Researchers : Osama Shaban
Journal/ Conference Name : International Review of Management and Business Research
Published 2014
Abstract
This study aims to explore and describe the use of cost accounting in textile, leather and clothing companies in Jordan in relation to material cost, labor cost, and indirect cost. The study also examines the impact of using costing systems on the pricing process by distributing a questionnaire to 76 respondents. The study found that such companies suffer a high level of competence which forces them to use costing systems in order to price their products, by taking into account material, labor and indirect costs. The study suggests that good quality and high effective cost accounting systems and modern techniques should be adopted and implemented, such as ABC, and Target Costing. Moreover, companies should also employ qualified cost accountants or train their staff on the use of such systems. In addition, it is highly suggested that more studies should be conducted on textiles, leathers and clothing companies in order to shed light on the managerial accounting systems.
Key Words: Managerial accounting, cost accounting, costing systems, and pricing process.