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11ch02-an-introduction-to-cost-term-and-purpose.ppt

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  ©2003 Prentice Hall Business Publishing, Cost Accounting11/e, Horngren/Datar/Foster 2 -1 An Introduction to CostTerms and PurposesChapter 2  ©2003 Prentice Hall Business Publishing, Cost Accounting11/e, Horngren/Datar/Foster 2 -2 Learning Objective 1Define and illustratea cost object.  ©2003 Prentice Hall Business Publishing, Cost Accounting11/e, Horngren/Datar/Foster 2 -3 Cost and Cost Terminology Cost  is a resource sacrificed or forgone to achievea specific objective.An actual cost  is the cost incurred (a historical cost)as distinguished from budgeted costs.A cost object  is anything for which a separatemeasurement of costs is desired.  ©2003 Prentice Hall Business Publishing, Cost Accounting11/e, Horngren/Datar/Foster 2 -4 Cost and Cost Terminology CostAccumulationCost ObjectCost ObjectCost ObjectCostAssignmentTracingAllocating
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