Material Flow Cost Accounting Application In The Enterprise

In 2016,the appearance of the new concept: supply-side reform exerts a sweeping influence in the field of economics.Economists have put forward their views on this new concept.Macroscopically speaking,supply-side reform focuses on the macro guidance of state based on the current economic situation on the market and various industries.While in terms of enterprises,supply-side reform focuses on improving resource utilization and avoiding waste.With the improvement of people's living standards,people have to pay higher environmental price.The worsening of fog and haze issue suppose great threat to people's health,thus social problem like environmental protection once again enters into public view.As a responsible enterprise,the problem of how to balance the relationship between economic development and environmental protection,how to effectively reveal environmental costs,reduce resources waste and how to improve resource utilization while ensuring economic development have become a top priority.In the process of history evolution,environmental accounting consistently updates accounting model for the only purpose of common development of environment and economy ?In this case,German Institute for Environmental management puts forward material flow cost accounting.By comparing past management accounting model and accounting model of material flow cost accounting,the present thesis will make a preliminary analysis.The innovation of material flow cost accounting lies in its first efforts in the division of physical quantities center in the process of enterprise product manufacturing,then metering and analyzing from physical and monetary aspects,finally obtaining the number and sum of positive products in the process of manufacturing which directly enter into the next phase and the amount and sum of follow-up products which no longer involved in production.Its advanced ideas include the following aspects: First,material flow cost accounting makes clear of the major products and by-products in costing results,reflecting more clearly the value of resource depletion statistically;Secondly,it distinguishes substance center,reflecting the waste of resources in every process of production through a more intuitive data,which helps enterprises to find ways to doingsomeing to improve the resource efficiency;Thirdly,in addition to direct costs,the cost of manpower and depreciation of equipment during each production process are also distributed corresponding between the positive and negative products.Compared to the traditional cost accounting model,material flow cost accounting cost divides more details,which helps enterprises to lower cost.In recent years,our country has been fully aware of changing the measurement mode of traditional accounting cost.Consequently,some companies are beginning to introduce material flow cost accounting,but so far there still exists many problems due to the primary stage of material flow cost accounting in China and the imperfection of relevant laws and regulations as well as the lack of policy-making and research support.This paper intends to introduce material flow cost accounting through the case of refining procedures of crude benzene of certain chemical enterprise in Anhui province.The paper aims to make a in-depth analysis of crude benzene refining production processes,construct material flow cost accounting flow chart,obtain material flow cost matrix analysis analyze the results of applying the costing accounting model and give some suggestions on how to apply and promote material flow cost accounting in China.