Opening and Completing Job Progress
If the current workbook is open or completed; calculating the unit cost requires additional calculations. Obviously, the progress of partially completed manufacturing work will have a lower unit cost than the total production. As a result, when opening and closing inventories in unfinished production, unit costs can not be calculated by simply allocating total costs to the number of units in progress. For example, if 8,000 units were launched over a completed period and an additional 2000 units were partially completed, these two items can not be added to get the unit cost. Work in progress is to be transformed into equivalent, which is also called equivalent production, so unit cost is available.
Elements with Different Completion Costs
The possible occurrences of the occurrence of the occurrences of the equivalent units are that all elements of the work in the workspace that make up the entire cost can reach the same value as the completion rate. For example, the materials will be added at the beginning of the process and are thus fully complete where workflow and production overhead costs can be added to the process. Materials can be 100% complete, while labor and general costs can only be partially complete. In the case where the situation is created by means of a production calculation equivalent to separate costs for each cost element.
Previous Process Cost
During the production process, the outputs of one process will become the input of the next process. The next process will do more conversion work and add it by labeling the previous cost-transfer cost format. and treat this item as a separate cost item. Keep in mind that this cost element is always complete, as the finishing touches are worried.
Opening Work Progress
When opening a workflow, it is assumed that this opening file was allocated to the current accounting period to determine the unit cost of the period. Two alternative assumptions are possible.
We can first assume that the completion of the opening job has fused inadequately with units introduced in the current period, and the weighted averaging method can not be separately identified.
Secondly, it is to be assumed that the ongoing opening job is the first group of units to be processed and completed in the first release method in the current month.
Source by sbobet