Activity Based Costing In J Chemical Co., Ltd.

With economic globalization and competition pattern of a wide range of speed, more than ever, enterprises are facing fierce competition. Especially in China's accession to the World Trade Organization, domestic enterprises have to go abroad, and foreign large enterprises and groups with the competitive market. In this context, enterprises must improve their operations and functioning of mechanisms to control the formation of product cost, so the production cost control has become an internal excavation potential to increase the performance of the main event.As an important aspect of production management, production cost control can be sustained reductions in production costs, increase profitability, and ultimately achieving the goal of enhancing the competitiveness of enterprises. Foreign control of production costs on the theoretical study and practical application have a relatively complete and profound, while China's late start because of theoretical research, but also lagging behind, which caused the application in practice there are still a lot of imperfections, so we have to learn the modern concepts of production, advanced cost management methods and modern management mode, and the introduction of the production cost of its control area, from which constantly sum up the practical experience of advanced and ultimately to enhance cost control of modern production theory and applied research.The problems of Chinese enterprise production cost control include:concepts backward, management theory and method of restriction, etc. Aiming at these problems, and as a starting point, this paper will combine the practice of enterprise production cost control, especially the J chemical Co., LTD, puts forward the actual situation of China's chemical enterprise based on the activity-based costing method of cost accounting pattern. This paper expounds the concept of activity-based costing, principles, procedures and compared with the traditional cost accounting method, the characteristic with J chemical Co., LTD. For example, analyzing the present situation of chemical enterprise cost accounting and existing problems, and expounds the application of chemical enterprise the activity-based costing method of necessity and feasibility. On this basis, this paper discusses how to implement in chemical enterprise operation cost accounting, how to utilize the activity-based costing method provides accurate cost data production decision-making. In addition, this paper also puts forward the implementation of activity-based costing safeguard measures.To sum up, this article discusses the theoretical study and practice. In reference to the theoretical study, this paper concludes the research both abroad and at home. In practice, putting forward mainly manages action of cost control in J chemical Co., LTD, and the corresponding solutions, and taking the corresponding security measures to ensure that the realization of the enterprise production cost control.