixed, Variable and Semi-variable costs

By |2022-09-15T12:32:28+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Cost Behaviour: Fixed Costs, Variable Costs and Semi-Variable Costs

  • Costs can be classified in a number of ways
  • One way to classify costs is by behaviour
  • This involves determining how certain costs will vary according to the organisation’s level of activity
  • For example how rentals change […]
Comments Off on Cost Behaviour: Fixed, Variable and Semi-variable costs

Costing for Labour: Introduction

By |2022-09-15T12:32:19+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706): Costing for labour

  • In most entities the two largest expenses are usually material/purchases and labour
  • We have already looked at costing for materials (inventory) here
  • We will now examine the costing for labour
  • First we will look at the basic terms involved and different labour setups and scenarios of typical […]
Comments Off on Costing for Labour: Introduction

Absorption Costing: Statement of Profit Worked Example

By |2022-09-15T12:30:36+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Absorption Costing: Statement of Profit Worked Example

The Question

Zambe Ltd produces […]

Comments Off on Absorption Costing: Statement of Profit Worked Example

Types of Costs: Period, Opportunity, Sunk and Relevant costs

By |2022-09-15T12:32:28+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Types of Costs: Period, Opportunity, Sunk and Relevant costs

  • In addition to looking at how costs behaviour in relation to the level of activity ( units produced)
  • It […]
Comments Off on Types of Costs: Period, Opportunity, Sunk and Relevant costs

Costing for Labour: Remuneration Methods

By |2022-09-15T12:32:18+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706): Costing for labour: Remuneration methods

If you are viewing this post on a small screen/mobile device please view it in Landscape Mode otherwise it will be distorted.

  • Now that we have examined the basics of labour within organisations
  • It is time to look at remuneration methods
  • There are three basic remuneration […]
Comments Off on Costing for Labour: Remuneration Methods

Uses and Limitations of Absorption Costing

By |2022-09-15T12:30:36+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Absorption Costing: Uses and Limitations of Absorption Costing

  • According to research by CIMA the leading Management Institute
  • Traditional costing methods such as Absorption costing are still in widely used by manufacturing businesses throughout the world
  • There is are reasons for this

Uses/Advantages of Absorption costing

  • Often used […]
Comments Off on Uses and Limitations of Absorption Costing

Direct materials, indirect materials and labour

By |2022-09-15T12:32:27+02:00January 24th, 2023|Cambridge AS A Level Accounting, Notes, ZIMSEC A Level Accounting|

Cambrige AS and A Level Accounting Notes (9706)/ ZIMSEC  Advanced Accounting Level Notes: Types of Costs: Direct materials, indirect materials and labour

  • It is important to point out at this stage that there are generally three types of entities:
    1. Manufacturing entities that make goods and sell them
    2. Merchandising entities that purchase goods and sell them for a profit […]
Comments Off on Direct materials, indirect materials and labour
Go to Top