Costing and Control of Factory Homework Help
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What is Cost Control in Factory?
In a factory there are numerous departments starting from material procurement section to material handling section to quality section. Expenses on these establishments go on throughout the year for maintenance and updates. These costs can be optimized by the management to recover maximum revenue through the inevitable expenses. In this article for Costing and control of factory homework Help we discuss such expenses and their minimizing techniques.
How are Costs Controlled for Factory Expenses?
There are certain costs like process costing, material cost, labor cost etc. that adds up to the factory expenses. The departments at which such costs belong analyze them by appropriate journal entries. In this article for Costing and control of factory homework Help it is said that the details in process costing are less than the job order costing details.
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Factory Overhead Cost Control
These expenses occur usually in both job order as well as process costing. This cost, as per our Costing and control of factory homework Help writers say, is analyzed in order to determine the pre requisite overhead rates. But, in certain cases the production apartment overhead rates are used if
• `production is eventually unstable
• Fixed overhead becomes a significant cost factor
Many ups and downs in the production system can lead to the fluctuation of overhead expenses. If the predetermined rates are used finely then the cost control can be highly improved. Facilitation of cost analysis also is an option we provide in Costing and control of factory homework Help article.
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