Design and Implementation of an Electronic Cost Accounting System

Design and Implementation of an Electronic Cost Accounting System

Project / Seminar Material
Reference ID: PS-5912-TM

DEDICATION

This research material titled “Design and Implementation of an Electronic Cost Accounting System” is dedicated to God for his enabling grace, and to all computer enthusiasts who contributed to make life a pleasant experience during my research documentation.

ACKNOWLEDGEMENT

I extend my sincere gratitude to all those who contributed to the completion of this project. Special thanks to my Supervisor (Name of your Supervisor), the Head of Department (Name of your HOD), the Lecturers in the department of Computer Science (CS), Book Authors and Profound Scholars of existing or related project material on “Design and Implementation of an Electronic Cost Accounting System” for their invaluable guidance, support, and expertise throughout the journey.

I am also grateful to your study area (mention any funding organizations, if applicable) for their financial assistance. This research would not have been possible without the encouragement and assistance of some stakeholders (mention any mentors, teachers, or colleagues). Additionally, I would like to acknowledge the understanding and patience of my family and friends during this endeavor. Your unwavering support has been a constant source of motivation. Thank you all for being part of this meaningful endeavor.

TABLE OF CONTENTS

PRELIMINARY PAGES

CHAPTER ONE

INTRODUCTION

    CHAPTER TWO

    LITERATURE REVIEW

    • 2.1 Introduction
    • ⋮

    CHAPTER THREE

    SYSTEM ANALYSIS AND DESIGN

    • 3.1 Methodology Adopted
    • 3.1.1 Problem Identification Using SSADM
    • 3.2 Analysis of the Existing System
    • 3.2.1 Dataflow of the Existing System
    • 3.2.2 Disadvantages Of The Existing System
    • 3.2.3 Weakness of the existing System
    • 3.3 Feasibility Study
    • 3.3.1 Economic Feasibility
    • 3.3.2 Technical Feasibility
    • 3.3.3 Operational Feasibility
    • 3.4 Analysis of the Proposed System
    • 3.4.1 Data Flow Diagram of the Proposed System
    • 3.4.2 Advantages of the Proposed System
    • 3.4.3 Justification of the Proposed System
    • 3.5 Functional Requirements
    • 3.5.1 Use Case Diagram Of The Admin / User Privileges
    • 3.6 Data Requirements
    • 3.7 High Level Model of the Proposed System

    CHAPTER FOUR

    SYSTEM DESIGN AND IMPLEMENTATION

    • 4.1 Objectives of the Design
    • 4.2 Cohesion and Decomposition High level Model
    • 4.3 Control Center / Overall Dataflow Diagram
    • 4.3.1 Proposed System Operation Flowchart
    • 4.4 System Specification and Design
    • 4.4.1 Input and Output Specification
    • 4.4.2 Database Specification and Design
    • 4.4.3 Data Dictionary
    • 4.5 Choice and Justification of Programming Language
    • 4.6 Program Documentation
    • 4.7 Implementation Techniques
    • 4.7.1 System Testing
    • 4.8 Programming Module Specification
    • 4.8.1 Installation
    • 4.9 Computer Hardware Minimum Requirement
    • 4.10 Software Requirement
    • 4.11 Personnel / User Training
    • 4.12 File Maintenance Module

    CHAPTER FIVE

    SUMMARY, CONCLUSION AND RECOMMENDATION

    • 5.1 Introduction
    • 5.2 Summary
    • 5.3 Conclusion
    • 5.4 Recommendation

    REFERENCES

    APPENDIX A - “SOURCE CODE”

    APPENDIX B - “OBJECT PROGRAM”

    ABSTRACT

    This research project tries to review the cost accounting system of KRISTAL SILENT, which of course is a manual processing system by a systematic analysis and recording of vertical transactions in respect of labour, material and expenses, the collation and interpretation of these need to disclose costs of particular products or services and the application of this vertical information for the purpose of efficient running of the business.

    The accompanying software, computerized cost accounting system is a package developed with the aim of computerizing all cost activities for the said company. The program is in modules, which describes project activities, and information that is related to it. It provides the user the ability to federate analysis of project execution cost on monthly, quarterly and on yearly basis with its respective business forecast.

    Organization Of Work

    This work is divided into six chapters.

    1. Chapter one has to do with introducing the project topic, statement of the problem, purpose of study, aims and objectives, scope, limitations and definition of terms.
    2. Chapter two is the review of related literature
    3. Chapter three has to do with finding out how the current system works and what the new system must do.
    4. Chapter four: This phase of the system project spelt out how to build the new system, including the input/output design, file design, the procedure as well as the system requirements.
    5. Chapter five is documentation
    6. Chapter six is about recommendation and conclusion.

    Design and Implementation of an Electronic Cost Accounting System

    CHAPTER ONE

    Introduction

    1.1 Background Of Study

    The nature and development of an economy establishes the basic requirements for accounting. The emphasis to cost accounting for instance has been directed towards meeting the practical needs of manufacturing industries. The rapid growth and expansion of service industries now demand that accountants direct their attention to solving a new set of problems that are in many industries not related to manufacturing. The accountant is faced with the problem of adapting and combining the present accounting techniques into modern and flexible systems for the service industries.

    The task of accounting for manufacturing costs and expenses obviously requires a further expansion of the preceding system. The form that this expansion takes depends on many factors such as the kinds of control, which is desired to exercise over manufacturing activities, the nature of the manufacturing activities themselves, and the relationship, which is to be mentioned between financial and cost records.

    From the above, it is clear that even though the presentation of cost accounts, for various types of business may vary, i.e is normal to follow the following procedures:

    (a) All expenditure is analysed and classified into direct and costs. The direct costs can be attributed to a particular job process on operation and they are transferred to it.

    (b) The indirect costs are placed to the relevant account. If they can be placed to one particular account such as factory overhead becomes allocation of overhead. But if they make to be divided between different overhead accounts is called apportionment of overhead.

    1.2 Statement Of Problem

    In drawing up a scheme of costing, one of the first steps much be decided upon the cost centers, which are to be used. Following this, these overheads, which can be allotted, can be transferred to the relevant sections. The others must be apportioned between the relevant departments. The methods of apportionment will vary but care is needed to select the finest and concernment method in the circumstances.

    In this project work, we are narrowing down to the cost accounting system as has been practiced by KRISTAL SILENT, which of course is done manually.

    The land of cost accounting in the organization is the historical cost accounting system. Hence the system to be developed will take care of some of those anomalies that pose constraints to the system.

    Therefore the research goes on to ask such question as what are the likely benefits to be gained from this project study?

    1.3 Purpose Of Study

    The purpose of this study is trying to figure out the difficulties and irregularities encountered by KRISTAL SILENT in its existing system. The research amongst other things introduces standard that show the cost of production of every unit, job, and process operation or department by close analysis of expenditure. To indicate to management any inefficiencies and waste which are thereby revealed. To serve as a guide to price fixing. To provide comparative statement of costs in which the cost of the current period are compared with the costs of a previous period; or more helpfully, with the budgeted costs; and financially to take action in respect of significant variations of the costs from the budgeted figures and thus to control cost.

    1.4 Aims And Objectives

    The aims and objectives of this project is to redesign and computerized the manual system of cost accounting as being practiced in KRISTAL SILENT. The computerized system amongst other things.

    1. Ease the burden of calculating and recalculating of figures to get at the exact output.
    2. Automatic report generation and report of the financial status of the firm.
    3. Automatic posting of accounts from the individual ledgers to the general ledger
    4. Speed of operation will be increased tremendously and volume of output enhanced too.

    1.5 Scope

    This project has been narrowed down to the financial humations of particular project undertaken by the said company. It tells us about the nature of project. Its contract value, the equipment and materials procedures in the execution of the project the labour cost and wages to the project. And finally, it furnishes the management with the information of how much was expended while carrying out the project and how much is remaining, that will serve as profit.

    …

    CHAPTER TWO

    2.0 Literature Review

    2.1 Introduction

    This chapter focuses on the review of related literature. A literature review includes the current knowledge as well as theoretical and methodological contributions to a particular topic. It documents the state of the art with respect to the topic you are writing. It surveys the literature in the topic selected. In this research work the literature review includes the …

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