Cost Accounting Standards

Cost Accounting Standards (CAS) are rules set by the U.S. government that govern how companies calculate costs for contracts with federal agencies. These standards ensure consistent, accurate, and transparent reporting of costs, which helps in making fair decisions regarding government contracts. CAS covers various aspects, such as how to allocate expenses and treat costs, promoting efficiency and accountability. By adhering to these standards, companies can avoid disputes with the government over cost reimbursements and ensure compliance in their financial practices.