BCAS-1
1 | P a g e
BANGLADESH COST ACCOUNTING STANDARDS
The Institute of Cost and Management Accountants of Bangladesh
ICMA Bangladesh, ICMA Bhaban, Nilkhet, Dhaka-1205 Bangladesh
BCAS 1
Cost Concepts and Classifications
BCAS-1
2 | P a g e
BCAS 1: Cost Concepts and Classifications
Summary
Effective Date : ICMAB prepares this standard for ultimate use and adoption by every company operating in
Bangladesh at its own discretion starting from the period beginning on July 1, 2014.
Objective : The main purpose of this standard is to guide companies with the development of a costing
system that will produce required data for different management decision making process. Cost
classification in terms of direct and indirect has been given more priority and the allocation of
indirect cost over cost objects are presented here with the possibility of distortion of costing
data due to wrong accumulation of costs into cost pools and wrong identification of cost
drivers. At the same time, the standard also presents some formats for producing different cost
statements.
Key Features :
Costing system identification
Differentiating between direct and indirect cost in terms of accumulation and allocation
Possibility of distortion in costing data due to wrong selection of cost drivers
Formulation of homogeneous cost pool
Presenting formats for different cost statements
BCAS-1
Contents
Particulars
Paragraphs
Introduction
Scope
1-3
Objective
Definitions
Standards
Recording and Reporting
Appendix
