Institute of Cost Accountants of India - Cost & Management Accountancy Practice in India - Cost Accounting Standards and Management Accounting Guidelines Issued By ICAI

Cost Accounting Standards and Management Accounting Guidelines Issued By ICAI

The Council of the ICAI at its 251th Meeting held on 12–13 February 2009 and 258th Meeting held on 14 December 2009 decided on Mandatory application of Cost Accounting Standards (CASs). The CASs shall be mandatory with effect from period commencing on or after 1 April 2010 for being applied for the preparation and certification of General Purpose Cost Accounting Statements. So far ever 14 Cost Accounting Standards and 4 Management Accounting Guidelines have been issued by the Institute.

Cost Accounting Standards

CAS1(Final)

Classification of Cost For preparation of Cost Statements Assessment of excise duty and other taxes, anti-dumping measures, transfer pricing etc.

CAS2(Final)

Capacity Determination For determination of capacity Proper allocation, apportionment and absorption of cost.

CAS3(Final)

Overheads under revision For Collection, Allocation, Apportionment and Absorption of overheads Determining Cost of products, services or activities

CAS4(Final)

Cost of Production for Captive Consumption To determine the assessable value of excisable goods used for captive consumption.Determining Cost of products, services or activities

CAS5(Final)

Average (equalized) Cost of Transportation To determine averaged/equalized transportation cost Calculating the amount of deduction from assessable value of excisable goods, freight subsidy, Insurance claim valuation, etc.

CAS6(Final)

Material Cost To bring uniformity and consistency in the principles and methods of determining the material cost with reasonable accuracy in an economically feasible manner. Applicable to all cost statements which require measurement, assignment, classification and presentation of material costs. To be followed in all cost statements requiring assurance including attestation.

CAS6 Draft Guidance Note

The Secretariat of the CASB of ICAI has drafted the Initial Draft of Guidance Note on Cost Accounting Standard - 6 on Material Cost (CAS - 6). The proposed initial draft shall be modified in light of comments received before being forwarded to the Cost Accounting Standard Board for consideration.

CAS7(Final)

Employee Cost To bring uniformity and consistency in the principles and methods of determining the Employee cost with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Employee cost including those requiring attestation

CAS8(Final)

Cost of Utilities To bring uniformity and consistency in the principles and methods of determining the Cost of Utilities with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Cost of Utilities including those requiring attestation

CAS9(Final)

Packing Material Cost To bring uniformity and consistency in the principles and methods of determining the Packing Material Cost with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Packing Material Cost including those requiring attestation

CAS10(Final)

Direct Expenses To bring uniformity and consistency in the principles and methods of determining the Direct Expenses with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Direct Expenses including those requiring attestation

CAS11 (Final)

Administrative Overheads To bring uniformity and consistency in the principles and methods of determining the Administrative Overheads with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Administrative Overheads including those requiring attestation

CAS12 (Final)

Repairs And Maintenance Cost To bring uniformity and consistency in the principles and methods of determining the Repairs and Maintenance Cost with reasonable accuracy. Applicable to cost statements which require classification, measurement, assignment, presentation and disclosure of Repairs and Maintenance Cost including those requiring attestation.

CAS13 (Final) Cost of Service Cost Centre To bring uniformity and consistency in the principles and methods of determining the Cost of Service Cost Centre with reasonable accuracy.

Applicable to the preparation and presentation of cost statements, which require classification, measurement and assignment of Cost of Service Cost Centre, including those requiring attestation

CAS14 (Final) Pollution Control Cost This standard deals with the principles and methods of classification, measurement and assignment of pollution control costs, for determination of Cost of product or service, and the presentation and disclosure in cost statements.The objective of this standard is to bring uniformity and consistency in the principles and methods of determining the Pollution Control Costs with reasonable accuracy.

Applied to cost statements which require classification, measurement, assignment, presentation and disclosure of Pollution Control Costs including those requiring attestation.

Management Accounting Guidelines

MAG1 Implementing Benchmarking

MAG2 Valuations Management a Tool of Management Accountant

MAG3 Implementing Corporate Environmental Strategies

MAG4 Tools and Techniques of Environmental Accounting for Business