Cost Accounting
| Language: | Englisch |
| Location: | Remote |
| Duration: | Variable, self-paced |
| Cost: | 135 € |
Companies do not only need to know the cost of different products, but they also need to know whether they will make a profit or a loss. We explain how companies use cost information to calculate their profit and assess their profitability.
Take a deep dive into the basic knowledge and skills required for cost accounting methodologies
Depending on how companies account for changes in inventories, we distinguish “absorption costing” and “variable costing”. Some companies also structure their income statement according to the “nature of expense method”, while others structure it according to the “cost-of-sales method”. We explain both methods and discuss their advantages and disadvantages.
A sophisticated combination of modern teaches you the methods to impart the content in a profound way. You will learn different methods of preparing an income statement. You will also learn to explain why different methods yield different profit numbers and how to choose the best-suited method for your situation. The program was compiled by an interdisciplinary team of internationally renowned experts from the field of Cost Accounting.
Application form
Benefits
Learn to understand and apply the income statement for your business.
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Profit and Loss Expertise
Go beyond mere cost calculation. Explore using costs for profitability. Learn absorption, variable costing, and diverse income statement structures for informed financial decisions.
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Apply your knowledge in practice
Explore real-world cases, applying cost accounting principles to practical examples. Make strategic decisions based on practical cost accounting. Learn how to use cost data to optimize pricing, adjust drivers, and improve managerial decision-making to drive business success.
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Industry-driven Case Studies
Immerse yourself, refining problem-solving skills for real-life scenarios, enhancing your professional expertise
Program Overview
You can find all the important information about the certificate program here. Below you can find out the objectives of the program, the exact details of the process, what you will learn and which lecturers will teach you the content.
Aims of the certificate course
You will learn in this program:
- How to allocate the costs incurred to the company’s products and the most important methods product costing.
- How companies use cost information to calculate their profit or loss and assess their profitability.
- How to use information from cost accounting to improve managerial decision-making.
Details
| Program: | Cost Accounting |
| Graduation: | After successful completion of the final exam, participants will receive a certificate from Coursera and the Technical University of Munich. |
| Academic responsibility: | Prof. Dr. Gunther Friedl, Professor and Dean at TUM School of Management and Technology |
| Target audience: | People who have a keen interest in gaining skills and knowledge in cost accounting, in understanding the methodologies behind the topic and in learning to use a wide range of useful tools. |
| Participation fees: | The price for each course is 45 €. Access to lectures and assignments depends on your type of enrollment. If you take a course in audit mode, you will be able to see most course materials for free. To access graded assignments and to earn a Certificate, you will need to purchase the Certificate experience, during or after your audit.* |
| Language: | English |
| Duration: | 10 weeks |
| Study location: | Online |
| Format & Timing: | Variable, self-paced |
| Admission requirements: | Some knowledge of the basics of cost accounting, e.g. product and service costing |
* Based on our experience, the German tax benefits help many of our participants to self-finance their education as these can be worth of up to 50% of tuition fees and program related travel costs. Please, consult your personal tax advisor for more details. For participants of our programs residing outside Germany this might be applicable, please check the situation with the local tax authorities in your country of residence.
Lecturers
| Gunther Friedl, Professor and Dean at TUM School of Management and Technology | Peter Schäfer, Postdoctoral at TUM, Chair of Accounting |
| Marcus Witter, Doctoral Candidate at TUM, Chair of Accounting |
Structure
Module 1: Product Costing
- Introduction to Cost Accounting
- Cost-type accounting
- Cost-center accounting
- Product and service costing
The core of the first course is to learn how companies record total costs and calculate unit costs for their individual products or services. For example, how can a car manufacturer figure out the costs of an individual car series? During the first weeks, participants learn what costs are and how to distinguish them from expenses or cash flows. Participants will understand how companies record total costs and distinguish important cost types such as material costs, personnel costs, or depreciation. At the core of their cost-accounting system, companies allocate overhead costs to individual products. We show participants how to allocate the costs incurred to the company’s products and introduce them to the most important methods and challenges of product costing.
Module 2: Profit and Loss Calculation
- Methods for preparing an income statement
- Absorption and variable costing
- Contribution-margin accounting
Companies do not only need to know the costs of different products, but they also need to know whether they make a profit or a loss. We explain how companies use cost information to calculate their profit and assess their profitability. Depending on how companies account for changes in inventories, we distinguish “absorption costing” and “variable costing”. Some companies also structure their income statement according to the “nature of expense method”, while others structure it according to the “cost-of-sales method”. We explain both methods and discuss their advantages and disadvantages.
Module 3: Decision Making
- Cost functions and determining how costs behave
- Cost-volume profit analysis
- Cost and revenue information for operative decisions
In the third course, you will learn how to use information from cost accounting to improve managerial decision-making. We discuss business decisions and suggest how cost information can support them best. For example, how will costs change if managers adjust cost drivers? How many units do companies need to sell in order to avoid losses or to achieve a targeted profit? How can managers improve pricing or product programs with information from cost accounting?
Testimonials
Your contact
Vesna Gajic
Program Manager
Phone: +49 89 289 28474
E-Mail: mooc@lll.tum.de
