PROBLEMS OF METHODOLOGICAL PROVISION OF CALCULATION OF PRODUCT COST (ON THE EXAMPLE OF PROTECTIVE CLOTHING)

Abstract

In modern economic conditions, the production process is the main stage of the funds cycle of any industry enterprise. During the production process, initial cost of products (works, services) is formed on the basis of material, labor and financial resources of the organization, as well as various pricing methods are used, which ultimately determine the financial result of the enterprise. The article is devoted to live issues of determining methods of calculating the production cost. Calculation in management accounting, especially in a market economy, makes it possible to determine the economic basis for price formation in a particular enterprise more accurately. The choice of cost accounting and calculation method is based upon the study of production features, specifics of the production process and the process of selling products to the final consumer. The purpose of this article is to improve and optimize the production cost of overalls based upon identifying problems in the application of traditional methods of the production cost calculating justificating management decisions. In our work we used various methods of scientific research: general scientific (analysis, synthesis, comparison), economic and statistical methods of collecting and processing information, as well as special accounting methods (estimation, calculation, calculations). To achieve this goal, the article considers the cost calculating methods of the production and approaches to their definition (market and production). The advantages and disadvantages of each method of the production cost calculating are identified. Features of expenses calculation at the industrial enterprises considering branch organizational and technological specifics are investigated. The cost calculation of overalls is calculated upon the example of "Jacket insulated with a logo" using costing cards. On the basis of the received information the order of expenses account improvement for manufacturing (on an example of overalls) is offered and tasks for production expenses optimization are defined. The practical value of the article is that the results of the study of product costing can be used to improve management efficiency and optimize the production cost of overalls.