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Key words: direct costs, indirect costs, calculating variables costs, indicators.
Abstract: The method that assumed the extension increasingly large scale in the cost accounting method is the direct costs (direct-costing) method known as the marginal cost or cost variables. This method was created by Jonsthon N. Harris and G. Harrisson Charter and has been applied for the first time in 1934 throughout the U.S.
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1. GENERAL FEATURES OF THE METHOD VARIABLE COSTS [1]
On the basis of the metiiod lies the principle of separation of the variable costs relatively constant. That is only variable cost component of cost, since tiiey are only incurred in the manufacture of products, while the costs are considered relatively constant costs regardless of the products manufactured and therefore not included in production costs, but the benefits go and loss. The autiiors consider the emergence of spending relatively constant cost as a distortion of the economic categories, especially mat they include using conventional criteria for the assignment.
From me category of variable costs depending on the production or sale are part bodi the direct cost (direct materials, direct nemesis contributions of direct remunerations, steam, water, electricity for the technological processes, costs of disposal of variable) and variable indirect costs (for heating fuel, equipment maintenance,etc).
From me category of spending relatively constant (fixed), sometimes called the structure or expenses of the period, which does not change in relation to volume production, are part the management wages, depreciation, rents and otiier similar.
Separation costs constant (fixed) of the variables and their distribution in profits and losses, on the one hand, allows a substantial analysis of cost variables diat reflect the pattern of the production process, tiius representing the actual cost of each product, and, furthermore, provides the knowledge of constant expenses to reduce their insurance company profitability.
The costs of departments are first accumulated in service departments. These are shown in parentheses on the debit side of the service department accounts. Then, service department costs are allocated to the user departments. If manufacturing overhead is transferred to Work in Process Inventory, mat would be the next step in the manufacturing departments [2].
Therefore, the direct costs mediod are based on the idea of knowledge and analysis...