STUDY OF STANDARD COST ACCOUNTING SYSTEM AS AN AID TO MANAGEMENT CONTROL AND PLANNING

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STANDARD COST ACCOUNTING SYSTEM AS AN AID TO MANAGEMENT CONTROL AND PLANNING

ABSTRACT

Standard cost accounting is an overview of how standard cost could serve as an effective tool in the hands of the management, it serves as a tool for planning, coordinating and controlling various activities of operation in an organization.

Standard costing system has been studied to emphasis its assistance to management planning and control. It has been discovered that it enhances proper operation of an organization and goals and objectives are achieved more easily. The standards sets guide the operation of the organization

Variances are analyzed and investigated when noticed and revision of such standards follows subsequently. The study has revealed that it is very useful tool for management to plan and control its operation so as to achieve goals and objectives of the organization.

This study made use of the questionnaire, personal interviews and reading of the organization manual to analyze the subject as well as draw conclusions and recommendations.

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