Write 10 pages thesis on the topic costing methods commonly used in accounting.

Write 10 pages thesis on the topic costing methods commonly used in accounting. The accountants who generate cost accounting information by employing costing methods provide valuable information to the managers which if employed on decision making would actually steer the organization through greater heights due to improved management and leadership style. The success of any organization depends on the better, effective, and efficient decisions made, and this evident and reflected only through the performance of the organization regardless of the type of organization. The cost accounting system and costing methods are because of the decisions made by the managers of an organization and the organizational environment created in the process of operation (Pinto 2010).

Costing as a method of identifying and allocating inputs to output is fundamental if we are to address costing methods. Costing methods are peculiar and different industries employ different methods in the ascertainment and fixing the costs of their products. The form that is likely to be adopted by any firm is highly dependent largely on the nature and type of the production as well as the type of output. The methods include:- Unit costing. Job costing. Contract costing. Batch costing. Process costing. Full costing. service costing. Operation costing. Multiple costing (Porter 2011).

The underlying fact behind any form of costing and the method employed all lies in the business of the operating firm whether it is product-oriented or a service provider (Porter 2011). A careful choice has to be made for the value realization lest it is obsolete and irrelevant. This is the essence of the analysis of the various existing methods:-

Unit costing is one major method of costing which has been in existent since time immemorial. This is based on the recognition that absolute costs can increase or be on the constant rise year after year.