Cost Analysis

The cost analysis is carried out with the purpose of an estimation of results of activity of the enterprise and rational management by its profit.

The cost analysis is necessary to strengthen control over the economical use of resources and compliance with the limit of material costs. Accounting for their deviations from the norm allows you to identify savings reserves and prevent unnecessary waste of funds.

The method of cost analysis operates with all current costs that are associated with the reproduction of the property of the enterprise, less depreciation charges. Such a study is conducted according to the types of expenditures, therefore, take into account the nomenclature of raw materials (materials), the variety of technological processes, the assortment of finished products. The analysis of material costs and the reasons for their deviation from the norm is carried out according to industry codifiers.

Control over the consumption of raw materials is carried out in two stages. At the first take into account the release of resources in production from warehouses, at the second - control the movement of material flows at all stages of production.

The analysis is carried out using specially developed balance sheets containing pre-prepared (totaled and fixed) costs necessary for the production of the main types of products, and the results of production in the form of volumes of its release. With this approach, you can identify the level of total costs for the production cycle, determine the interrelations between sectors and sectors of the economy. Such an analysis is important not only as a research tool, but also in carrying out forecast calculations and pre-planned justifications.

Costs are constant and variable. Their character is necessarily taken into account in the analysis. Fixed costs are characterized by the fact that their amounts do not change in case of changes in production volumes (depreciation, rent, maintenance costs of buildings, services of third organizations, deductions for insurance, etc.). Variables - vary with the change in production volumes, increasing / decreasing in proportion to them (costs of raw materials, labor, transport costs, fuel, energy, packaging, etc.)

In the course of the study, we analyze such indicators as costs per 1 ruble of products, cost (including costing items ), cost estimates, loss from marriage, analysis of direct material costs (labor, etc.) and indirect costs, costing of a unit of goods, Factors of cost reduction.

The cost per ruble of the output of the enterprise reflects the cost of this ruble in depersonalized products. The indicator is calculated by dividing the total cost of manufactured products by the figure of its value at wholesale prices (VAT and excises are not included). At the same time, it is necessary to establish how much the costs have changed compared to the previous period. This indicator is affected by the structure and range of products, changes in cost and wholesale prices.

The cost analysis by estimate is required to study the dynamics of expenditure of funds and to identify possible reserves for their reduction. In the estimate, costs are grouped according to their economic content (elements); On this basis the cost analysis is carried out in comparison with the previous period. Their structure (the specific weight of each element - materials, energy, labor - in the whole sum) is studied.

With such an analysis, it is possible to determine the degree of cooperation in production, the level of correlation between living labor and materialized labor. With the growth of the specific weight of materialized labor, it is possible to draw conclusions about the increase in material costs. If there is an increase in the cost of semi-finished products and purchased parts, it means that the level of cooperation is increasing and the specialization of production is widening. The change in the share of depreciation charges indicates changes in the technical base. Other costs in case of instability of their indicators may indicate changes in the maintenance and management of production.

The cost element analysis is the data provider when estimating the cost of production. Investigating the cost elements, you can see what costs were incurred and in what proportion they were consumed in production. Thus, their role in production and, accordingly, their appropriateness becomes clear.