Monthly Subscription Starting at AED 99 + VAT
- Level Foundation
- Duration 11 hours
- Course by Technical University of Munich (TUM)
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Offered by
About
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.Modules
Welcome to Basics of Cost Accounting - Product Costing
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1
Videos
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3
Readings
1
Videos
- Introduction
3
Readings
- Course Overview
- Introduce yourself!
- Lecture slides for this course
Cost accounting as a part of corporate accounting
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2
Videos
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1
Readings
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1
Discussion
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1
Assignment
1
Assignment
- Cost accounting as a part of corporate accounting
1
Discussions
- How can cost accounting support the management?
2
Videos
- Cost accounting and corporate management
- Cost accounting, management accounting, and financial accounting
1
Readings
- Harmonization of management and financial accounting
Basic concepts of cost accounting
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5
Videos
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2
Readings
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1
Plugin
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2
Assignment
2
Assignment
- Definition of costs
- Basic concepts of cost accounting
5
Videos
- Definition of costs
- Cost terms and their meaning: Total and unit costs, direct and indirect costs, fixed and variable costs
- Cost terms and their meaning: Inventoriable and period costs, opportunity and sunk costs
- Three sub-systems of cost accounting
- Absorption costing vs variable costing
2
Readings
- Average unit costs: an example from the automotive industry in the COVID crisis
- Practical example: Sunk costs when Robert Bosch GmbH exited the solar sector
Introduction to cost-type accounting
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1
Videos
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1
Readings
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1
Assignment
1
Assignment
- Introduction to cost-type accounting
1
Videos
- Tasks of cost-type accounting, linkage to financial accounting, and important cost types
1
Readings
- Cost types in business practice
Material costs
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3
Videos
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2
Readings
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1
Assignment
1
Assignment
- Material costs
3
Videos
- Introduction to material costs
- Recording material consumption
- Valuing material consumption
2
Readings
- Comparing the methods for recording material consumption
- Excursus: What crypto taxpayers need to know about FIFO, LIFO, HIFO & specific ID
Personnel costs
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1
Videos
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1
Readings
1
Videos
- Personnel costs
1
Readings
- Deep dive: Personnel costs
Machine costs
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3
Videos
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1
Readings
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2
Assignment
2
Assignment
- Depreciation
- Machine costs
3
Videos
- Types of machine costs
- Depreciation
- Interest costs
1
Readings
- Deep dive: Imputed interest costs at BASF
Learning Assessment
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3
Assignment
3
Assignment
- Material costs: Valuing material consumption
- Machine costs: Depreciation
- Interest costs
Introduction to cost-center accounting
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2
Videos
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1
Readings
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1
Assignment
1
Assignment
- Introduction to cost-center accounting
2
Videos
- Tasks of cost-center accounting and structure of cost centers
- The three steps of cost-center accounting
1
Readings
- Practical example: Cost-center plan of the Federation of German Industry
Step1: Assign overhead costs to cost centers
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1
Videos
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1
Assignment
1
Assignment
- Assignment of overhead costs to cost centers
1
Videos
- Primary cost allocation
Step 2: Allocate service-department costs from indirect to direct cost centers
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6
Videos
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1
Readings
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6
Assignment
6
Assignment
- Reciprocal method based on equations
- Reciprocal method based on iterations
- Method of credits and debits
- Step-ladder method
- Direct method
- Methods for the allocation of service-department costs
6
Videos
- Overview of the methods for the allocation of service-department costs
- Reciprocal method based on equations
- Reciprocal method based on iterations
- Method of credits and debits
- Step-ladder method
- Direct method
1
Readings
- Methods for the allocation of service-department costs: Practices in Germany and Austria
Step 3: Determine overhead rates for costing
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1
Videos
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1
Assignment
1
Assignment
- Determining overhead rates for costing
1
Videos
- Determining overhead rates
Learning Assessment
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2
Assignment
2
Assignment
- Allocation of service department costs: Reciprocal method based on equations, direct method, method of credits and debits
- Allocation of service department costs: Step ladder method, reciprocal method based on iterations
Tasks and design of product and service costing
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3
Videos
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1
Readings
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1
Plugin
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1
Assignment
1
Assignment
- Tasks and design of product and service costing
3
Videos
- Tasks of product and service costing
- Classification of cost objects
- The relationship between program type, product characteristics, and costing method
1
Readings
- Practical example: Cost cutting in the energy industry
Product costing for job shop production
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5
Videos
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1
Discussion
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1
Plugin
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6
Assignment
6
Assignment
- Allocating overhead costs with single rates
- Schematic structure of an overhead calculation
- Allocating overhead costs with multiple rates
- Machine-hour costing
- Actual costing, interim costing, and normal costing
- Product costing for job shop production
1
Discussions
- Reduced material costs in car manufacturing
5
Videos
- The general approach to job costing
- Job costing with multiple overhead rates
- Machine-hour costing
- Actual costing, interim costing, and normal costing
- Book keeping for job shop production
Product costing for mass and variant production
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4
Videos
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1
Plugin
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3
Assignment
3
Assignment
- Single-stage process costing
- Multi-stage process costing
- Product and service costing for mass and variant production
4
Videos
- Single-stage process costing
- Multi-stage process costing
- Equivalence number method
- Cost allocation for joint products and byproducts
Learning Assessment
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3
Assignment
3
Assignment
- Job costing with multiple overhead rates
- Equivalence number method
- Cost allocation for joint products and by-products
Congratulations on completing one course of the Cost Accounting Specialization
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1
Readings
1
Readings
- What do I learn in the remaining two courses of the Specialization?
Auto Summary
"Basics of Cost Accounting: Product Costing" is a foundational course in Business & Management, designed to teach participants how companies calculate and record total and unit costs for products or services. Led by expert instructors from Coursera, this 660-minute course covers key concepts like cost types, overhead allocation, and product costing methods. Ideal for beginners, it is available through a Starter subscription, making it perfect for those looking to build a solid understanding of cost accounting.
Gunther Friedl
Marcus Witter
Peter Schaefer
Eline Schoonjans