Analysis Of Product Cost Accounting Method

Small and medium enterprises generally refer to those enterprises whose assets are not large, the production process and product structure of products are the same, and the management materials (including financial personnel) are almost the same. The organization system usually uses vertical management system, and the management span is small.

Small and medium-sized enterprises play an important role in the national economy due to their large number.

With the advent of the era of knowledge-based economy, people who master advanced technology and management knowledge will set up new technology enterprises.

Due to the limitation of scale, finance and manpower, small and medium-sized enterprises are generally incomplete, unsystematic, weak in basic accounting work and inaccurate in accounting information collection because of the limitations of scale, finance and manpower.

In terms of production, it is shown as follows:

1. no full-time cost accounting personnel;

2. the auxiliary accounting department is not independent accounting.

3. workshop division is not obvious or obvious, but the pfer procedures are imperfect and often distorted.

4., it is not easy to distinguish between the management staff of the workshop and the administrative staff. When it comes to this, is anyone going to say that it can also calculate the accounting accuracy and calculate the significance of accounting? I also have this doubt. That's why I want to introduce a simple method to promote the cost accounting of small and medium-sized enterprises.

These characteristics of SMEs determine their cost.

Simplification enables the cost accounting method to meet the needs of its management reality, and at the same time determines that most of them should use the actual cost method instead of the standard cost method or the activity-based costing method.

At the same time, because small businesses generally do not raise funds outside, (not to mention the wording) does not submit reports to the public sector, it is not strictly the "enterprise accounting system" or "small business accounting system". It is a kind of accounting policy which is based on the tax law.

This can also be reflected in the accounting method introduced in this paper.

1. no longer set two basic production costs and auxiliary production costs two subjects separately, merge them into a production cost subject, do not set up a ledger according to the product, set up a number of two level subsidiary items, such as raw materials, wages and welfare benefits, electricity (fuel power), manufacturing costs, etc.

Because the general business scope of small and medium-sized enterprises is limited, the production process and product structure of the products are basically the same as the raw materials consumed. Besides the main raw materials can be assigned to specific products, other items can not be assigned to specific products, accounting for the fact that the products are of no practical significance.

However, when the raw materials and products are quite different, they can be set up according to the products.

2. causes

Workshop division is not obvious or obvious, but the pfer procedures are not perfect, manufacturing expense subjects do not set up ledger accounts according to the workshop, directly set up two levels of details such as machine material, repair cost, depreciation and so on.

At the same time, because the management of small and medium-sized enterprises is more involved in production management, there is no need to set up manufacturing expenses for office management.

What are the two categories of travel expenses?

It is directly charged to management fees.

The manufacturing cost is not allocated at the end of the month, but pferred to the production cost subject.

3. the scope of raw materials.

Under the premise of meeting the needs, we should only make products with a larger proportion as raw materials, which will reduce workload and advance the cost of non major raw materials.

4. the end of the workshop has been unused at the end of the month.

Discretionary treatment: if the value is low, it can be placed in the same month; if the value is high, it will be counted next month (false refund).

5. wastage losses are dealt with only in management and not in cost accounting alone.

6. if the management or production process is very necessary, set up a self-made semi finished product subject.

Otherwise it will not be set up.

7. is not located in product subjects.

The end cost of the production cost account is the cost (distribution method below).

8. do not set up subjects with low value and easy to consume goods, which are directly charged to manufacturing expenses - detailed items of machine materials or repair charges, and equipment check accounts for management needs; if necessary, a single amortization method is also adopted, which is allocated at the same time.

9. on depreciation, it is suggested that the tax adjustment period can be avoided by calculating the years specified in the tax law.

If the tax law is not specified, it should refer to the financial system.

10. for the small and large number of inventories in the product mix, it is recommended that the physical inventory system be used to calculate the actual monthly consumption.