Jan 08, 2013 · budgetary control vs standard costing

97 results for budgetary control vs standard costing
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Standard costing - Cost Accounting - 9

Once management has established the desired output quality and determined the input resources needed to achieve that quality at a reasonable cost, quantity and price standards can be developed.

I do a lot of custom tell-me-your-budget work, and I make a literal sh*t-ton of prints at lower cost.
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This chapter discusses standard costing

Overhead standards are simply the predetermined factory overhead application rates. To provide the most appropriate costing information, overhead should be assigned to separate cost pools based on the cost drivers, and allocations to products should be made using different activity drivers.

A standard cost is defined as a predetermined calculation of how much costs should ..
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Specifications for materials, including quality and quantity, are compiled on a“. Even companies without formal standard cost systems develop bills of materials for products simply as guides for production activity. When converting quantities on the bill of materials into costs, allowances are often made for normal waste of components. After the standard quantities are developed, prices for each component must be determined. Prices should reflect desired quality, quantity discounts allowed, and freight and receiving costs. Although not always able to control prices, purchasing agents can influence prices. These individuals are aware of alternative suppliers and attempt to choose suppliers providing the most appropriate material in the most reasonable time at the most reasonable cost. The purchasing agent also is most likely to have expertise about the company’s purchasing habits. Incorporating this information in price standards should allow a more thorough analysis by the purchasing agent at a later time as to the causes of any significant differences between actual and standard prices.

Standard Costing Management Accounting Homework …
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and budgeted or standard labour costs is ..

(1) Cost realism analysis is the process of independently reviewing and evaluating specific elements of each offeror’s proposed cost estimate to determine whether the estimated proposed cost elements are realistic for the work to be performed; reflect a clear understanding of the requirements; and are consistent with the unique methods of performance and materials described in the offeror’s technical proposal.

Information System for Accounting-Cost and Budgetary …

(iv) Verification that the offeror’s cost submissions are in accordance with the contract cost principles and procedures in and, when applicable, the requirements and procedures in 48 CFR Chapter 99 ( to the FAR looseleaf edition), Cost Accounting Standards.

Cost Accounting - A Comprehensive Study | Udemy

4) The purpose of the post was to offer an alternative viewpoint to the statement made by Michel that wanting cheap prices..”sends the message that they want their handmade items be crafted under less than minimal salary conditions, while the buyers are certainly not interested working under such conditions.” While I do not dissagree with the statement it may send, I felt that I ought to give an understanding of why someone might want to patronize crafters but might not have the money to pay for high end crafting goods.

Welcome to Cost Accounting - A Comprehensive Study Course

I was very interested in the article not as a seller, but rather as a buyer. As a buyer, it’s very educational to understand better how costs are calculated. Handmade items are, by and far, very fickle in how one decides to price them. And if the tenor of this article holds true (that there are many ways to figure out how you want to price them), it makes it very hard for the buyer to sometimes justify the price that is given to a product without understanding fully the work put into it.

What is Budgetary Control? What are its characteristics?

Although this is not a rule, for the purposes of this unit standard the programme developed should generally require in the region of 50 - 80 hours of learning time.