Discussion On The Design Of Activity-Based Costing For YC Metallurgical Materials Factory

Under the background of China's reform and opening up policy for 40 years and continue to implementing it unswervingly,most of China's manufacturing enterprises are still using the traditional cost calculation method,and most of them produce a variety of products and may be sold to different markets.The steel manufacturing industry showed a good development trend around 2009.In the following two years,the market expanded rapidly,and the market supply quickly exceeded the market demand,resulting in the situation that the supply far exceeded the demand.As the upstream enterprise of iron and steel manufacturing industry,metallurgical material industry plays a very important role in China's heavy industry.Until today,many metallurgical companies established by speculation no longer exist.How to maintain the market share,improve the profit rate and expand the reproduction capacity of the surviving YC metallurgical plant has put forward higher requirements for the accuracy and reliability of the cost accounting of YC metallurgical plant,as well as the authenticity and effectiveness of the cost information provided.In March 2018,the United States started a trade war,which directly attacked the steel industry and affected the upstream metallurgical materials industry.In the increasingly fierce competition in the industry and under the situation of production technology constantly updated,the traditional cost accounting method with artificial hours or machine hours accounting the product cost is not able to fully accurate reflection of the product cost,combined with the traditional cost method for inaccuracies inherent limitations,such as indirect cost allocation to cost information distortion under the traditional cost accounting methods,to provide enterprises with the cost of real and effective information,so as to influence business decisions.In this key moment of the coexisting problems we face at home and abroad,ABC may provide some help: ABC to work as a cost allocation standard,according to the product cost of production and operation cost of the consumption of resources to the collection,comprehensive measure more accurate product costs,will be in the form of a job related to product cost,the traditional cost method,activity-based costing method can more accurately the comprehensive measure the product cost,provide enterprises with more cost information of reference value.This paper used survey method,literature research and the method of combining with domestic and foreign related research literature about ABC as the theoretical basis,in asking to understand the basic situation and the main products of YC material smelting factory production process,on the basis of combination of established research purposes,the YC material smelting factory introduced various analysised the background of homework cost method,based on the analysis of the necessity and feasibility of the introduction of homework cost method,the actual situation and check the homework cost method of widespread application case experience,combining to YC smelting cost accounting problems existing in present situation of the material factory,Finally,according to the previous application experience of activity-based costing,combined with the different conditions of YC smelting plant,to provide some applicable guarantee mechanism for YC smelting plant.This paper consists of six parts.The first part mainly introduces the research background and significance of the topic.This paper expounds the development dilemma of metallurgical material industry from two aspects of industry and market,and then introduces the new cost management method of activity-based costing,and analyzes the necessity of this method from theoretical significance and practical significance respectively.This paper also reviews the theoretical and applied research of activity-based costing,and puts forward the research ideas and main research methods.The second part introduces the theory of activity-based costing.This paper introduces the relevant concepts,basic principles,characteristics and theoretical basis of activity-based costing,and provides theoretical support for the following articles.The third part,the introduction of activity-based costing for YC smelter background analysis.From understanding the basic situation of YC smelting plant,organizational structure and main product production process technology,analysis of the current situation of its cost accounting,analysis of the existing shortcomings to lead to the necessity of activity-based costing,then analysis of its feasibility,to prove that YC smelting plant meet the basic conditions of the introduction of activity-based costing;In the fourth part,the preparation,implementation procedure and expected results of activity-based labor cost are introduced in detail.The purpose of activity-based costing(ABC)is defined through the formulation of program design objectives.Through the formulation of the design principles of the scheme,the formulation of the matters needing attention;Prepared to previous work,then there is the concrete plan implementation program,by dividing operation,job motivation,collects the operation cost,and assign homework cost a set of processes,the YC smelting to redistribute the indirect costs of material factory,and compares the traditional cost accounting method of the product cost and analysis;The fifth part,offered proposal from the organizational structure,system development,update technology,human resources and responsibility,to ensure the introduction of YC smelter activity-based costing and the smooth implementation of the reference.The last chapter summarizes the previous research and points out the limitations of the paper.