Cost accounting paper 2023

  • What is a future cost in accounting?

    Future Cost - Incurred in the future based on the potential decision made.
    This should vary from decision option to decision option.
    If this does not change based on the decision, then it is an irrelevant cost (see below).
    Opportunity Cost - The cost in lost opportunity depending on the decision made..

  • What is cost sheet CIMA?

    Cost Sheet (or Statement of Cost) for the period………
    The terms “direct expenses” have been excluded from prime cost as per CIMA terminology i.e. according to CIMA, prime cost is “the total cost of direct material and direct labour”..


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