3. Standard 401 Consistency in Estimating, Accumulating and Reporting Costs 4. Interpretation No. 1 to Standard 401 July 1, 1972 5. Standard 402 - Consistency in Allocating Costs Incurred for the Same Purpose 11. Standard 407 - Use of Standard Costs for Direct Material and Direct Labor October 1, 1974 12. Standard 408- Accounting for Costs of Compensated Personal Absence July 1, 1975 13. Standard 409 - Depreciation of Tangible Capital Assets July 1, 1975 14. Standard 410 - Allocation of Business Unit October 1, 1976 APPENDIX B CURRENT STUDIES Specific areas are selected for research and possible development of cost accounting standards primarily on the basis of (1) their relationship to the objectives of Public Law 91-379, (2) the importance of observed costing problems, and (3) their relationship to other work of the Board. The Board has sought advice about the importance of various problems involved in contract cost accounting. The research projects may result in one or more promulgations on each subject. Preliminary proposals and research papers have been widely circulated for some subjects. 1. Cost Accounting Practice--This project is expected to result in amending the Board's regulations to define the terms "cost accounting practice" and "materiality" as used in the Board's promulgations. The project also will provide guidance to determining when a change in a cost accounting practice occurs. 2. Adjustment and Allocation of Pension_Cost--This project deals with the criteria used for measuring and assigning to cost accounting periods the value of actuarial gains and losses. Criteria will be developed for both recurring and abnormal gains and losses. The standard will also provide criteria for allocating pension cost from a home office to segments. APPENDIX B 3. Allocation of Manufacturing, Engineering, and Comparable Overhead--This project covers the allocation of pools of manufacturing, engineering, and comparable overhead costs. 4. Distinguishing Between Direct and Indirect Costs-This study covers the accounting concepts and principles and the bases governing consistent classification of costs as direct or indirect. 5. Accounting for Costs of Service Centers--Research on this subject involves developing concepts for use in accounting for the cost of service centers. 6. Allocation of Material-related Expenses--This subject deals with the criteria for creating expense pools and selecting allocation bases for material-related expenses. The scope of research includes the functions traditionally associated with the flow of materials, such as material planning and control, purchasing, receiving and storage, internal and external transportation, distribution, etc. 7. Accounting for Insurance Costs--This research deals with criteria for measuring costs of insurance, including self-insurance, and the appropriate treatment of retrospective premium adjustments. Independent Research and Development and Bid and Proposal Costs--This subject covers accounting for costs of APPENDIX B performing independent research and development and costs of preparing bids and certain proposals. 9. Indirect Costs of Colleges and Universities--This study concerns the nature and composition of indirect cost rates of colleges and universities which have Government contracts and grants. 10. Cost of Money as an Element of the Cost of Operating Capital--This project was part of the broader topic dealing with the cost of capital. That topic was split into two distinct subjects before the cost accounting standard on Cost of Money as an Element of the Cost of Facilities Capital was issued. The coverage of that stand ard is limited to the cost of money as related to facilities capital. Research is continuing on the cost of money as related to operating capital. 11. Joint Product Costing--This study involves special cost accounting problems related to manufacturing processes in which mulitple products are produced in a joint operation. food processes are usually used in, although not limited to, the Merical and petroleum refining industries. 12. Accounting for Contract Terminations and Excess Oppity-This study concerns the inquiry into cost accounting principles and practices applicable to contracts which |