Cost Accounting Degree Concentration

What is cost accounting? This subfield is a specialized topic within managerial accounting, which focuses on analyzing financial information for internal decision-making purposes. This facet differentiates managerial accounting from financial accounting, which compiles and reports financial results to external bodies, such as regulators or investors.

Specifically, cost accounting measures and analyzes the fixed and variable costs a business faces. While schools seldom offer dedicated cost accounting degree plans, you can study the topic through electives and specialization tracks within accounting programs.

Explore all the details with this guide to cost accounting courses, specializations, and programs.

Unlike financial accounting, cost accounting is not bound to generally accepted accounting principles. Businesses can adapt their cost accounting methods to their unique needs, giving it an atypically creative dimension as an accounting practice.

Experts note that modern cost accounting practices descended from centuries of precedent, with some scholars tracing the discipline’s origins to the reign of British monarch King Henry VII (1457-1509). Cost accounting practices became systematized during the late 19th and early 20th centuries, later emerging as essential aspects of corporate accounting in the 1950s and 1960s.

Today, financial professionals apply cost accounting principles to:

You can study cost accounting at all levels, from undergraduate accounting certificates to advanced accounting degrees. To specialize in this area within a degree, consider a management accounting concentration, which will likely offer the most complete coverage of cost accounting concepts.

Cost accounting courses teach the systems businesses use to track their costs, along with the techniques accountants use to implement those systems.

At a fundamental level, you will likely begin by exploring the defining features of the two major types of costs businesses face: fixed costs, which always remain the same, and variable costs, which may change depending on production volumes, employee pay rates, and the costs of raw materials.

You can then proceed to learn about more complex cost accounting concepts, such as:

Cost accounting coursework may also explore and compare various inventory tracking systems, such as the first-in, first-out (FIFO) and just-in-time (JIT) methods.

Standalone degrees in cost accounting are rare. Programs more commonly include cost accounting coursework within their general accounting curricula. Cost accounting also tends to be a major component of managerial accounting concentration tracks.

If you want to learn specifically about cost accounting, consider the following options.

Some schools offer dedicated certificate programs in cost accounting. They do not lead to a degree, but these study paths offer the advantage of focusing exclusively on cost accounting topics.

Undergraduate certificates are for students who do not yet hold a bachelor’s degree. These cost accounting programs mainly focus on foundational cost accounting concepts and general accounting basics. Their lengths vary, but curricula generally consist of 4-6 courses. You can usually complete an undergraduate certificate in one year or less.

You can also take cost accounting courses as part of undergraduate certificates in general accounting, managerial accounting, and other accounting specializations.

Degree programs in accounting, which begin at the associate level, do not normally focus solely on cost accounting. However, these two-year pathways often include academic coverage of cost accounting fundamentals. Schools may present this material in managerial accounting courses or modules, or in standalone cost accounting classes.

Associate programs can lead to associate of arts (AA), associate of science (AS), and associate of applied science (AAS) degrees. AA programs may include more liberal arts coursework and soft-skills development. AS programs emphasize quantitative reasoning and mathematics, while AAS programs maintain a practical focus to prepare students for workforce entry.

Specialization pathways usually become available at the bachelor’s level. Again, degree plans and specialization tracks that focus solely on cost accounting are rare, but you can find bachelor’s programs with managerial accounting concentrations. These degrees balance general accounting courses with management accounting topics, including cost accounting.

A specialized accounting degree may support your entry to niche roles, allowing you to target your job search and career development. Schools offer them under multiple names and designations, including:

The BA, BS, BAcc, and BBA designations indicate minor variances in focus. If you plan on applying to more than one program type, compare their respective core and elective courses carefully to ensure they match your learning goals.

Students typically pursue graduate certificates to build deeper, more advanced accounting skills or enhance their knowledge of targeted accounting topics. In accounting, graduate certificates can also play an important role in helping you qualify for certified public accountant (CPA) licensure.

Schools sometimes offer graduate accounting certificates to accommodate students with little or no background in the subject. Carefully review the program description and curriculum before you apply to ensure the accounting coursework matches your knowledge level.

You can seek graduate certificates in managerial accounting, but also look for terms like “financial analysis” or “accounting operations.” These may signal stronger coverage of cost accounting topics.

Graduate certificate program lengths can range from 9-30 credits. Note how different program lengths may affect your CPA license eligibility, if you plan to pursue it.

Accounting programs become more specialized at the master’s level, where coursework moves beyond fundamentals to examine intermediate and advanced concepts. You can readily find master’s programs with management accounting concentrations, but can also pursue a master of business administration (MBA).

MBA programs offer concentration tracks in areas like accounting, finance, and management. Their curricula explore cost accounting in a management context, and they could match your goals if you want to add a business administration dimension to your academic qualifications.

As with bachelor’s programs, you can also find master’s programs leading to arts, science, or accountancy degree designations. If you study full time, you can usually complete an accounting master’s degree in about two years.

Undergraduate certificates and associate degrees support efficient workforce entry. If building practical, job-ready skills on a short timeline is your main goal, this option could provide an ideal pathway.

Bachelor’s degrees can set you up for advancement opportunities. These programs are also the minimum level of education you need to earn CPA or certified management accountant (CMA) credentials.

Students sometimes pursue master’s degrees in general or management accounting after majoring in another subject as an undergraduate. This path is an option if you were unsure of your career plans with a bachelor’s degree or wanted to major in a more general subject, like business, before specializing in accounting.

You can also study accounting as both an undergraduate and a graduate student. If you want to pursue a specialized or advanced accounting career, this path can help you build the required depth of technical knowledge.

MBA degrees add versatility, as they transfer well across roles and industries. Consider them if you seek a comprehensive yet high-demand skill set.