Costs are very important in the accounting process, since costs are the measure to calculate the money used for buying materials and the money that is payed for labor in the transformation and the cost allows setting prices for sale.
Also the costs allow making the best decision. Costs are divided in direct and indirect depending of what is going to be produced and how it will be distributed.
Other financial statements are very interesting, because for example the profit and loss accounts allow us to analyze the effects of costs in the utilities generated from the operations of companies
Monica Andrea Moreno Torres
Maria Consuelo Poveda Suarez
The cost is the economic value that represents the manufacture of any component or product, or providing any service.
ResponderEliminarDistribution Cost
it includes the cost of sale, advertising, transportation, collection, financing and overheads. It has the characteristic of being a direct deduction of income
Direct Cost
Those that can be specifically identified in the unit.
Indirect Costs
Can not be identified in the unit.
Fixed Costs, Variable and Semi-variable
Fixed Cost: It means stay with the same amount for the normal capacity of the factory.
Variables: Change more or less directly in line with the change in production volume.
Semivariable: They change depending on fluctuations in the volume, but gradually and not directly.
Monica Andrea Moreno Torres
Maria Consuelo Poveda Suarez
In my opinion to determine the costs of manufacture of a product or service is important because it help us know what you need to invest in these, dependent on the amounts that I will make in order to offer a quality product at low cost
ResponderEliminarThank you so much for you valuable information girls.....
ResponderEliminarThe other financial statements are very important because a company needs to have enough information on hand to take its decisions. While an income statement can tell you whether a company made a profit, a cash flow statement can tell you whether the company generated cash.
ResponderEliminarA cash flow statement is very interest becuase shows the net increase or decrease in cash for the period. Generally, cash flow statements are divided into three main parts. Each part reviews the cash flow from one of three types of activities: operating, investing, and financing
Monica Moreno
The participation the costs in the other financial statements is very important, result to interest analize this, is very good watch the cash flow statement, that permit the effects the cost in the movement the cash
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