According to the Accounting Period Another

The to be included in cost accounting namely labor costs production overhead costs cost of raw materials etc. Managing bookkeeping in a manufacturing business requires more effort to record all expenses and income. Moreover if the bookkeeping process is done manually it will take even more time. Characteristics of Cost Accounting Used Continuously The role of cost accounting is very important to set the price of a product so that it is not less than the production costs incurred.

It is assumed that these accounting records will always be used by the company B2B Email List for commercial activities in order to gain sustainable profits. In other words the use of accounting data does not just run for one period but continues as long as the company operates. If the costs of carrying out these activities increase over time then renewal changes also occur in the cost accounting cycle.  characteristic of this accounting is that it is applied by accountants or finance departments according to the accounting period namely months or year. This one year projection is in accordance with the function of cost accounting itself so that errors that are feared will not occur in determining the cost budget. Objective nature Furthermore cost accounting is objective.



What does it mean So all transaction records in this accounting are based on original documents. Because every written transaction is always accompanied by evidence in the form of receipts notes bills and other similar evidence without any elements of engineering. According to Money Units In accounting all transactions carried out must be expressed in monetary terms. Indonesia itself has the Rupiah currency which means that all information on income or expenditure must be written using the nominal Rupiah. Have an Appropriate Comparison between Expenses and Income In general this cost accounting concept emphasizes the relationship between differences in costs and expenses and the income obtained in the same.