Ejemplo por el Método de costeo ABSORBENTE | Costos desde cero * VÍDEO 8*
Cost Accounting Basics: Understanding Absorption Costing
Introduction to Practical Cases in Cost Accounting
- The session introduces practical examples for understanding cost accounting, specifically focusing on the absorption costing method.
- Emphasis is placed on gathering all necessary data before applying steps to each case, making the process easier.
Key Data for Production Process
- Initial data required includes production in process, which is noted as 2012 units.
- Elements of cost are identified: materials (or raw materials), labor, and manufacturing overhead (indirect costs).
Progression of Production Costs
- The degree of completion for various elements is specified:
- Materials at 60% complete,
- Labor at 40% complete,
- Manufacturing overhead at 20% complete.
- Distribution of costs based on progress indicates that:
- 60% of the total units relate to materials,
- 40% relates to labor,
- and 20% pertains to manufacturing overhead.
Monthly Cost Data Overview
- Monthly costs include:
- Materials cost: $12,100,
- Labor cost: $5,600.
- Complications arise in determining manufacturing overhead due to varying components involved.
Components of Manufacturing Overhead
- Essential components contributing to manufacturing overhead include:
- Rent,
- Machinery insurance,
- Variable indirect expenses,
- Fixed factory expenses totaling $4,830.
Equivalent Production Calculation
- To apply absorption costing effectively, equivalent production must be calculated using elements like materials and labor.
- Total finished production is stated as 100 dozen units; this figure will be used alongside incomplete units based on their degree of completion.
Summation of Equivalent Units
- The calculation involves summing completed units with those still in process according to their completion percentage:
- Materials yield a total equivalent unit count reflecting their progress.
Determining Unit Costs
- To find unit costs, total period costs are divided by equivalent production units.
- For example:
- Material costs ($12,100),
- Labor costs ($5,600),
Cost Calculation in Manufacturing
Understanding Unit Costs
- The equivalent production is 108, with indirect manufacturing costs amounting to 4,830. To determine the unit cost, divide total costs by equivalent production.
- The total unit cost includes materials (raw materials), labor, and indirect manufacturing costs. For 100 dozen units, the unit cost is calculated as a sum of these components.
- It’s crucial to work with all decimal points in cost calculations to avoid discrepancies that can arise from rounding errors during large-scale production.
Calculating Costs for Sold and Remaining Inventory
- To find the cost of 60 dozen sold, multiply the quantity (60) by the total unit cost (206), resulting in a total of 12,379.
- For the remaining inventory of 40 dozen finished goods, apply the same multiplication method using the unit cost to arrive at a figure of 8,253.
Assessing In-Process Costs
- To calculate costs for 20 dozen still in process, consider each element: materials, labor, and indirect manufacturing costs. Each must be multiplied by their respective rates.
- The calculation also requires factoring in completion percentages: materials at 60%, labor at 40%, and indirect costs at 20%. This ensures accurate representation of partially completed items.
Total Cost Verification
- The combined total for materials (1,296), labor (414), and indirect manufacturing (185) gives a subtotal of 1,897 for the incomplete items.
- To verify accuracy, sum up all components: sold items (60 dozen), finished goods (40 dozen), and those still in process should equal a total cost of approximately 22,350.
Conclusion and Next Steps
- Emphasizing organization and clarity when applying theoretical concepts leads to successful calculations. Future videos will delve deeper into advanced topics; viewers are encouraged to subscribe for updates.