Basicinformation
Meaning
Narrowmeaning:onlyreferstoproductsthatareintheprocessofprocessing,inspection,andtransportationinsidetheworkshop.
(1)Firstdeterminethecostoftheproductinprogressattheendofthemonth,andthendeterminethecostofthefinishedproduct.Thismethodreferstofirstadoptingacertainmethodtocalculatethepriceoftheproductsinprogressattheendofthemonth,andthensubtractingthetotalcostoftheproductsinprogressattheendofthemonthfromthetotalbasicproductioncosttocalculatethetotalcostofthefinishedproduct.Thespecificmethodsinclude:product-in-progresspricingmethodbasedonthebeginningoftheyear,product-in-progresspricingmethodbasedonfixedcost,andproduct-in-progressnon-valuationmethod.
(2)Firstdeterminethecostofthefinishedproduct,andthendeterminethecostoftheproductinprocessattheendofthemonth.Thismethodfirstcalculatesthefinishedproductwithhistoricalcost,plannedcostorfixedcost,andthensubtractsthecostofthefinishedproductfromthetotalbasicproductioncost,andthencalculatestheproductcostattheendofthemonth.Thismethodisrarelyadoptedinpractice.
(3)Atthesametime,determinethecostofthefinishedproductandthecostmethodoftheproductinprocessattheendofthemonth.Themethodistouseappropriateallocationstandardstodividethecostoffinishedproductsandthecostofproductsinprocessattheendofthemonth,soastocalculatethecostoffinishedproductsandthecostofproductsinprocessattheendofthemonthatthesametime.Thespecificmethodsare:equivalentyieldmethod;quotamethodandsoon.
Precautions
Whetheritisafinishedproductoraproductinprogressattheendofthemonth,itscostcalculationmustbecarriedoutaccordingtothecostitem,thatis,thecostofeachitemshouldbeseparatelyDividebetweenproductsattheendofthemonth.However,insomecases,ifthedirectmaterialcostitemsintheproductaccountforalargeproportionofthetotalcost,andthenumberofproductsinprogressattheendofthemonthissmall,thenbasedontheprincipleofimportance,onlythedirectmaterialcostinthetotalcostitemcanbeincludedinthetotalcost.Thefinishedproductisdividedfromthefinishedproduct,andothercostitems(suchasdirectlaborandmanufacturingexpenses)areallbornebythefinishedproductcost.Thissimplifiesthecostaccountingwork.
Themethodofallocatingexpenses
1.Thecostofworkinprocessisnotcalculated
2.Thecostofworkinprocessisfixedatthebeginningoftheyear
3.Theproductinprocessisbasedonthedirectcostofmaterialsconsumed
4.Theequivalentoutputratiomethod
5.Theproductinprogressisbasedonthefinishedproductcostmethod
6.Work-in-progressiscalculatedaccordingtothefixedcostmethod
7.Thefixedratiomethod
Costcalculation
Themainmethodofcalculatingthecostoftheproduct:
Varietymethod
Themethodofcalculatingthecostoftheproductinprocesswiththeproductvarietyasthecostcalculationobject.Itissuitableforalargenumberofsingle-stepproduction,oralargenumberofmulti-stepproductionwherethemanagementdoesnotrequirestep-by-stepcalculationofthecostoftheproduct.Suchaspowergeneration,miningandotherproduction.
Batchmethod
Themethodofcalculatingthecostoftheworkinprocessaccordingtothelot(ororder)oftheworkinprogress.Itissuitableforsingle-piece,smallbatch,single-stepproductionandmulti-stepproductionthatdoesnotrequirestep-by-stepcostcalculationinmanagement.Suchastheproductionofprecisioninstrumentsandshipbuilding,clothingprocessing,etc.
Step-by-stepmethod
Themethodofcalculatingthecostoftheproductaccordingtotheproductionstepsoftheproduct.Itissuitableforlarge-scale,large-scale,multi-stepproductionandindustrialenterprisesthatrequirestep-by-stepcalculationofthecostofproductsinmanagement.Suchastextile,metallurgy,papermakingandmachinerymanufacturing.