Research On The Application Of Activity-based Costing Management In A Engineering Machinery Section

In recent years,China’s railway construction has developed rapidly,"five vertical and three horizontal" trunk lines have been formed.On this basis,the National Development and Reform Commission,the Ministry of Transport,and the China Railway Corporation jointly drawn a blueprint for the current "eight vertical and eight horizontal" high-speed rail network.With the gradual increase in the number of railway lines,the maintenance work of railway lines has also evolved from manual maintenance to the maintenance stage,which is dominated by large road maintenance machinery and equipment.The technical standards and construction requirements for railway maintenance have also become increasingly higher,and the financial work of the engineering machinery section has shown new characteristics.China implemented the document of "Rules for the Cost Management of Railway Transport Enterprises" since 2006,it mentioned that the method of cost calculation can be adopted.Activity-based costing puts higher requirements on the knowledge of managent accounting and quality of work in the engineering machinery section.At present,some engineering machinery sections still adopts the traditional cost method for cost accounting.The traditional cost method can not accurately allocate indirect costs and can not adapt to the current rapid development of itself.Therefore,cost management is particularly important for railway engineering machinery section.Only by truly and accurately accounting for the cost of maintenance can we effectively control and evaluate its expenditure costs.This article designs an activity-based costing management system for A Engineering Machinery Section as a typical cost center and applies system in practice.This article is divided into six parts.The first part is the introduction.First,it introduces the research background and significance of this article.Second,it describes the domestic and foreign research status of activity-based costing management by reading literature.It also puts forward the main research ideas of this article and research framework,finally discusses the research methods used in writing this thesis.The second part is the basic concept and theoretical basis of this thesis.Firstly,the concept of activity cost management is discussed,and the theoretical basis of this article is explained on this basis.The third part of the case study firstly introduces the general situation of A Engineering Machinery Section,then explores the current status of cost budgeting,cost control and accounting,cost analysis and assessment.Then it analyzes the existing problems in each link and analyzes the cause of these problems.In order to solve these problems,this paper analyzes the necessity and feasibility of operating cost management in A Engineering Machinery Section,and then countermeasures were proposed to build a complete cost management system.Based on this,the key content of Chapter 5 is the application and implementation of activity-based costing management to all aspects of budget management,control,accounting,analysis,and evaluation.The last module summarizes the conclusion and outlook of this paper.In the end,this idea was integrated into the cost management work of this engineering machinery section,which solved the problems in the cost management of A Engineering Machinery Section discussed in Chapter 3,and strengthened the cost management work of A Engineering Machinery Section.The following conclusions are drawn from the research in this article.Firstly,the introduction of new methods requires the combine of ideology and behavior of all employees.Secondly,the budget and operations are combined to make budget more detailed and budget responsibilities clearer.Thirdly,the implementation of activity-based costing method increases dynamic cost control links in the construction process,which facilitates the supervision in the construction process.Lastly,the cost assessment system has been improved and the cost assessment has been strengthened.All in all,the application of activity-based costing management in the engineering machinery section is an attempt,which is ecpected to give some reference to other companies.