The custom costing method is usually used in the manufacture of single products, or in small-scale production. It is also typical for enterprises engaged in the provision of services or the performance of various works. At manufacturing enterprises, order-based costing can take place when it is possible to isolate and individualize the production of a single product or a small batch of products and obtain information not about the average, but about the individual cost. In some cases, orders may consist of a large number of items. But the main condition for order-based costing is a predetermined quantity of products of a given type.

This method of accounting, in addition to manufacturing industries, is widely used in the provision of various services, as well as in the construction industry.

The production order acts as the costing object for the order-by-order method. Production orders are opened by the relevant services of the enterprise (for example, the planning and production department), that is, they fill out order forms (cards or costing sheets for the order), documents for analytical accounting of production costs for this order. Thus, under the conditions of the method under consideration, the order form is the main accounting register that is closed at the end of the production of a specific order. It determines the actual individual cost of a unit of production, type of work or service. In other words, the reporting cost estimate is made only after the order is completed (the time of its compilation, as a rule, does not coincide with the time of compilation of the periodic financial statements). Until the completion of the order, all related production costs will be considered work in progress.

The form of the order form is developed by the enterprise independently. It can be either a paper document or a computer file, usually filled in by the manager of the department in which the order is executed, or in the accounting department of the enterprise. At the same time, each order is assigned a registration number, which is indicated not only in the order form, but also in all primary documents related to the order. Thus, the production order acts as the main planning and accounting unit.

There may be cases when, in the manufacture of complex or expensive products, separate cost accounting for the manufacture of individual parts or blocks of the product is organized, if they are complete structures: separate orders with independent numbering are opened for them. At the same time, if one order includes a large number of various names of products, a statement (list) of these items is opened for the order.

The following types of orders can be opened at the enterprise:

• a) individual (separate order for each unit of product) - for the largest and most expensive products;
• b) annual (one order for all products of a given name per year) - for the main products;
• c) group (one order for a group of homogeneous products);
• d) one-time - for the release of a predetermined number of products and the performance of individual, specific work.

When using the order method, all direct costs are taken into account in the context of costing items for individual production orders. At the same time, the accumulation of information about the costs related to the order is carried out in a certain sequence.

First of all, the direct costs of materials and wages of production workers directly involved in the execution of the order are recorded.

To release materials to fulfill an order, the planning and production department, simultaneously with the opening of the order, draws up a requirement for the necessary materials and transfers it to the storekeeper. Copies of requirements are transferred to the accounting department for debiting the corresponding amounts from the “Materials” account to the “Main production” account. The accounting department puts down the price and amount for each type of material listed in the requirement. At the same time, the cost of the issued materials is recorded in the form or order card based on the order number indicated in the requirement for the release of materials from the warehouse.

The cost of auxiliary materials is included in overhead costs.

Labor costs for the execution of an order are determined on the basis of time accounting cards (work orders), or time sheets, which reflect the number of hours during which workers were engaged in the implementation of a specific order. Worked man/hours are multiplied by the tariff rate of workers; the amount received is attributed to the cost of the order (account "Main production"), or included in overhead costs (account "General production costs"), if we are talking about the work of support staff.

In the production of orders, in addition to direct costs for materials and labor, overhead costs are also formed at the enterprise - a kind of accumulator of indirect costs. Although these costs are not directly related to individual orders, they must be included in the cost of production, that is, assigned to orders. With the development of production and technological processes, the share of overhead costs in the total total costs of the enterprise increases. At the same time, there are both overhead costs generated in individual production units and overhead costs related to the entire enterprise as a whole: depreciation of industrial buildings, utility bills, rent, expenses for maintaining the management apparatus, and others. Overhead costs are divided into two main groups - production and non-production.

For rate production stocks, determining the financial result for products sold, as well as for making management decisions based on information about the cost of production, it is necessary to correctly distribute overhead costs. The process of allocating overhead costs is called absorption, or inclusion, of overhead costs.

It is necessary to choose the right base for the allocation of overhead costs, that is, the cost factor, with a change in which there would be a corresponding proportional change in overhead costs. That is, products that indirectly cause large overhead costs also require more amounts and cost factor.

Most often, in practice, some quantitative indicator is chosen as the distribution base, the size of which directly depends on the volume of production, such as: man / hours of personnel work - in labor-intensive production, machine / equipment hours - in capital-intensive and others.

The base indicator (cost factor), against which overhead costs will be allocated, is fixed in accounting policy.

In cases where the relationship between overhead costs and product manufacturing technology is different in different departments, it is advisable to allocate overhead costs using a two-stage procedure.

The first stage involves the distribution of overhead costs between cost centers (production units). In the second step, overheads are distributed among the orders (products) that pass through the shop floor. In this case, the enterprise applies both the plant-wide overhead rate and the shop floor rates. At the same time, each workshop can have its own distribution base.

The timing of overhead costs is also important. Overhead costs can be distributed both at the end of the execution of the order - in fact, and in advance - before the start of its execution. More efficient, from the point of view of management, is the second method, when overhead costs are taken into account in the cost of the order in advance: on the one hand, it becomes possible to plan costs, on the other hand, the impact on the cost of the order of factors such as seasonality of work or floating overhead rates is leveled.

According to K. Drury: "The average annual rate, based on the ratio of all overhead costs for the year, the annual volume of production activities, more fully reflects the usual ratio of total costs and output"

Preliminary distribution of overhead costs is made on the basis of the calculated standard (planned) coefficient:

The total amount of overheads calculated

Preliminarily calculated distribution coefficient for the coming year = overhead costs Preliminarily calculated value (normative or planned) of the cost factor (machine per hour, person per hour, etc.)

That is, the amount of overheads included in the costs is determined by multiplying the cost factor required for an individual order by a pre-calculated overhead factor.

This coefficient is calculated on the basis of a pre-projected, based on the dynamics of costs in previous years, the amount of overhead costs for the coming year. The estimate can be made in the form of a flexible budget (estimate) of overhead costs. Indicators of the flexible budget (estimate) of overhead costs show what amounts of indirect costs are expected at different production volumes. Information on the planned overhead costs is collected from all departments of the enterprise involved in the production process, as well as administrative and managerial, then the expected values ​​​​of costs for each department are summed up and the total amount of overhead costs for the enterprise is found.

As a rule, the total amount of overheads planned ahead is somewhat different from their actual amount. Deviations can be both positive and negative. The amounts by which the actual overheads are greater than or less than the predetermined overheads are called underdistributed or redistributed overhead costs. The discrepancy between the planned and actual amounts of overhead costs can be explained not only by errors made in the calculation of overhead costs according to a pre-calculated coefficient, but also by the impact on general level costs of various objective and subjective factors. In any case, at the end of the reporting period, it becomes necessary to write off the excess or shortage of overhead costs.

If the amount of the deviation is not a large amount, then it is advisable to consider it as the costs (income) of the period and attribute it to a decrease or increase in the financial result.

In the event that the amount of the deviation is significant and, at the same time, a greater number of products manufactured during the year are not sold by the end of the reporting period, the overhead costs are reallocated to the cost of orders using the actual allocation factor:

Actual Ratio Total Actual Amount of Invoice Expense Distribution Invoices for the Reporting Expense Period = Actual Cost Factor Value

Control questions to the topic:

What is the essence of custom costing?

For which enterprises is it typical to use the order-by-order method of cost accounting and costing?

What is the main cost object in order costing?

What is work in progress at the end of the period in order-based costing?

What costs are charged directly to the cost of the order?

How the cost price is determined with the order-based cost accounting method finished products?

How are overhead costs accounted for in order costing?

What are the overhead cost allocation methods?

What are the benefits of using a pre-calculated overhead ratio over an actual overhead ratio?

How are unallocated and reallocated overheads written off?

Branch of the State Educational Institution

"Institute of Informatization and Management Technologies"

Belarusian State University

in Grodno

Department of Economics

Test

discipline "Accounting"

Performed:.,

2nd year student

specialty 1-25 03 75 "Accounting and control in industry"

Grodno, 2010

INTRODUCTION ____________________________________________________________2

THEORETICAL PART______________________________________________3

CHAPTER 1. Order-based method of cost accounting and costing of products _________________________________________________________3

CHAPTER 2 Inventory of cash and settlements _______________8

PRACTICAL PART______________________________________________12
CONCLUSION_________________________________________________13

LITERATURE__________________________________________________14

INTRODUCTION

In the world accounting practice issues of on-farm accounting, including methods of planning and cost accounting and calculation of production costs, are given great importance. The calculation method involves a system of production accounting, in which the actual cost of production, as well as costs per unit of production, are determined. The choice of method for calculating the cost of production is associated with the technology of production, its organization, and the characteristics of the products.

At present, the classification of methods for accounting for production costs and calculating the cost of production is still the subject of discussion, so there is no generally accepted classification of such methods. The main methods of cost accounting and calculation of the cost of production are order-based and marginal methods, other costing systems, as a rule, are varieties of these methods. The first chapter of the test describes the essence of the ostentatious method of cost accounting and costing of products.

Among all the objects that ensure the economic activity of the enterprise, it is important to take into account Money. Cash is the amount of cash on hand at the enterprise, free cash on settlement, currency and other bank accounts, securities and other cash of the enterprise. Based on the definition, we can say that operations with this object are the basis of accounting activities. A literary review on the issue of cash inventory and settlements is contained in the second chapter of the theoretical part of the test.

In the practical part, a situational problem is considered.

THEORETICAL PART

CHAPTER 1

Order-by-order method of cost accounting and costing of products

The custom cost accounting method is used in the manufacture of a unique or custom-made product.

In industry, it is used, as a rule, in enterprises with a single type of organization of production. Such enterprises are organized for the manufacture of limited consumption products. The most typical are heavy engineering plants that create blooming mills, rolling mills, high-capacity excavators, as well as the military-industrial complex, where mechanical processing processes predominate and non-repeating or rarely recurring products are produced.

The release of a large order requires serious material, labor and other costs, but, as a rule, they cannot fully load the production capacity of the enterprise. Therefore, it can simultaneously fulfill other orders, produce dozens of products of various designs, but each one in a very limited quantity.

The most important distinguishing features of a single type of production are:

A wide variety of manufactured products, a significant part of which is not repeated and is produced in small quantities on individual orders;

Technological specialization of jobs and the impossibility of permanently assigning certain operations and details to jobs;

The use, as a rule, of universal equipment and devices;

Relatively large proportion of manual assembly and finishing operations;

Predominance among highly skilled general workers.

The order-based method of cost accounting is used in industries that produce prototype products, as well as in auxiliary industries - in the manufacture of special tools, carrying out repair work.

The scope of the custom accounting method is also small-scale industrial enterprises. A series is a number of products of the same design, launched into production simultaneously or sequentially. Small-scale production is organized for the production of products required by the consumer in small quantities. Therefore, small-scale enterprises are loaded with a relatively large and rather diverse range of products. An example is the shipbuilding and aircraft industry, as well as printing companies that produce products in series, the number of which is determined by the ordered circulation.

The custom method is also used at enterprises with physical and chemical processes when producing certain types of products in limited quantities (for example, at chemical industry enterprises when fulfilling orders for chemical reagents, precast concrete enterprises when fulfilling individual orders for original reinforced concrete products, etc.).

The scope of the custom accounting method is not limited to industrial production. It is successfully used in construction (the project needs to be tied to a specific area), research institutes, healthcare institutions (the cost of each patient's operation is calculated depending on its complexity and diagnosis).

Recent years have been marked by the development of the service sector. In the manufacture of furniture, carpets, tailoring for individual orders, repair of cars, watches, televisions and the provision of other services, workshops, dry cleaners, ateliers also use custom-made costing.

Essence this method is as follows: all direct costs (the cost of basic materials and the wages of the main production workers with accruals on it) are taken into account in the context of established costing items for individual production orders. The remaining costs are taken into account at the places of their occurrence and are included in the cost of individual orders in accordance with the established base (rate) of distribution.

The object of cost accounting and the object of calculation in this method is a single production order. In this case, an order is understood as a customer's request for a certain number of products specially created or manufactured for him. The type of order is determined by the contract with the customer. It also stipulates the cost paid by the customer, the procedure for settlements, the transfer of products (works, services), the deadline for completing the order. Until the order is completed, all related costs are considered work in progress. In other words, with this method, the cost of production materials, the wages of production workers, and general factory overheads are charged to each individual order or to the batch of products produced. If the order is represented by a single item, then its cost is calculated by summing up all costs. If the order provides for the production of several products or their batch, then by summing up the costs, the cost of manufacturing the entire batch is obtained. To determine the cost of one product, the total production costs are divided by the number of units in the batch.

Cost accounting for individual orders starts with the opening of the order. "Open an order" means to fill in the appropriate order form (or order for the execution of an order). This document is in the accounting department.

Depending on the needs of the enterprise, the form of this form may vary. However, in any case, it usually contains the following basic information:

Type of order (for own needs or outsourced; one-time or consolidated). Costs for one-time orders are taken into account and reflected within one reporting period. Long-term, or consolidated orders consist of periodically renewed or a series of small orders. Cost accounting for such orders is associated with the distribution of costs between several reporting periods;

Order number (individual code). It distinguishes this order from all others in production during the reporting period;

Characteristics of the order (a brief description of the work to fulfill the order);

Contractor (section performing work);

Order execution time;

Month in which order costs are taken into account (distributed). After that, the accounting department begins to receive primary documents for the consumption of materials, wages, losses from marriage, wear and tear of special devices and tools associated with the manufacture of this order, i.e. on direct costs. Each document contains an order number.

Accounting for cost accounting for orders for each order opens a card (sheet). As an order progresses, the order card accumulates information about the costs of direct materials, direct labor costs, and general factory costs associated with its manufacture. Thus, the order card is the main accounting register in the conditions of the order-based costing method.

Let us now consider the order of accounts in the conditions of the order-based costing method. In the development of account 20 “Main production”, analytical accounting is organized for each order, i.e. the number of analytical accounts to account 20 must correspond to the number of orders currently placed at the enterprise. As noted above, order cards are the register for organizing analytical accounting.

Direct costs of materials in accordance with the received primary documents are written off to the corresponding orders and shown in the debit of account 20 "Main production". Direct wages are also directly related to the respective orders.

There is a problem with the distribution of indirect costs (depreciation, rent, costs for lighting, heating, etc.) between individual production orders completed in the reporting period, because it is necessary to plan the price of the order and agree it with the customer during the reporting period, when the total amount of indirect costs is not known.

One solution to this issue is to wait for the end of the reporting period and then, knowing the total actual amount of indirect costs for the reporting period, distribute it among individual orders. However, such a solution is unlikely to satisfy the modern manager and the customer himself. The management of the enterprise needs data on the expected cost of the order to determine the price before the order is completed. The customer also needs up-to-date information about the possible price in order to choose an inexpensive contractor for himself.

In practice, they usually go the other way: indirect costs are distributed between individual orders in advance, using budget rates (preliminary standards) for the distribution of expected indirect costs.

The concept of "budget" in management accounting is synonymous with the word "plan". Therefore, we are talking about indicators planned by the accounting department itself. They are based on the estimated values ​​of production volumes (works, services) and indirect costs in the coming period.

The calculation of the budget rate for the distribution of indirect costs is carried out by the accounting department on the eve of the upcoming reporting period in three stages:

1. Indirect costs of the upcoming period are estimated.

To a large extent, the accuracy of this forecast depends on the experience, titles and intuition of the accountant-analyst, since when giving such forecasts, it is necessary to take into account many factors - both objective (not dependent on the activities of the enterprise) and subjective (depending on it). For example, a significant component of overhead costs is payment utilities and electricity, and its size, in turn, depends on the established tariffs. Therefore, an increase in the current tariffs for payment of utilities and electricity is an objective factor for the enterprise. Of course, it is difficult for an accountant-analyst to predict the impact of this factor in the coming period.

Accounting method is a system of tools for determining the value of goods. Exist various ways. The choice of a specific tool depends on the complexity and type of production, the duration of the manufacturing cycle, and the range. Consider in the article the custom method and all its features.

Custom Method Implementation

The custom method is the main one. On its basis, all other accounting methods have been developed. It is suitable for individual and small-scale production. That is, the production within which single and unique products are manufactured. The method under consideration is relevant for workshops when they are being repaired.

The order for the production of goods is carried out by the production department. On the basis of the formed order of the workshop, they begin work. The order also indicates the production time. Based on the order, the accounting department executes an analytical accounting card. The order is then assigned a unique code. It must be spelled out in the primary papers, as well as documents on the costs associated with the work.

With the order-by-order method, one order is considered the object of accounting for expenses. Direct spending will be recorded in the individual items section by item. After the primary is processed, direct expenses are posted on analytical accounting cards. The primary itself must be stored in folders. Each order has its own folder.

If the volume of the primary is large, information from the papers is grouped on the accumulative statements. Entries are made on the basis of statements. After that, you need to.

Indirect costs for the cost of specific orders are assigned according to the distribution base. The latter is set on the basis of the composition of the cost.

When the order is completed, the expenses must be summed up. With this, you can establish the real production cost of the product that was manufactured. When a task is completed, production shops receive notifications that work on the order has been completed.

Main features of the method

Consider the basic characteristics of the custom method:

• There is no need to carry out calculations regularly. The cost price is determined only upon completion of the work on the order. It does not need to be calculated monthly.
• A conditional assessment is relevant for partial release of products as part of an order. Keep in mind that this estimate does not reflect the actual cost.

The custom method is a subspecies of the custom method. However, this tool is rarely used in Russia. It finds its application in mass production units, where some units are assembled from parts. This is an actual scheme for such areas as the automotive industry, furniture production. The itemized method involves monthly costing. The object of accounting are stable orders for products. The real cost is determined by dividing the recorded costs by the volume of manufactured products.

The custom method is relevant under the following conditions:

• Individual or small-scale production.
• Heterogeneous manufacturing (that is, it can be stopped at any stage).
• The production process and working period are similar.
• Work on the order takes more than the reporting time.

The bespoke method is commonly used in furniture manufacturing.

Advantages and disadvantages

The custom method has these advantages:

• This tool allows you to compare spending between orders. Based on it, you can rank orders according to their profitability. You can determine which work involves the most spending.
• Formation of a base for spending planning.
• Ability to collect data to control costs. To do this, you need to calculate the level of deviations between the estimated and actual values.

However, the method also has disadvantages:

• A certain level of detail needs to be maintained.
• Sometimes you don't need to match orders. For example, it is meaningless in the period between the execution of the order.
• Spending control is possible only with an auxiliary analysis of primary data.

A bespoke method will only be optimal if it has been selected according to specific needs.

Work order and other documents

Accounting for expenses for each order is carried out in stages. The first step is to open an order. This means filling out an order form or order for the execution of work. Reviewed documents must be kept in the accounting department.

The work order can be issued in various forms. As a rule, this information is indicated in this document:

• Order type.
• Order code.
• Features of the order, description of the planned works.
• The duration of the order.
• Month of accounting for associated costs.

After drawing up an order-order, you need to send the primary. In particular, these primary documents are meant:

• About the waste of material.
• About salary.
• About the costs of defective products.
• About the wear of the tools that were used as part of the order.

In each of primary documents you must specify the order number. Consider the features of accounting for various elements:

• Materials are taken into account on the basis of ITC leave norms. The latter can be issued either by the master on order, or by the control department.
• The goods issued will be valued based on the chosen basis: FIFO or average cost.
• The duration of the order must be taken into account in the orders.

In the form for registering the activities of employees, you must specify the employee, place of work, rate, amount for the operation, individual order number.

Purchases and other direct expenses are recorded in the expense record card. The amount of purchases is established on the basis of an analysis of invoices for purchased materials. In the registration form, you must specify the material number, date, workshop, material name. The author of the document must sign it.

Accounting features

In accounting, as part of the method used, you need to use these registers:

• Summary sheet of valuables spending.
• Salary distribution sheet.
• Statement of the movement of semi-finished products that are manufactured as part of production.
• Statement of NHP.
• Personal account on request.
• Turnover sheet.
• Accounting for business expenses.
• Product costing.

Registers must be maintained based on the information of the primary, journals-orders. The personal account is considered to be general. It collects all the expenses of the subject for a specific order. The turnover sheet is formed every month. It is needed to control the correct distribution of costs for orders.

Used postings

In synthetic accounting, you need to make these postings:

• DT20-A KT10, 70, 69, 02, 76. Accrual of production costs for a specific order (let's call this order A).
• DT20-B KT10, 70, 69, 02, 76. Accrual of expenses on order B.
• DT20-A KT25, 26. Write-off to order A of general production and general business expenses.
• DT20-B KT25, 26. Write-off to order B of general production and general business expenses.
• DT90.2 KT20-A. Completion of order A and its transfer to the customer.
• DT43-B KT20-B. Completion of order B and its transfer to the customer.

If there are more orders, then there will be more postings on orders.

The order-based cost accounting method is one of the main methods for calculating the cost in enterprises where production costs are accounted for by individual or special orders; in industry, it is used, as a rule, at enterprises with small-scale and individual types of production organization, in military-industrial complexes, enterprises heavy engineering. This method is also used in construction, service industry, budget organizations, in research institutes, health care institutions, printing houses, publishing houses, advertising and auditing and any other organizations working to order and providing services in accordance with the requirements of customers. Individual or unit production is a form of organization of production in which different kinds Products are made in one or more copies. Individual production uses a wide range of materials, universal technologies. A single type of production has the following features:

1) a wide variety of manufactured products, a significant part of which is not repeated and is produced in small quantities on individual orders;

2) technological specialization of workers and the impossibility of permanently assigning certain operations and details to jobs;

3) the use, as a rule, of universal equipment and devices;

4) a relatively large proportion of manual assembly and finishing operations;

5) the predominance of high-skilled general workers;

6) unified parts, assemblies and normalized parts are made according to size, and not according to belonging to a specific machine, machine tool.

The order-by-order method involves considering each order as a separate accounting unit, for which direct material and labor costs, as well as overhead costs, are calculated. The enterprise maintains one account "Main (work in progress)", which is detailed by order cards, in which the costs of all departments for the implementation of a specific order are collected. This form is very important for the order system and is used both for the purposes of calculating the cost of the order used to compile financial reporting and for control purposes.

Order cost registration cards may differ in form, content and structure, however, all contain the main indicators. The card contains the order number, work permit and description, determines the time period required to complete the order, and also indicates the number of units to be produced. In many cases, a production order card may include additional information such as sales prices, customer name, shipping terms, etc., as well as cost totals. A company can process several orders at the same time. Each order cost registration card is assigned a number, which is also indicated in the requirement for the issue of materials and in the work ticket in order to simplify the identification of direct material and labor costs. The information contained in the forms for accounting for materials used and accounting for labor expended is regularly summarized and included in the order cost registration card.

Thus, the card reflects all the costs incurred for the implementation of a particular order, including the overhead costs attributed to it. Obviously, the level of detail of the information required to secure an order varies depending on the terms of a particular contract or the requirements of the enterprise. However, in any case, the total amount of costs recorded in the order cards at the end of the reporting period will be equal to the balance of the Work in Progress account at the specified date.

The ordering system has several options in practice:

* contract - cost accounting for large units of production, the production of which takes place over a long period of time, with the obligatory conclusion of contracts, when the cost is determined by the contract as a whole and individual stages of its implementation;

* by product - cost accounting is organized for each item or group of homogeneous products, and the cost is calculated by dividing the total costs by the number of manufactured products of this type during the reporting period;

* itemized - cost accounting is carried out for specific names of manufactured parts, for assembling parts into assemblies, assemblies - into products, and the cost of the product is determined by summing the cost of a set of parts and assembly costs;

* in-house orders - costs are summarized for homogeneous objects (single), prototypes new technology, experimental products, their cost is calculated, as a rule, at the end of the reporting period.

Each option is characterized by the features of choosing cost accounting objects, documenting direct costs, summarizing and distributing indirect costs between finished products and work in progress, as well as between orders. .

Direct costs, both labor and material, can be directly attributed to a particular type of product or service; overhead costs can only be allocated to product types using special methods. When writing off their expenses, they often resort to the use of standard coefficients for writing off overhead costs, established for each unit or operating facility, usually for a year.

These coefficients are calculated in three stages:

1) draw up an annual budget and a plan for overhead costs. The projected value of overhead costs is calculated based on the dynamics of costs and the estimated volume of production. This operation must be performed for each production unit for the upcoming reporting period;

2) choose the basis for the distribution of overhead costs. To do this, determine the relationship between general production costs and the volume of finished products, using any of the meters of production activity, for example, the number of hours worked, the amount of accrued wages of production workers, the number of machine hours. The selected base most closely links overhead costs and the volume of output;

3) the value of overhead costs predicted for the coming period is divided by the projected volume of production, expressed in terms of the selected distribution base (hours, rubles). As a result of this operation, the standard coefficient of overhead costs is obtained.

Then, overhead costs are attributed to each type of product using this coefficient, for which the actual value of the distribution base indicator is multiplied by the standard coefficient. This amount is added to the cost of materials and the accrued wages of production workers. As a result, the estimated production cost of products is obtained, in which only two actual components are direct material and direct labor costs, and general production costs are taken into account on the basis of a standard coefficient. It is at this estimated production cost that the movement of products on the accounts is reflected accounting.

The use of the order-based costing method predetermines the control over production costs at the enterprise and the organization of accounting in strict accordance with the established detailed and operational norms for the consumption of material and labor resources. This control is designed to prevent the performance of work not provided for by the technological process, as well as to ensure the correct allocation of production costs to the corresponding orders. With the order-based cost accounting method, responsibility is carefully distributed between all order executors and heads of responsibility centers. A feature of cost accounting with the order method is the accumulation of costs for each completed batch or order as a whole, and not for a period of time. During the production of an order, the debit of the production cost accounting accounts: account 20 "Main production", account 23 "Auxiliary production", account 25 "General production expenses", account 26 "General expenses" from the credit of the resource accounting accounts, the costs for each order are charged separately with a division into direct debit accounts 20 and 23, and invoices debited to collection and distribution accounts 25 and 26, not directly related to a specific order, but due to the process of organizing, servicing production and managing it.

After completion of the order, the costs collected on accounts 25 and 26 are written off to the debit of accounts 20 and 23 and are simultaneously distributed among the orders.

General production costs include the cost of the order, accounts 25 and 26 are closed; the full actual cost of the finished order is calculated, i.e., the amounts of the actual production cost of fulfilling the order are transferred from the credit of account 20 "Main production" to the debit of account 43 "Finished products" or account 90 "Sales". Further, the financial result is determined, the final result of the activity, culminating in profit or loss from the completed order: account 90-9 "Sales", sub-account "Profit or loss from sales" in correspondence with account 99 "Profit and losses". .

3. keeping in the general ledger of the account "Main production", the debit balance of which shows the value of work in progress.

The system of order accounting and costing is used in those industries where the cost of materials for technological purposes, the basic wages of production workers and general production costs can be easily correlated with the release of specific products or the performance of any services.

The organization of a system for order accounting of production costs is possible under certain production conditions. The main condition is the ability to single out and individualize the production of a unique or custom-made product or a small batch of products and obtain information not on the average, but on the individual unit cost of production. Industries with such conditions include: construction, aircraft and shipbuilding, turbine building, printing, furniture production, research, design, repair work, the provision of audit and consulting services and other small-scale and individual production. In addition, it is widely used in auxiliary industries, especially in repair work.

Individual production is characterized by a long production cycle with a division into highly specialized and broadly specialized in relation to the products. At the same time, non-repeating or repeating non-periodically products of various sizes are produced - large, medium, small. Products in most cases are complex, consisting of a large number of items that undergo a significant number (from 100 or more) of operations as a result of their processing. In addition, the features of this type of production include differences in the labor intensity of manufacturing and processing parts, so the increase in the volume of output will occur during the reporting period at intervals. .

The level of specialization of enterprises has a significant influence on the choice of the system of operational production management, when, along with core products in small batches, quite significant volumes of non-core products are produced. The specifics of the organization of its production differs from the existing production conditions for the manufacture of the main products. In this case, for non-core products, one of the considered options for an order or complete system is more appropriate, despite the fact that for the main products at the same enterprise, a different system of operational production planning and accounting is used.

Serial production uses methods of operational production planning refined in comparison with mass production and planning and accounting units detailed in relation to the measurement of finished products. Serial production is characterized by a wide range of products, consisting of a large number of parts processed on specialized or universal equipment, equipped with special equipment.

Mass production is characterized by a limited range and a large number of products of various denominations continuously manufactured over a considerable period of time. The movement of objects of labor is organized according to the principle of flow (constant one-subject, variable multi-subject).

The non-periodicity of reporting calculations is recognized by all researchers as the main drawback of this system. The results of the execution of orders are calculated not at the end of the reporting period, but after their completion. In accordance with this, a conditional assessment of the activity of the enterprise and a comparison of the costs of fulfilling an order and income from its implementation for a certain reporting period take place.

Several attempts have been made to remedy the shortcomings of the order system by breaking down orders. To this end, in addition to the main external order, it was proposed to open several internal orders for individual finished structural elements of the manufactured product.

Orders are calculated as they are completed. All costs are grouped in a cost set card. Until all work on an order is completed, costs represent work in progress. The cost of a completed order is determined by summing up the costs.

Consolidated cost accounting for orders is organized according to several options using:

1. control accounts;

2. separate accounting;

3. costing under the contract. .

Control accounts - an accounting system that provides for the opening of cost accounts and corresponding accounts with them in the traditional manner financial accounting. Analytical cost accounts are represented by cost set cards - "order cards", on which direct costs are summarized, indirect costs are entered after the reporting period according to distribution calculations. The card is closed as all the work stipulated by the order is completed. All accounting entries are made in the statements, the results are transferred to the accounts of the general ledger.

Separate accounting is an accounting system that provides for separate opening of accounts in management and financial accounting, while no records of financial transactions are made in the cost accounts. This option provides for duplication of entries in two types of accounting.

Contract costing is a system for accounting and costing large products with a long production cycle. The contract provides for interim payments to the manufacturer by stages for the work performed. The amount of payments is determined by the cost of the work performed, confirmed by the customer's act. As payments are received, costs are determined that must be included in the cost of goods sold to calculate profit for a given period. It also determines the amount of unexpired costs, i.e. the cost of work in progress and not handed over to the customer.

When using a contract costing system, it is recommended to adhere to the following principles established for this system.

Do not calculate profit in the early stages of the contract due to the low reliability of income and cost estimates.

Exercise due diligence -- losses identified in reporting period, should be attributed to the cost of work sold in the same period. If losses are expected, then their amount is included in the cost of goods sold after the probability of losses has been established. For example, a reserve is created for the payment of vacations of workers and accruals related to the payment of vacation amounts.

Be prudent at significant costs for a contract executed within 35--85%. Profit on the date of the report is calculated by the formula:

Thus, the system of order accounting and costing is characterized by:

1. the concentration of data on costs and the attribution of costs to certain types of work or series of finished products;

2. change in the amount of costs for each completed batch, and not for a period of time;

3. keeping in the general ledger of the account "Main production", the debit balance of which shows the value of work in progress. .

On account 20 "Main production" analytical accounting is organized for each order. Direct materials and direct labor are directly related to a specific type of work, written off and reflected in the debit of account 20 "Main production", costs that are not directly traceable, such as factory overheads, are attributed to individual works using a given overhead rate (distribution).

The calculation of the indirect cost distribution rate (budget rate) is performed on the eve of the upcoming reporting period in three stages:

1. Indirect costs of the upcoming period are estimated.

2. The base for the distribution of indirect costs between individual production orders is selected, and its value is predicted. The base is understood as any technical and economic indicator that most accurately links indirect costs with the volume of finished products. The basis for the distribution of indirect costs is chosen by the enterprise independently.

3. The budget rate is calculated by dividing the amount of projected indirect costs by the expected value of the base indicator. .

The use of the related overhead rate is necessary for seasonal fluctuations in business activity, then it is possible to derive scores that are close in terms of unit cost indicators. If, however, the actual values ​​of overhead costs are applied, then due to the seasonal nature of business activity, monthly unit cost indicators may turn out to be distorted.

It is not logical that the same product is accounted for at one factory overhead rate one month and another at a different rate the next month. This difference in overhead rates does not reflect monthly, normal production conditions. Medium monthly rate, determined by costs based on annual production, more accurately than actual monthly figures, reflects the typical nature of the relationship between total factory overhead and production.

The degree of product completion used to determine the factory overhead rate varies from function to function. It depends on what type of costs is most relevant to reality in a given production and what is the cost dynamics associated with this. In one division, to determine the utilization rate, it is advisable to proceed from direct labor costs in man-hours, in another it makes sense to rely on the indicator in machine hours as the most characteristic for a given production. Comparison of allocated overheads with actual overheads allows you to determine in which cases during the year too little overhead was attributed to the production cost (underabsorbed overheads), and in which too much (overabsorbed factory overheads).

The formulas for underabsorbed and overabsorbed factory overheads are as follows:

At the end of the year, the difference between the actually allocated overheads and the allocated overheads, if it exists and is insignificant, is settled in the cost of goods sold. If this difference is significant, then the cost of work in progress, the cost of finished and sold products at the end of the year are adjusted, respectively, in units of production or monetary units, in proportion to the deviation of actual overhead costs from distributed ones.

In case of partial fulfillment of orders and their delivery to customers, partial output is estimated at the planned cost of this order or at the actual cost of previously completed orders, taking into account changes in their design, technology, and production conditions. In both cases, the conditionality of estimating the partial release of the order and work in progress is allowed.

Completed work on order is drawn up with documents for the acceptance of manufactured products or work performed (acts, statements, etc.). In individual industries, the cost of manufactured products is determined by summing up the costs for costing items. In small-scale production, the actual unit cost is calculated by dividing the total cost by the number of finished products.

At the end of the order, the actual costs for each costing item are compared with the planned ones, deviations are identified and the causes and perpetrators of the deviations are found out in order to make decisions to reduce the cost of products (works, services) for future periods.

Subsequent (after the order is completed) cost control with the custom method does not always give the desired effect. Therefore, the main task with the order method is to increase the efficiency of control over direct costs, which is possible with the introduction of the main elements of the normative cost accounting method (accounting for costs according to norms and deviations from norms) for all operations and works of ongoing orders. .

When determining the cost of manufactured products (services or works), cost accounting methods play an important role. IN Russian companies various methods of writing off costs are used, that is, costing products, which include methods for registering and summarizing information about production costs. The data is fixed in special registers and used for the purpose of subsequent cost calculation. The calculation of indicators can be carried out in general for manufactured goods, for their varieties, groups, etc. Let's figure out what methods of cost accounting exist in the enterprise.

The effectiveness of the company's activities can be assessed with the help of competent accounting of current costs. The choice of cost accounting method is carried out by the organization independently by fixing the method in the accounting policy, taking into account current legislative requirements. When changing the regulations, the accountant of the enterprise must make appropriate changes to the accounting. The main methods used by company accountants in the Russian Federation are as follows:

• Regulatory - widely used in enterprises with mass production or serial production, in the manufacturing industry, in light industry, mechanical engineering. Based on the use of specified norms.
• Process - most often used at power plants, in the mining or chemical industry, that is, where the product range is narrow, and semi-finished production is completely absent or limited. Allows you to accurately calculate each individual process.
• Custom - used in small-scale, individual production of complex products; for repair and experimental services. For example, these are shipbuilding and machine-building enterprises. The calculation of the cost of each of the products is based on direct and indirect costs.
• Transverse - common in mass production, which is characterized by sequential multi-stage processing of materials and raw materials. For example, these are the textile industry, the metallurgical industry, as well as chemical and oil refining. Calculation is carried out according to the non-semi-finished method or semi-finished, with the calculation of the cost at each limit (stage) of production.

The essence of the normative method of accounting for production costs

Features, the concept of the normative method of cost accounting is that the formation of normative product estimates is carried out on the basis of those developed in advance and valid at the beginning of a given period (usually a year after guidelines) norms. In this case, absolutely all types of existing costs are taken into account according to the given values. Deviations of actual costs from current norms are reflected separately - the reasons (justifications) for such discrepancies, places and culprits are necessarily given. This is done in order to make appropriate changes to the calculations and determine the impact of indicators on the final cost of production.

In the manufacturing process of HP, the standard method of accounting for production costs uses the following formula:

Actual Costs = Standard Costs + Deviations from Standards + Changes in Standards.

As is clear from the names of the values, in order to calculate the actual cost, it is required to sum up the costs according to the established standards with the existing deviations (both in the form of savings and overspending) and the changes in indicators made over the period. It should be borne in mind that the norms are laid down at the beginning of the period, and the calculation of products during the period is based on the approved values. But if changes are made for various reasons, such a difference is subject to special accounting, and recalculation is allowed only as of the beginning of the next year. All standard values ​​are approved by the head of the enterprise or an authorized responsible person.

Deviations are determined in the context of direct costs. These are raw materials, materials, wages, depreciation, etc. As for other indirect costs, the amounts of deviations for them at the end of the month are distributed among all types of products. The disadvantage of this method is the inability to exercise ongoing control over production costs.

Fundamentals of applying the process method of cost accounting and costing

The essence of the process method of cost accounting and costing of products is that the calculation of the cost in the organization is carried out without a breakdown into types of products, that is, with the definition of costing for the entire production process as a whole. At the same time, both direct and indirect costs are not subject to distribution and are written off for the entire output of GP (finished products) under the relevant items. The object of accounting is not a specific product, but a production process, hence the name of the method.

No special formulas are used in the calculations, and the average cost of one product is determined by dividing the total amount of costs incurred during the period by the number of units produced. If the production is characterized by a long cycle, a calculation is performed for each month, and the final cost is determined at the end of the process. Management costs and those attributable to ancillary production are accounted for under general work items.

The use of this method is justified in those organizations where there are no semi-finished products, that is, incomplete; homogeneous products are mass-produced; technological process characterized by a short period. The nuances of the calculation differ depending on how many nomenclature items exist in production. If only one type of product is produced, the unit cost is calculated by simply dividing the total cost by the number of HPs.

If several are produced different types products, costing is determined item by item, broken down by product, and general expenses distributed according to the accepted method. If there is work in progress in production, WIP balances are accounted for according to the method of assessment adopted by the company at the beginning and end of the period, and current expenses for the month are adjusted according to the balance of work in progress.

Using the custom method

The order-based method of cost accounting and calculation is used to accurately determine the cost of certain types of products, as well as when maintaining equipment repairs and auxiliary work. The object of accounting in this method is not the type of product, but directly the order for a specified number of HP. The scope of application of the order-based cost accounting method is individual production or small-scale production, consisting of the same product range. If large items are produced long cycle, order costing is performed not for the entire object as a whole, but for its part - components, assemblies and other finished constructions.

Example of an order-based cost accounting method

Suppose furniture manufacturing enterprise released 2 orders in a month: the first includes 5 cabinets, the second 7 tables. Direct costs are equal: for the first order - 120,000 rubles, for the second - 50,000 rubles; indirect = 70,000 rubles. There is no work in progress, let's do the calculations:

• The total cost of 1 order = 120,000 + (70,000 x 120,000 / 170,000) = 169,411.76 rubles.
• Total cost of 2 orders = 50,000 + (70,000 x 50,000 / 170,000) = 70,588.24 rubles.

In the above methodology, the production cost of products was calculated with the distribution of indirect costs to the base for which direct costs were taken. But the method is also allowed when certain types of production costs are taken into account evenly by dividing by the entire number of manufactured products. In this case, the distribution of indirect costs will be the same.

Features of the incremental method of accounting for production costs

The progressive method of cost accounting is the calculation of the cost not by product, but by redistribution. It is used in industries with homogeneous raw materials. The object of cost accounting for the incremental method is not a unit of the product, but separate phases for processing the inventory. And the redistribution at complex use raw material is recognized as a set of working technological operations, as a result of which an intermediate semi-finished product or already a GP is produced.

The procedure for using such a method may vary in each organization, depending on the method of reflection. What is common is that for each stage direct costs are formed, within different stages, products (semi-finished or finished) are combined into appropriate groups according to the degree of raw material homogeneity and the complexity of its processing, and indirect costs are distributed according to the chosen principle. A decision is made independently on which stages of production the cost calculation is carried out, as well as which nomenclature names are included in each phase.

The basis for the application of the cost accounting method is two common options - semi-finished and non-semi-finished. The first is characterized by determining the cost of semi-finished products at each stage of processing, which makes it possible to more accurately calculate and control the cost of finished products. In the second case, semi-finished products are not calculated, the cost of GP is determined after being released from production, and the movement of such objects is carried out between workshops in physical terms without making entries on accounting accounts.

The difference between semi-finished and non-semi-finished cost accounting methods

In accounting, the non-semi-finished cost accounting method differs in that products that have not undergone full technological processing, released from one stage, but used in the further production of GP, are not reflected in account 21, but are included in the work in progress on account. 20. The internal movement of semi-finished products between workshops is controlled using data in kind, which are recorded by responsibility centers. In the process of costing, the cost of GP is determined based on the total costs at all stages (redistributions) of production.

In contrast to the non-semi-finished method in accounting, the semi-finished cost accounting method implies the initial posting of manufactured semi-finished products to the organization's warehouse and the subsequent write-off (transfer) of objects to other workshops for further use in the production of GP. To reflect transactions, the account is used. 21, and the calculation of the cost at each stage separately is necessary for the correct release of products. There are different options for calculating the cost of a unit - at the cost of inventories, at direct costs, at standard or actual, as well as accounting prices. The optimal method is chosen by the enterprise and fixed in the accounting policy.

According to the completeness of cost accounting, methods are distinguished:

• Direct costing - in this technique, costs are divided into fixed and variable. The prime cost of the SOE includes only variable costs - materials, raw materials, wages and general production variables (utility costs, equipment maintenance costs, salaries of general shop staff, etc.). Fixed costs not related to the production process are directly related to the financial result. The marginal method of cost accounting is used to control the volume of output, analyze the workload of equipment, calculate sales prices and determine the minimum output of HP to cover current costs.
• The method of accounting for full costs - consists of attributing to the cost of products all current production costs. With this technique, direct and general production costs are directly written off to the cost, and general business expenses are attributed to costs without division into types of products.

Actual methods of costing products were gradually developed and implemented at enterprises. The ancestor of modern calculations can be called the boiler method of cost accounting, which consists in summing up all the costs incurred during the period into a common boiler. At the same time, neither the types of manufactured products, nor the places of occurrence of expenses were taken into account, which did not allow determining the cost price correctly and taking into account the characteristics of the manufactured products. Currently, this technique continues to operate only at those enterprises where one type of HP is produced and there is no need to calculate the exact cost.

The ABC cost accounting method in Russia is not widely used and is used mainly not for calculating the cost, but for the purposes of financial analysis the success of the enterprise. This method consists in calculating certain types of work (functions) with subsequent partial attribution to the price of the product. In this case, the entire technological process is divided into simple components with the calculation of consumed resources. According to the results, all the resources spent determine the final cost of the GP.

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