Cost Measurement

Multi Pool, Multi Cost Object Allocation: Reciprocal Allocation

Sep 23, 20212 min read

Multi Pool, Multi Cost Object Allocation: Reciprocal Allocation

Reciprocal allocation attempts to consider all possible consumption and allocates each overhead cost pool to all other pools, cost objects,

3 views0 comments

Cost Accounting Differs: External vs Internal Specification

Dr. Dale R. Geiger CMA CGFM

Sep 20, 20213 min read

Cost Accounting Differs: External vs Internal Specification

Cost accounting is sometimes hard to define because it means different things to different people. So let’s differentiate and define two br

4 views0 comments

Level of Effort Analysis: Be Roughly Right Not Precisely Wrong

Dr. Dale R. Geiger CMA CGFM

Sep 19, 20213 min read

Level of Effort Analysis: Be Roughly Right Not Precisely Wrong

Level of effort analysis is one method to determine a driver for the basis of allocation.

31 views0 comments

Dr. Dale R. Geiger CMA CGFM

Sep 11, 20213 min read

Research on Federal Cost Accounting Use

This blog summarizes some original research done in the 1990s that is probably still relevant to federal cost accounting use today.

3 views0 comments

Unit Costing: Coster Beware the Insidious Averaging Impact!

Dr. Dale R. Geiger CMA CGFM

Sep 11, 20212 min read

Unit Costing: Coster Beware the Insidious Averaging Impact!

Cost per unit can be a dangerous metric as averaging can have undesirable insidious consequences when units are non-homogeneous.

9 views0 comments

Allocation Choice of Basis Issues: Facilities Mini Case

Dr. Dale R. Geiger CMA CGFM

Sep 9, 20213 min read

Allocation Choice of Basis Issues: Facilities Mini Case

This blog walks through three alternatives for allocating central facilities cost to four departments.

2 views0 comments

Splitting the Dinner Check: Allocation That Everyone Has Done

Dr. Dale R. Geiger CMA CGFM

Sep 9, 20213 min read

Splitting the Dinner Check: Allocation That Everyone Has Done

Allocation intimidates many students but it is really as simple as splitting the dinner check.

5 views0 comments

A Basic Definition of Managerial Costing

Dr. Dale R. Geiger CMA CGFM

Sep 9, 20213 min read

A Basic Definition of Managerial Costing

Managerial costing can be thought as of a transformation of raw accounting data to a focused, managerially useful view.

2 views0 comments

Child Care Center Case Study: Org Based AAR Example

Dr. Dale R. Geiger CMA CGFM

Sep 3, 20213 min read

Child Care Center Case Study: Org Based AAR Example

This blog is a continuation of the story started in the Fraudulent Managerial Costing blog.

6 views0 comments

Dr. Dale R. Geiger CMA CGFM

Sep 3, 20213 min read

Fraudulent Managerial Costing Defined

Costing that confuses, hides, distorts, or implies many digits of accuracy is fraudulent from the perspective of management information.

4 views0 comments

Three Keys to Impactful Managerial Costing

Dr. Dale R. Geiger CMA CGFM

Aug 27, 20213 min read

Three Keys to Impactful Managerial Costing

The output of the measurement process must be credible, useful, and affordable.

7 views0 comments

Dr. Dale R. Geiger CMA CGFM

Aug 26, 20213 min read

A Framework for Cost Accounting

Cost accounting has both external reporting and managerial uses. Here is a framework that categorizes managerial costing use.

18 views0 comments

Consistency vs Customization: Setting a Standard for Managerial Costing

Dr. Dale R. Geiger CMA CGFM

Aug 26, 20213 min read

Consistency vs Customization: Setting a Standard for Managerial Costing

Managerial Costing was an area of interest at the the Federal Accounting Standards Advisory Board and I was called to provide testimony.

4 views0 comments

Cost Perspective: It's Much More than the Price Stuck on a Soup Can

Dr. Dale R. Geiger CMA CGFM

Aug 25, 20213 min read

Cost Perspective: It's Much More than the Price Stuck on a Soup Can

Many people have a very simplistic, if not naïve, view of what cost means. This is probably because many people only think of their cost...

15 views0 comments

Managerial Costing: G2 Intelligence Needed in the Cost War

Dr. Dale R. Geiger CMA CGFM

Aug 25, 20213 min read

Managerial Costing: G2 Intelligence Needed in the Cost War

Decisions are made constantly at all levels of an organization. External reporting that provides a highly aggregated view infrequently...

1 view0 comments