Accounting for non-accountants course

p Table of Contents

Part 1 .3

Part 2 .6

LEEWARD CC ACCOUNTING MODULE 2 ASSIGNMENT

Part 1

Answer to Question 1

Value based costing is the latest form of costing under which not only the figures are taken into account but also the qualitative factors are considered . This idea of value based costing is suitable for the 21st century entities as most of the attributes of the value costing are as per the needs and requirements of the entities in this era of globalization and technology

. Like all other changes emerging in this fast moving world of today , this change of approach in costing is also very different from that used few years back . Following are the reason due to which I believe that the concept of value based costing is well suited to 21st century

Integration

The idea of value costing is not only about the number of one department it takes together all the departments and the activities of all the departments . The bases for costing under this approach are not only the costs of one business but it integrates all the entities related to the business . Thus , it can be said that the approach is best suited in the cases where supply chain management is done specially through the software as it integrates all the entities in the supply chain from the supplier till the final consumer . Thus , the attribute of integration makes this approach valid for the entities of 21st century which are all going for...