Operational costs can be transferred from the general ledger. Through the general ledger, you can link cost centers and cost objects to any dimensions and supplement that information with subtotals and titles. You can link cost centers to departments and cost objects to projects in your company. These are the "finished goods" of a company that carry the costs. In cost accounting, additional cost centers are created for additional allocation levels.Ĭost objects are products, product groups, or services a company offers. In the general ledger, usually only the first level cost centers for direct costs and the initial costs are used. Often, there are more cost centers set up in cost accounting than in any dimension that is set up in the general ledger.
You can create your own chart of cost types or do so by transferring the general ledger income statement accounts.Ĭost centers are departments and profit centers responsible for costs and income. You define cost types, cost centers, and cost objects to analyze what the costs are, where the costs come from, and who should bear the costs.įirst, you define a chart of cost types with a structure and functionality that resembles the general ledger chart of accounts. The following diagram shows the workflow in cost accounting.Ĭost types, cost centers, and cost objects
Cost types, cost centers, and cost objects.Workflow in cost accountingĬost accounting has the following main components: In cost accounting, you allocate actual and budgeted costs of operations, departments, products, and projects to analyze the profitability of your company. The types of costs you incur running a business.Cost accounting information is designed to analyze: Cost accounting can help you understand the costs of running a business.
0 kommentar(er)
