Using Information Technology in Analyzing Cost Elements Variances Aproposed Model

Abstract

The research aims to demonstrate the importance of information technology in identifying and analyzing variances of actual cost elements from the planned costs in the budget by designing a proposed model for preparing a budget and identifying and analyzing variances of cost elements based on Excel programs. The research adopted the descriptive analytical approach by presenting and analyzing how information technology is used in analyzing variances of actual cost elements from the standard. The research reached a number of conclusions, the most important of which are: Information technology contributes to enhancing the role of the cost accountant according to modern trends in the field of costs, as it is no longer just recording and analyzing costs, but rather its role must be extended and expanded to include tracking actual costs in light of what has been determined in advance, and reporting to management on the reasons for the differences between them.