Limitations of Cost Accounting 

Lack of Uniformity : There js a lack of uniform principles and procedures in Cost Accounting.

For example, numerous methods are available for pricing of material issues or for absorption of overheads. Thus, different Cost Accountants may arrive at different conclusions in the same situation

Estimates : Cost Accounting works on the basis of estimates.The user does not receive the time or exact cost. An error in estimation may throw up totally different results.

Suitability: Cost data is required for decision making purposes. Thus, a cursory comparison may result in misleading conclusions

Role of Management : The usefulness of Cost Accounting is restricted to the ability, and willingness of management to take decisions based on information