Types of production costs.

The cost of production belongs to the leading place in the system of all indicators that characterize the efficiency of production and further implementation. The cost of production is called the cost of its production, as well as sales, which are expressed in cash. It reflects the various aspects of the financial and economic and production activities of any enterprise: what is the degree of use of financial, labor and material resources, as well as the quality of work not only of individual workers, but also of the entire management. The calculation of the actual cost of finished products is of great importance for the enterprise. After all, the calculation of this indicator is required for many reasons, but mainly to determine the profitability of certain types of products, as well as the entire production, to determine wholesale prices for products and to implement in-house self-financing. The state at the moment fulfills a regulatory role in relation to the cost price.

There are different types of production costs , while it is one of the main factors in obtaining and generating profits. The costs of production of any product are classified according to economic elements, as well as costing items. They are material (purchased semi-finished products, raw materials, energy, etc.), the second group - labor costs, the third - amortization of PF, the fourth - deductions for various social activities and other costs.

Kinds of the cost price of production allocate depending on completeness of coverage of all expenses for manufacture. The first group is the technological cost, which includes the costs of maintaining the technological process of production. The second group is the production cost, which is the cost of producing a particular type of product. The third group - the full cost price - all costs not only for production, but also for the sale of products.

Types of production costs are also differentiated by the costing object. If it is gross output, then it is the cost of production for the current period. And if - the realized production - expenses not only on manufacture, but also on its sale during any cycle, say, a year.

There are also such types of production costs as planned, estimated, reported or actual and normative. All of them include different costs.

Types of production costs are used for different analysis purposes. So, the production cost is necessary in order to make an estimate of the cost characteristics of the entire production process. The technological cost is required to assess the cost characteristics of the technological process, and the full is the basis for evaluating the entire complex of non-production and production operations, it is the basis for the calculation of the price of production exclusively using the cost method.

Accounting and analysis of the cost of production has the main tasks. First of all, we are talking about an objective assessment of the implementation of the cost plan and its changes in relation to the past reporting periods. The second task is to investigate the causes that caused the deviation of any indicators from their planned values. The third task is to provide responsibility centers for costs with all the necessary information in order to effectively and efficiently manage the formation of cost. The fourth task is to help in every possible way to develop the most optimal value of the planned costs, normative and planned calculations for certain types of products and products. The fifth task is to identify and produce a consolidated calculation of all the reserves of cost reduction, not only for the production of products, but also for its implementation.