Modern concepts of cost accounting: A review of the ABC method specific features

• Main Authors: Trklja Radmila, Trklja Milan
• Format: Article
• Language: English
• Published: Viša ekonomska škola Peć, Leposavić 2014-01-01
• Series: Ekonomski Signali
• Subjects: modern concepts of cost accounting; new business conditions; management accounting; management
• Online Access: http://scindeks-clanci.ceon.rs/data/pdf/1452-4457/2014/1452-44571402105T.pdf

New business conditions, in which the presence of turbulent changes in the environment are extremely obvious, demand, much more than before, relevant and reliable information which represent an essential support for the management in all the stages of decision making processes. In the countries with developed market and competitive economies, new approaches, philosophies, concepts and techniques in the field of expense accounting appear. The development of high technology businesses and the appearance of business globalisation raise the question of the quality of accounting information obtained using traditional methods of cost accounting and it is necessary to change the concept of establishing product costs. According to this, management accounting should ensure an informational support for managing businesses which are based on customers' demands, internal processes, continuous business improvement etc. It is only possible with the application of modern concepts of cost accounting, which will ensure efficient of cost management and business management in modern business conditions.