The Necessity, Feasibility And Condition Analysis Of Activity-Based Costing

"P > < strong > (1) < a href= > //www.sjfzxm.com/news/index_c.asp > activity costing method < /a > the necessity of applying in Chinese enterprises < /strong > < /p >

< p > new requirements for the management of external environment.

Great changes have taken place in the external environment of enterprises implementing the modern enterprise system. These changes require the enterprises to take corresponding countermeasures so as to meet the requirements of the modern enterprise system.

Since the enterprises implementing the modern enterprise system are generally restructured on the basis of the original state-owned enterprises, there are many problems to be improved.

For example, the cost of enterprise products remains high and the economic benefits decrease.

Under such circumstances, the most urgent problem for enterprises to solve is to reduce costs, create maximum economic benefits with minimal consumption, and use relatively accurate cost information to serve management forecasting and decision making.

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< p > the requirements of internal management development for cost management reform.

Because the traditional cost management system has not adapted to the new high-tech environment, it is required to adopt new methods to improve the cost management in order to achieve new breakthroughs.

Because activity cost not only enables enterprises to carry out cost control effectively, but also plays a role in decision making, especially because of the distortion of cost data and the right decisions of enterprises, it is more important that activity-based costing is important.

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< p > activity-based costing combines responsibility accounting with financial accounting.

In activity based costing, operation is essentially a responsibility center, and activity cost is also a kind of responsibility cost.

The responsibility center of operations is closely related to the production process and production organization. The arrangement and arrangement of operations are closely related to the characteristics and technological characteristics of the production organization.

From this perspective, the essence of activity-based costing is to calculate the cost of responsibility, and also to calculate the cost of products.

In this way, the calculation of activity cost not only achieves the purpose of controlling responsibility cost, but also realizes the function of financial accounting supervision and accounting cost.

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< p > < strong > (two) the feasibility of adopting the activity-based costing in China is less than /strong > /p >

< p > the change of modern manufacturing environment.

Under the modern enterprise system, more and more advanced production technologies need to be adopted to pform old machine production equipment, so as to improve labor productivity and reduce costs.

Therefore, the developed electronic industry and the automated production based on a large number of computers instead of manual labor, many enterprises have introduced or created fully automated workshops, making it possible for enterprises to adopt timely production mode and total quality management, and provide a realistic basis for enterprises to further apply ABC.

At the same time, computers are widely used in cost management of enterprises, so that enterprises can use computers to process more detailed cost information, and make more precise production parameters for ABC calculation.

That is to say, changes in the manufacturing environment of modern enterprises have prompted enterprises to take activity-based costing.

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< p > < a href= > //www.sjfzxm.com/news/index_c.asp > accounting personnel < /a > quality improvement.

Through decades of reform and opening up, people have fully understood and understood the market economy. They can accept the idea and method of Activity-Based Costing in ideology and cognition. At the same time, with the development of market economy, competition is becoming more and more intense, and the urgency of cost management is increasingly prominent.

Most enterprises are looking for a cost control method suitable for their own development, and activity-based costing is suitable for their needs. At the same time, with the continuous development of accounting education, the quality of Accountants has been improved by multi-level accounting education, so that accountants can better grasp the activity-based costing accounting, which is conducive to the implementation of operational accounting, that is, improving the quality of Accountants is an important guarantee for the implementation of activity-based costing.

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< p > < strong > (three) the conditions of applying the activity-based costing method < /strong > < /p >

< p > < a href= > //www.sjfzxm.com/news/index_c.asp > Cost Management > /a > consciousness.

Cost management is an important part of enterprise management. The purpose of calculating the activity cost is to improve the quality of cost information, strengthen cost control and improve the cost management effect. That is to say, a strong sense of cost management is the starting point and prerequisite for the use of activity-based costing.

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< p > production management system.

The activity-based costing method requires enterprises to have more advanced management systems, especially the so-called timely production mode.

The rapid development and application of science and technology have created conditions for the implementation of timely production mode and total quality management.

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< p > technical support.

In the past 20 years, various industrialized countries have adopted various measures to improve labour productivity, reduce product cost and improve product quality, especially adopting various technologies such as computer automation, characterized by electronic technology.

It is precisely because of the adoption of these new technologies that promoted management methods, concepts and technological revolution.

The activity-based costing is also produced and developed under such conditions.

Therefore, the support of modern technology is the guarantee of the application of activity-based costing.

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< p > the implementation of activity-based costing will make the enterprises face many difficulties in the initial stage. However, in the traditional cost calculation methods are constantly abused. Now, the implementation of ABC in cost management has become a trend, reflecting the continuous progress of enterprises in the development path, as well as the active acceptance of the advanced system by managers and employees.

Only in this way can China's economic development continue to progress.

Activity-based costing has bright prospects in our Congress.

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