Require contractor submit data other than certified cost or pricing databut

Require contractor submit data other than certified

This preview shows page 68 - 77 out of 530 pages.

Require contractor submit data other than certified cost or pricing data—but only that which is necessary Do not require contractor to submit any data Is action over $700,000? Require contractor submit certified cost or pricing data Is action over SAT? Has HCA authorized? No No Yes No No Yes Yes Yes No Yes Yes No Start
Image of page 68
CON 170 Unit 1, Lesson 3 Cost Accounting Standards
Image of page 69
Terminal Learning Objective 1.3 Identify the policies and procedures for applying the Cost Accounting Standards Board (CASB) rules and regulations to negotiated contracts and subcontracts. (FAR Part 30 and DFARS Part 230)
Image of page 70
Enabling Learning Objectives 1.301 Identify the general rules pertaining to Cost Accounting Standards (CAS) administration. (FAR Subpart 30.1) 1.302 Identify the CAS program requirements. (FAR Subpart 30.2 and DFARS Subpart 230.2) 1.303 Identify when a contract or subcontract is subject to CAS. (FAR Subpart 30.3 and 48 CFR 9903.3)
Image of page 71
History and Origin CAS are a result of concern for the pricing and accounting practices of defense contractors There was no consistency within and between contractors’ cost accounting practices, making it difficult to conduct standard audits In 1968, Congress asked Government Accountability Office (GAO) to study feasibility of establishing and applying CAS to provide greater uniformity in cost accounting as basis for negotiating and administering procurement contracts Congress subsequently established the Cost Accounting Standards Board (CASB), which in turn promulgated CAS
Image of page 72
Estimating and Accumulation Example Cost A - FFP B – Cost Reimbursement C - Commercial Total Direct 3000 5000 2000 10000 Estimating Indirect 300 500 200 1000 Total 3300 5500 2200 11000 Accumulating/ Reporting Direct 3000 5000 2000 10000 Indirect 100 800 100 1000 Total 3100 5800 2100 11000
Image of page 73
Cost Accounting Standards Board Administratively located in the Office of Federal Procurement Policy Consists of five members Chair, OFPP Administrator – One DoD Representative (currently DCAA) – One from Federal Government – One from industry – One from accounting profession For additional details, internet search “CASB,” or link to
Image of page 74
Definition and Purpose Set of 19 cost accounting standards promulgated by Cost Accounting Standards Board Standards designed to achieve uniformity and consistency in cost accounting practices governing measurement, assignment, and allocation of costs to contracts with United States Government
Image of page 75
Cost Accounting Standards * CAS 401 – Consistency in Estimating, Accumulating, and Reporting Costs * CAS 402 – Consistency in Allocating Costs Incurred for the Same Purpose CAS 403 – Allocation of Home Office Expenses to Segments CAS 404 – Capitalization of Tangible Assets * CAS 405 – Accounting for Unallowable Costs * CAS 406 – Cost Accounting Period CAS 407 – Use of Standard Costs for Direct Material and Direct Labor CAS 408 – Accounting for Compensated Personal Absence CAS 409 – Depreciation of Tangible Capital Assets CAS 410 – Allocation of Business Unit General and Administrative Expenses to Final Cost Objectives
Image of page 76
Image of page 77

You've reached the end of your free preview.

Want to read all 530 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes