Share of variable costs formula. Catalog: share of variable costs in price formula
Umz – the share of raw materials and materials in the cost of production.
Reducing production costs due to changes in wages:
∆ C salary = (1- I salary / I pt) x U salary
I salary- change index wages;
I Fri– index of changes in labor productivity;
UZP is the share of wages in the cost of production.
Reducing product costs by changing fixed costs:
∆ C pz = (1- I pz / I p) x U pz
I pz- index of changes in fixed costs;
I p– index of changes in production volumes;
UPZ is the share of fixed costs in the cost of production.
Calculations using these formulas allow you to determine the relative change in cost by source (in percent). In order to determine the absolute change from the same sources, it is necessary to multiply the cost value of the base period by the value of the relative change in cost due to one or another source.
37. Essence, functions and types of prices.
Price is the monetary expression of the value of a product.
Subjects of pricing of the Republic of Belarus: legal entities and entrepreneurs. The role of price in the economy is manifested at the macro and micro levels.
Main classification features and types of prices:
1. Depending on the stage of product distribution, the following types of prices are distinguished:
- manufacturer's selling price
- selling price wholesale enterprise ;
- retail price
2. Depending on the affiliation of products and services to a particular industry:
1) selling prices for industrial products - prices at which an enterprise sells its goods to consumers or procurement organizations.
2) prices for construction products (estimated cost, list price
price, negotiated price);
a) estimated cost
b) list price
c) negotiated price,
3) purchase prices for agricultural products
4) tariffs for production and non-production services
3. Depending on the method of establishment (the degree of freedom from government influence in determining prices):
1) regulated prices
2) free prices
a) reference price
b) contract price
c) base price
4. Depending on the market to which the product is supplied, there are
· internal;
· foreign trade (world prices).
5. Depending on the validity period, they distinguish
1) permanent (long-term),
2) temporary,
3) seasonal
4) sliding
5)stepped
6. Depending on the amount of reimbursement by the consumer for transportation costs:
Frank manufacturer (all transportation costs are borne by the buyer)
Francestation port, departure pier - the price includes transportation costs only to the departure station (pier). All other transportation costs for delivery of goods are paid by the buyer in addition to the price.
FrancostationPotr, destination pier – the price includes all transport costs up to the destination station.
Frank consumer
7. Depending on the type of market: - competitive; - monopoly.
8. Depending on the region of action: - regional; - united.
9. According to the degree of novelty of the product :
For new products;
For goods that are sold;
For discontinued products. Prices for such products (for example, spare parts for cars and trucks of a variety of makes and models that have been completed) are higher than for regular ones.
10. By territorial distribution:
Unified republican ones - valid throughout the republic (electricity tariffs, tariffs for freight transportation by rail)
Local - local are formed in certain territories (districts, regions), both under the influence of supply and demand in a particular market, and under the influence of regulation by local authorities.
11. According to the method of taking into account the impact of rising prices:
Current - prices for the current period
Comparable - used both in statistics and in planning over a number of years to assess cost indicators and their dynamics, allowing to exclude the influence of price changes.
Price features:
1. Information function- dissemination of information about the availability of goods or products, production costs, and markets. The information function of price is to convey to all participants information about market conditions for a given product.
2. Distributive function- distribution of resources between industries in accordance with the cost of resources and prices for finished products. The distribution function of price is associated with the deviation of price from value under the influence of market factors.
3. Stimulating- creating interest of enterprises in development innovation activity, improving quality, reducing costs.
4. Balancing- ensuring balance between supply and demand. If demand for a given product exceeds supply, the price rises.
5. Ensuring profitability- not only reimbursement of production costs, but also making a profit.
6. Accounting function, determined by the essence of price as a monetary expression of value. Price serves as a means of calculating cost indicators: gross domestic product, national income, volume of trade turnover, volume of production by enterprises, profitability, labor productivity, capital productivity, etc.
38. Composition of prices by elements.
All types of prices are characterized by a set of individual elements included in these prices. The set of such elements is usually called the price composition. The composition of all types of prices differs from each other. As prices move through the stages of pricing, they are increasingly filled with new elements.
Price composition is measured in absolute terms.
The ratio of individual elements of price to its general level, expressed as a percentage, is called structural price. The price structure reflects the relative weight of each element in the price. Due to different types prices consist of various elements, the structures of these prices differ from each other.
Using Direct Invoice in Cost-Based Pricing
At this method Calculations to justify prices begin with determining costs, to which profit is added, as well as indirect taxes. The sequence for calculating the selling price is as follows.
First, the planned cost per unit of production is formed. It is formed on the basis of the calculation of planned fixed and variable costs, as well as tax payments in accordance with the law.
The next step will be to determine the amount of profit in the price of the product based on the rate of return acceptable to the enterprise. The profit calculation will look like this:
VAT=(SS+p+Ak)*StVAT/100%
Summing up all the elements, we get the price of the product:
C=s/s+p+Ak+VAT
Decision making based on the backward counting technique.
Using the reverse counting method (or reverse costing) makes it possible to effectively conduct business and, even before introducing a product to the market, find out its future feasibility, based on the price dictated by the market. The scheme of all calculations is based on identifying the influence of the state of the market and the tax system on the profit of the enterprise and its revenue from the sale of goods at free market prices.
First of all, taking into account market conditions and product quality, the possible market price of a specific product that is planned for release is determined. This price may be negotiated between the potential seller and buyer or taken from representative information sources. In this case, quality-oriented methods can be used, consumer properties product, demand, level of competition. In some cases, it is enough to study the prices of competitors selling similar products and use the price of the leading company or competitor.
In practice, in the context of the functioning of various commodity markets, specific methods, price calculation formulas, and various market information can be used for this purpose. If the market is sufficiently saturated with goods, you can resort to customer surveys, questionnaires, and testing for orientation in relation to market price.
VAT is calculated from the market price:
VAT=C/(100+St.VAT)*20
Then, if available, the amount of excise tax is calculated
Cost is determined in accordance with the accounting policy of the enterprise.
The profit will be equal to:
P=C-VAT-Ak-ss
If, as a result of all calculations, a positive value is obtained, we can talk about the feasibility of introducing the product to the market. However, absolute profit itself cannot act as a decision-making criterion. It is necessary to calculate the profitability of products. If it turns out to be higher than the enterprise average, then a decision can be made to release the product. If it is lower, it is advisable to analyze your own costs in order to reduce them, or explore the possibilities of other markets, or even abandon the manufacture of these products.
The choice of criterion for making a decision based on the described calculation will depend on the economic situation of the organization. In some cases, especially in conditions of fierce competition, even obtaining a zero result is enough for a positive assessment of the actions, as this will allow the enterprise to survive and maintain its position in the market.
In the current work, the use of the reverse counting method makes it possible to manage profits by forming an assortment of products from the most profitable types.
39. Types of income and expenses of the organization.
Income and expenses depending on their nature, conditions of implementation and
The areas of activity of the organization are divided into:
1. income and expenses from current activities
2.income and expenses investment activities
3.income and expenses from financial activities
4. other income and expenses.
Current activity - main income-generating activities of the organization and other
activities not related to financial and investment activities.
Income from current activities are revenue from the sale of products, goods, works, services, as well as other income from current activities.
Investment activities- activities of the organization for the acquisition and creation, sale and other disposal of fixed assets, intangible assets,
profitable investments in tangible assets, investments in long-term assets, equipment for installation, building materials from the customer, developer (investment assets), implementation (provision) and sale (repayment) of financial investments, if specified activity does not relate to current activities according to the accounting policies of the organization.
Income from investment activities:
· income and expenses associated with the sale and other disposal of investment assets, the sale (redemption) of financial investments of the amount of surplus investment assets identified as a result of the inventory
· income from agreements on joint activities; income and expenses from financial investments in debt securities of other organizations (if the organization is not a professional market participant valuable papers)
· amounts of changes in the value of investment assets as a result of revaluation, impairment, recognized as income (expenses) in accordance with the law
· income related to state support aimed at acquiring investment assets; the value of investment assets received or transferred free of charge
· income and expenses associated with the provision of temporary use (temporary possession and use) of investment real estate; interest receivable; profit (loss) of previous years on investment activities identified in the reporting period
Financial activities- activities of the organization leading to changes in the amount and composition of contributed equity capital, obligations on credits, borrowings and other similar obligations, if these activities do not relate to current activities in accordance with the accounting policies of the organization.
Income and expenses from financial activities:
· interest payable for the organization's use of credits and loans (with the exception of interest on credits and loans, which are included in the value of investment assets in accordance with the law)
· the difference between the actual costs of repurchasing shares and their par value (in case of cancellation of repurchased shares) or the cost at which these shares were sold to third parties (in case of subsequent sale of repurchased shares)
· income and expenses associated with the issue, placement, circulation and
repayment of debt securities of its own issue (if
the organization is not a professional participant in the securities market)
· exchange rate differences arising from the translation of assets and liabilities denominated in foreign currency, with the exception of cases established by law; profit (loss) of previous years on financial activities identified in the reporting period
other income and expenses from financial activities.
other income and expenses, not related to current, investment and financial activities.
Profit is the excess of income from the sale of goods and services over the costs of production and sales of products.
Types of profit:
1. Total total profit – this is the total profit. Received by the enterprise from all types of activities.
2. Net profit – this is the part of the profit remaining at the disposal of the enterprise after payment of all taxes levied on profits
3. Taxable profit – this is a calculated indicator determined for the purpose of paying income tax
40. The essence and types of profit of the organization.
BSC is an indicator of the final financial result of an enterprise. It covers all income and losses from the main activity, as well as other activities. (profit from sales + other profit – loss)
Net profit is the profit remaining after payment of all mandatory taxes, fees and duties. (taxable profit – tax)
Taxable profit is the profit from which the amount of tax payable to the budget is calculated. (SSP - preferential)
Preferential profit is the amount of profit that does not fall into the amount of taxable profit, and from which taxes, fees and duties are not calculated.
Methodology for calculating profit from sales:
Pr = Revenue – S/s – VAT – excise taxes
41. Methodology for calculating the net profit of an organization and the mechanism for its distribution.
Net profit - this is the part of the enterprise’s total profit that remains at its disposal after paying taxes, fees, deductions and other obligatory payments to the budget. Net profit is used to increase the working capital of the enterprise, the formation of funds and reserves, and investments in production.
The volume of net profit depends on the volume of total profit and the amount of taxes; Based on the volume of net profit, dividends to shareholders are calculated enterprises.
Calculation method:
To calculate taxes paid on profits, taxable profit is determined.
1. Taxable profit is calculated:
where is the amount of preferential profit, SSP is the total total profit
2. Profit tax is calculated:
where is the income tax rate (18%).
Distribution mechanism:
For each organizational and legal form of an enterprise, an appropriate mechanism for the distribution of profits remaining at the disposal of the enterprise is legally established, based on the peculiarities of the internal structure and regulation of the activities of enterprises of the corresponding forms of ownership.
In any enterprise, the object of distribution is the net profit of the enterprise. All distribution refers to the direction of profit to the budget and according to items of use in the enterprise. The distribution of profits is regulated by law in that part of it that goes to the budgets of various levels in the form of taxes and other obligatory payments. Determining the directions for spending the profits remaining at the disposal of the enterprise, the structure of the funds being formed, and the process of their use are within the competence of the enterprise itself.
The state does not establish any standards for the distribution of profits, but through the procedure for providing tax benefits, it stimulates the direction of profits for innovation, capital investments of a production and non-production nature, for charitable purposes, financing environmental protection measures, expenses for the maintenance of facilities and institutions non-production sphere and so on. Legislation limits the size of an enterprise's reserve fund and regulates the procedure for forming a reserve for doubtful debts.
The procedure for distributing and using the profit of an enterprise is fixed in its constituent documents and is determined by regulations, which are developed by the relevant divisions of economic and financial services and approved by the governing body of the enterprise.
Net profit is distributed in the following areas:
· for the formation of reserve funds;
· to pay income to founders (participants);
· to create funds for special purposes (accumulation, consumption, social sphere).
42. Profitability as an economic category, its types. Methodology for calculating profitability indicators.
The profitability of an enterprise (business) is an indicator characterizing the profitability of its activities, or, in other words, an indicator of economic efficiency.
Types of profitability
§ Overall profitability assets (current and non-current) – a characteristic showing which cash were attracted by the company to make a profit of 1 ruble. It can be assessed based on the ratio of profit before taxes and average size the value of all company assets for a specific period of time (take, for example, a year). In other words, this is the ability of the company’s assets (more about liabilities and assets here) to create profit. If we are talking about the profitability of the formation of the company’s assets themselves, then in this case we need to calculate it by dividing the company’s profit (again before taxes) by the average cost of attracted assets, again for a specific period of time (for example, a year).
§ Profitability products(product) - the ratio between the profit from the sale of a product and the funds spent on its manufacture (production). The indicator characterizes how profitable the production of a particular product or service is.
§ Profitability production– an economic indicator characterizing the feasibility of a particular type of business. In this case, we are talking about the relationship between production costs and the resulting net profit. As mentioned above, it is cost-effective to produce with positive balance profits and costs. Measures to increase production profitability include reducing product costs and improving production quality
The greater share of fixed costs in the company's cost structure provides a greater impact on profit when sales volume changes.
The measure of the use of fixed costs in a company's cost structure is called operating leverage.
Operating Leverage- the ratio of fixed and replacement costs, which provides higher percentage profit growth than the corresponding percentage of sales growth.
Therefore, operating leverage is greater for companies that have a larger share of fixed expenses and, as a result, a larger marginal income ratio.
A quantitative indicator of operating leverage is its factor, calculated using the formula:
Operating leverage factor =
Until now, we have considered the methodology for analyzing the relationship “cost - volume - profit” using the example of enterprises that produce and sell only one type of product. But in practice, there are many enterprises that produce several types of products (services).
In such cases, the analysis becomes more complex and is based on the combination of sales.
Sales Mix- the ratio of individual types of products to total sales. This ratio can be expressed as a percentage or as a proportion of products (for example, 1:2).
To illustrate the break-even analysis under assortment conditions, consider the following example.
The Faros company produces two types of products: round and flat batteries for flashlights. There is such data on these products for the reporting period
According to the data provided, it is clear that the Faros company has the following sales combination:
60% of the total sales are round batteries, and change (40%) are coin batteries.
To determine the break-even point for each type of product, it is necessary to determine the amount of marginal income per conventional unit.
Weighted Average Contribution Margin - the sum of the marginal income values of different products, weighted by the combination of their sales.
WCM = S CM i SM i
where WCM is the weighted average marginal income;
CM i - marginal income per unit of the i-th product;
SM i - sales combination.
To calculate the weighted average marginal income, we will use the data Calculation of marginal income per unit of production, UAH.
Using the formula, we calculate the weighted average marginal income:
(C 0.6) + (2-0.4) = 1.8 + 0.8 = 2.6 UAH.
It should be noted that there is another way to calculate the weighted average marginal income:
Weighted average marginal income = Total marginal income Total number of products
Substituting the corresponding data into this formula, we get:
(From 60,000) + (2,40,000) : 100,000 = 2.6 UAH.
Knowing the weighted average marginal income and total fixed expenses of the company, we can calculate the break-even point (formula 4.3):
182,000: 2.6 = 70,000 od.
So, to recover all costs, the company must sell 70,000 batteries. But which ones exactly: round or flat?
To answer this question, you need to use a sales combination. Break even:
a) for round batteries 70,000 x 0.6 = 42,000 units;
b) for flat batteries 70,000 x 0.4 = 28,000 units.
Break-even analysis under assortment conditions can also be carried out using the equation.
If we denote the number of flat batteries by X, then taking into account the sales combination (0.6:0.4), the number of round batteries will be 1.5X. Based on this, we create an equation (formula 4.1):
10 (1.5A) + 8JT=7(1.5A) + 6X + 182,000; \5Х+ 8Х= 10.5* + 6Х+ 182,000; 6.5X= 182000; X = 28,000 od.
It should be borne in mind that there are possible other combinations of sales volumes for which the Faros company will break even. To illustrate this, let's assume that the company will only produce coin cell batteries. Then the break-even point will be equal to (one):
182 000 = 60667
If the company produces only coin cell batteries, the break-even point will be (one):
182 000 = 91 000
Based on this, we will construct a graph on which we will display the break-even sales volume of round batteries on the Y axis, and the sales volume of flat batteries on the X axis
Any point on the line shown in the graph is the break-even point of the Faros company.
91,000 Coin batteries
Coin batteries = 91,000 – 1.5 x coin batteries
Suppose that the sales volume of round batteries will be 20,000 units, then, in order to break even, the Faros company has to simultaneously supply 61,000 (91,000 - C0000) flat batteries.
In this case the general marginal income of the company will be equal to its fixed costs, UAH:
(61 000 2) + (20 000 3) = 182 000
The given analysis technique depends on the exact and fixed combination of sales. If the selling combination changes, the results of the analysis also change.
GRAPHIC METHOD
A graphical way to find the equilibrium point is to construct the so-called equilibrium graph(РВ), shown in Fig. 11-1. Sales revenue, variable and fixed costs are plotted on the vertical axis, and production volume is plotted on the horizontal axis. The equilibrium point is the point where the total sales revenue line intersects with the total cost line. This graph also clearly shows profit growth potential across a wide range of operating metrics and can therefore be used as a discussion and demonstration aid. The graph of profit versus production volume (P-O), shown in Fig. 11-2 directly reflects how profit changes with changes in production volume. Profit indicators are plotted vertically, and production volumes are plotted horizontally. P-O schedule is intended for a quick comparative assessment of the impact of various price options, variable and fixed costs on net profit when production volume changes. The P-O graph is easily constructed as a derivative of the RV graph. Please note that the slope of the graph is the specific MP.
Every business strives to maximize profits, but it is impossible to sell an unlimited number of products at the same price. An increase in sales volume leads to market saturation and a fall in effective demand for products. At a certain point in time, in order to sell more goods, you will need to reduce the price, which will lead to a decrease in profits.
In order to determine the maximum possible profit, it is necessary to introduce a demand curve into the graph of the relationship between costs and sales volume. This graph is shown in Figure 2-7.
The optimal selling price point for a product determines the sales volume that allows the company to receive maximum profit.
Production volume in units
The most important indicators expressing the cost of production are the cost of all commercial products, the cost of 1 ruble of commercial products, the cost of a unit of production.
Sources of information for analyzing product costs are: Form 2 “” and Form 5 Appendix to the balance sheet annual report enterprises, costing of commercial products and costing of certain types of products, consumption rates of material, labor and financial resources, cost estimates for production and their actual implementation, as well as other accounting and reporting data.
As part of the cost of production, a distinction is made between variable and semi-fixed expenses (costs). The amount of variable costs changes with changes in the volume of products (works, services). Variables include the material costs of production, as well as the piecework wages of workers. The amount of semi-fixed costs does not change when the volume of production (work, services) changes. Conditionally fixed expenses include depreciation, rental of premises, time-based wages of administrative, managerial and service personnel and other costs.
So, the task of the business plan for the cost of all marketable products has not been completed. The above-plan increase in cost amounted to 58 thousand rubles, or 0.29% of the plan. This was due to comparable marketable products. (Comparable products are not new products that were already produced in the previous period, and therefore their output in the reporting period can be compared with the previous period).
Then it is necessary to establish how the plan for the cost of all marketable products has been fulfilled in the context of individual costing items and determine for which items there are savings and for which there is overexpenditure. Let's present the corresponding data in Table 16.
Table No. 16 (thousand rubles)|
Indicators |
Full cost of actually manufactured products |
Deviation from plan |
||||
|
at the planned cost of the reporting year |
at the actual cost of the reporting year |
in thousand rubles |
||||
|
to the plan for this article |
to the full planned cost |
|||||
|
Raw materials |
||||||
|
Returnable waste (subtracted) |
||||||
|
Purchased products, semi-finished products and services of cooperative enterprises |
||||||
|
Fuel and energy for technological purposes |
||||||
|
Basic wages of main production workers |
||||||
|
Additional wages for key production workers |
||||||
|
Insurance contributions |
||||||
|
Expenses for preparation and development of production of new products |
||||||
|
Expenses for maintenance and operation of equipment |
||||||
|
General production (general shop) expenses |
||||||
|
General (plant) expenses |
||||||
|
Losses from marriage |
||||||
|
Other production costs |
||||||
|
Total production cost of marketable products |
||||||
|
Selling expenses (selling expenses) |
||||||
|
Total total cost of marketable products: (14+15) |
||||||
As we can see, the increase in the actual cost of marketable products compared to the planned one is caused by overexpenditure of raw materials, additional wages of production workers, an increase in other production costs against the plan and the presence of losses from defects. For the remaining items of calculation, savings occur.
We looked at the grouping of product costs by cost items (cost items). This grouping characterizes the purpose of the costs and the place of their occurrence. Another grouping is also used - according to homogeneous economic elements. Here costs are grouped according to economic content, i.e. regardless of their intended purpose and the place where they are used. These elements are the following:
- material costs;
- labor costs;
- insurance contributions;
- depreciation of fixed assets (funds);
- other costs (depreciation of intangible assets, rent, mandatory insurance payments, interest on bank loans, taxes included in the cost of production, deductions to extra-budgetary funds, travel expenses, etc.).
During the analysis, it is necessary to determine the deviations of actual production costs by element from the planned ones, which are contained in the production cost estimate.
So, analysis of product costs in the context of costing items and homogeneous economic elements allows you to determine the amounts of savings and overexpenditures for certain types of costs and facilitates the search for reserves for reducing the cost of products (works, services).
Analysis of costs per 1 ruble of commercial products
- a relative indicator characterizing the share of cost in the wholesale price of products. It is calculated using the following formula:
Costs per 1 ruble of commercial products this is the total cost of commercial products divided by the cost of commercial products at wholesale prices (excluding value added tax).
This figure is expressed in kopecks. It gives an idea of how many pennies are spent, i.e. cost, accounts for every ruble of the wholesale price of products.
Initial data for analysis.
Costs per 1 ruble of marketable products according to plan: 85.92 kopecks.
Costs per 1 ruble of actually produced commercial products:
- a) according to the plan, recalculated for actual output and product range: 85.23 kopecks.
- b) actually in prices in force in the reporting year: 85.53 kopecks.
- c) actually at the prices adopted in the plan: 85.14 kopecks.
Based on these data, we will determine the deviation of actual costs per 1 ruble of marketable products in prices in force in the reporting year from the costs according to the plan. To do this, subtract line 1 from line 2b:
85,53 — 85,92 =— 0.39 kopecks.
So, the actual figure is 0.39 kopecks less than the planned figure. Let us find the influence of individual factors on this deviation.
To determine the impact of a change in the structure of manufactured products, we compare the costs according to the plan, recalculated for the actual output and product range, and the costs according to the plan, i.e. lines 2a and 1:
85.23 - 85.92 = - 0.69 kopecks.
It means that by changing the product structure the analyzed indicator decreased. This is the result of an increase in the share of more profitable types of products that have relatively low level costs per ruble of products.
We will determine the impact of changes in the cost of individual types of products by comparing the actual costs in the prices adopted in the plan with the planned costs recalculated for the actual output and range of products, i.e. lines 2c and 2a:
85.14 - 85.23 = -0.09 kopecks.
So, by reducing the cost of certain types of products the cost indicator for 1 ruble of commercial products decreased by 0.09 kopecks.
To calculate the impact of changes in prices for materials and tariffs, we divide the amount of change in cost due to changes in these prices for actual marketable products in the wholesale prices adopted in the plan. In the example under consideration, due to an increase in prices for materials and tariffs, the cost of commercial products increased by + 79 thousand rubles. Consequently, costs per 1 ruble of commercial products due to this factor increased by:
(23,335 thousand rubles - actual marketable products at wholesale prices adopted in the plan).
The influence of changes in wholesale prices for the products of a given enterprise on the cost indicator for 1 ruble of marketable products will be determined as follows. First, let's determine the overall influence of factors 3 and 4. To do this, let’s compare the actual costs per 1 ruble of marketable products, respectively, in the prices in force in the reporting year and in the prices adopted in the plan, i.e. lines 2b and 2c, we determine the impact of price changes on both materials and products:
85.53 - 85.14 = + 0.39 kopecks.
Of this value, the influence of prices on materials is + 0.33 kopecks. Consequently, the impact of product prices accounts for + 0.39 - (+ 0.33) = + 0.06 kopecks. This means that a decrease in wholesale prices for the products of this enterprise increased the costs of 1 ruble of marketable products by + 0.06 kopecks. The total influence of all factors (balance of factors) is:
0.69 kopecks — 0.09 kopecks + 0.33 kop. + 0.06 kop. = - 0.39 kop.
Thus, the decrease in the cost indicator per 1 ruble of commercial products took place mainly due to changes in the structure of manufactured products, as well as due to a decrease in the cost of certain types of products. At the same time, an increase in prices for materials and tariffs, as well as a decrease in wholesale prices for the products of this enterprise, increased costs per 1 ruble of marketable products.
Material Cost Analysis
The main place in the cost of industrial products is occupied by material costs, i.e. costs of raw materials, supplies, purchased semi-finished products, components, fuel and energy, equal to material costs.
Specific gravity material costs accounts for about three-quarters of production costs. It follows that saving material costs to a decisive extent ensures a reduction in production costs, which means an increase in profits and an increase in profitability.
The most important source of information for analysis is the costing of products, as well as the costing of individual products.
The analysis begins with a comparison of actual material costs with planned ones, adjusted for the actual volume of production.
Material costs at the enterprise increased compared to their stipulated value by 94 thousand rubles. This increased the cost of production by the same amount.
The amount of material costs is influenced by three main factors:
- change in specific consumption of materials per unit of production;
- change in the procurement cost per unit of material;
- replacing one material with another material.
1) A change (reduction) in the specific consumption of materials per unit of production is achieved by reducing the material intensity of products, as well as by reducing waste of materials in the production process.
The material intensity of products, which is the share of material costs in the price of products, is determined at the stage of product design. Directly in the course of the current activities of the enterprise, the reduction in specific consumption of materials depends on the reduction in the amount of waste in the production process.
There are two types of waste: returnable and irrecoverable. Returnable waste materials are subsequently used in production or sold externally. Irrevocable waste is not subject to further use. Returnable waste is excluded from production costs, since it is returned to the warehouse as materials, but the waste is not received at the price of full-fledged waste, i.e. source materials, but at the price of their possible use, which is significantly less.
Consequently, the violation of the specified specific consumption of materials, which caused the presence of excess waste, increased the cost of production by the amount:
57.4 thousand rubles. — 7 thousand rubles. = 50.4 thousand rubles.
The main reasons for changes in specific material consumption are:
- a) changes in materials processing technology;
- b) change in the quality of materials;
- c) replacing missing materials with other materials.
2. Change in the procurement cost of a unit of material. The procurement cost of materials includes the following main elements:
- a) supplier’s wholesale price (purchase price);
- b) transportation and procurement costs. The value of purchase prices for materials does not directly depend on the current activities of the enterprise, but the amount of transportation and procurement costs does, since these expenses are usually borne by the buyer. They are influenced by the following factors: a) changes in the composition of suppliers located at different distances from the buyer; b) changes in the method of delivery of materials;
- c) changes in the degree of mechanization of loading and unloading operations.
Suppliers' wholesale prices for materials increased by 79 thousand rubles against those provided for in the plan. So, the overall increase in the procurement cost of materials due to an increase in supplier wholesale prices for materials and an increase in transportation and procurement costs is 79 + 19 = 98 thousand rubles.
3) replacing one material with another material also leads to a change in the cost of materials for production. This can be caused by both different specific consumption and different procurement costs of the replaced and replacement materials. We will determine the influence of the replacement factor using the balance method, as the difference between the total amount of deviation of actual material costs from the planned ones and the influence of already known factors, i.e. specific consumption and procurement cost:
94 - 50.4 - 98 = - 54.4 thousand rubles.
So, the replacement of materials led to savings in material costs for production in the amount of 54.4 thousand rubles. Substitutions of materials can be of two types: 1) forced replacements, unprofitable for the enterprise.
After considering the total amount of material costs, the analysis should be detailed for individual types of materials and for individual products made from them in order to specifically identify ways to save various types materials.
Let us determine by the method of differences the influence of individual factors on the cost of material (steel) for product A:
Table No. 18 (thousand rubles)The influence on the amount of material costs of individual factors is: 1) change in specific material consumption:
1.5 * 5.0 = 7.5 rub.
2) change in the procurement cost of a unit of material:
0.2 * 11.5 = + 2.3 rub.
The total influence of two factors (balance of factors) is: +7.5 + 2.3 = + 9.8 rub.
So, the excess of the actual costs of this type of material over the planned ones is caused mainly by the above-planned specific consumption, as well as by an increase in procurement costs. Both should be regarded negatively.
The analysis of material costs should be completed by calculating reserves for reducing production costs. At the analyzed enterprise, reserves for reducing production costs in terms of material costs are:
- eliminating the causes of excesses returnable waste materials in the production process: 50.4 thousand rubles.
- reduction of transportation and procurement costs to the planned level: 19 thousand rubles.
- implementation of organizational and technical measures aimed at saving raw materials (there is no reserve amount, since the planned measures have been fully implemented).
Total reserves for reducing production costs in terms of material costs: 69.4 thousand rubles.
Payroll Cost Analysis
During the analysis, it is necessary to assess the degree of validity of the forms and systems of remuneration used at the enterprise, check compliance with the regime of economy in spending funds on labor costs, study the ratio of the growth rate of labor productivity and average wages, and also identify reserves for further reducing production costs by eliminating the causes unproductive payments.
Sources of information for analysis are product cost calculations, data statistical form labor report f. No. 1-t, application data to the balance f. No. 5, materials accounting about accrued wages, etc.
At the analyzed enterprise, planned and actual data on the wage fund can be seen from the following table:
Table No. 18
(thousand roubles.)
This table separates out the wages of workers who receive mainly piecework wages, the amount of which depends on changes in the volume of production, and the wages of other categories of personnel, which does not depend on the volume of production. Therefore, the wages of workers are variable, and the wages of other categories of personnel are constant.
In the analysis, we first determine the absolute and relative deviation in the wage fund of industrial production personnel. The absolute deviation is equal to the difference between the actual and basic (planned) wage funds:
6282.4 - 6790.0 = + 192.4 thousand rubles.
The relative deviation is the difference between the actual wage fund and the base (planned) fund, recalculated (adjusted) by the percentage change in production volume, taking into account a special conversion factor. This coefficient characterizes the share of variable (piece-rate) wages, depending on changes in the volume of production, in the total amount of the wage fund. At the analyzed enterprise this coefficient is 0.6. The actual volume of production is 102.4% of the base (planned) output. Based on this, the relative deviation in the wage fund of industrial and production personnel is:
So, the absolute overexpenditure on the wage fund of industrial and production personnel is equal to 192.4 thousand rubles, and taking into account the change in production volume, the relative overexpenditure amounted to 94.6 thousand rubles.
Then you should analyze the wage fund of workers, the value of which is mainly variable. The absolute deviation here is:
5560.0 - 5447.5 = + 112.5 thousand rubles.
Let us determine by the method of absolute differences the influence on this deviation of two factors:
- change in the number of workers; (quantitative, extensive factor);
- change in the average annual wage of one worker (qualitative, intensive factor);
Initial data:
Table No. 19
(thousand roubles.)
The influence of individual factors on the deviation of the actual wage fund of workers from the planned one is:
Change in the number of workers:
51* 1610.3 = 82125.3 rub.
Change in average annual salary per worker:
8.8 * 3434 = + 30219.2 rub.
The total influence of two factors (balance of factors) is:
82125.3 rub. + 30219.2 rub. = + 112344.5 rub. = + 112.3 thousand rubles.
Consequently, the overexpenditure on the workers' wage fund was formed mainly due to an increase in the number of workers. The increase in the average annual wage of one worker also influenced the formation of this overexpenditure, but to a lesser extent.
The relative deviation in the wage fund of workers is calculated without taking into account the conversion factor, since for the sake of simplicity it is assumed that all workers receive piecework wages, the size of which depends on changes in the volume of production. Consequently, this relative deviation is equal to the difference between the actual wage fund of workers and the basic (planned) fund, recalculated (adjusted) by the percentage change in production volume:
So, according to the workers’ wage fund, there is an absolute overexpenditure in the amount of + 112.5 thousand rubles, and taking into account the change in production volume, there is a relative saving in the amount of 18.2 thousand rubles.
- additional payments to piece workers due to changes in working conditions;
- additional payments for working overtime;
- payment for all-day downtime and hours of intra-shift downtime.
At the analyzed enterprise there are unproductive payments of the second type in the amount of 12.5 thousand rubles. and the third type for 2.7 thousand rubles.
So, the reserves for reducing production costs in terms of labor costs are eliminating the causes of unproductive payments in the amount of: 12.5 + 2.7 = 15.2 thousand rubles.
Next, the wage fund of other categories of personnel is analyzed, i.e. managers, specialists and other employees. This salary is a semi-fixed expense that does not depend on the degree of change in production volume, since these employees receive certain salaries. Therefore, only the absolute deviation is determined here. Exceeding the basic value of the wage fund is recognized as an unjustified overexpenditure, the elimination of the causes of which is a reserve for reducing the cost of production. At the analyzed enterprise, the reserve for reducing costs is the amount of 99.4 thousand rubles, which can be mobilized by eliminating the causes of overexpenditures in the wage funds of managers, specialists and other employees.
A necessary condition for reducing production costs in terms of wage costs is for the growth rate of labor productivity to outpace the growth rate of average wages. At the analyzed enterprise, labor productivity, i.e. The average annual output per worker increased compared to the plan by 1.2%, and the average annual wage per worker increased by 1.6%. Therefore, the advance coefficient is:
The faster growth of wages compared to labor productivity (this is the case in the example under consideration) leads to an increase in production costs. The impact on the cost of production of the relationship between the growth of labor productivity and average wages can be determined by the following formula:
Y wages - Y produces labor multiplied by Y, divided by Y produces. labor.
where, Y is the share of wage costs in the total cost of marketable products.
The increase in production costs due to the faster growth of average wages compared to labor productivity amounts to:
101,6 — 101,2 * 0,33 = + 0,013 %
or (+0.013) * 19888 = +2.6 thousand rubles.
At the end of the analysis of wage costs, reserves for reducing production costs in terms of labor costs identified as a result of the analysis should be calculated:
- 1) Elimination of reasons causing unproductive payments: 15.2 thousand rubles.
- 2) Elimination of the causes of unjustified overexpenditure in the wage funds of managers, specialists and other employees 99.4 thousand rubles.
- 3) Implementation of organizational and technical measures to reduce labor costs, and therefore wages for production: -
Total reserves for reducing production costs in terms of wage costs: 114.6 thousand rubles.
Analysis of production maintenance and management costs
These expenses mainly include the following items of product cost calculation:
- a) costs of maintaining and operating equipment;
- b) general production expenses;
- c) general business expenses;
Each of these items consists of different cost elements. The main purpose of the analysis is to find reserves (opportunities) for reducing costs for each item.
Sources of information for the analysis are the calculation of product costs, as well as analytical accounting registers - statement No. 12, which records the costs of maintaining and operating equipment and general production expenses, and statement No. 15, where general business expenses are recorded.
The costs of maintaining and operating equipment are variable, i.e., they directly depend on changes in the volume of production. Therefore, the basic (as a rule, planned) amounts of these expenses should first be recalculated (adjusted) by the percentage of fulfillment of the production plan (102.4%). However, these expenses include conditionally constant items that do not depend on changes in production volume: “Depreciation of equipment and intra-shop transport”, “Depreciation of intangible assets”. These items are not subject to recalculation.
The actual expense amounts are then compared with the recalculated base amounts and variances are determined.
Expenses for maintenance and operation of equipment
Table No. 21
(thousand roubles.)
|
Composition of expenses: |
Adjusted plan |
Actually |
Deviation from the adjusted plan |
||
|
Depreciation of equipment and intra-shop transport: |
|||||
|
Operation of equipment (energy and fuel consumption, lubricants, salary of equipment adjusters with deductions): |
(1050 x 102.4) / 100 = 1075.2 |
||||
|
Repair of equipment and intra-shop transport: |
(500 x 102.4) / 100 = 512 |
||||
|
In-plant movement of goods: |
300 x 102.4 / 100 = 307.2 |
||||
|
Wear of tools and production equipment: |
120 x 102.4 / 100 = 122.9 |
||||
|
Other expenses: |
744 x 102.4 / 100 = 761.9 |
||||
|
Total costs for maintenance and operation of equipment: |
In general, there is an overexpenditure for this type of expense compared to the adjusted plan in the amount of 12.8 thousand rubles. However, if we do not take into account savings on individual expense items, then the amount of unjustified overexpenditure on depreciation, operation of equipment and its repair will be 60 + 4.8 + 17 = 81.8 thousand rubles. Eliminating the causes of this unlawful overspending is a reserve for reducing production costs.
General production and general business expenses are semi-fixed, i.e. they do not directly depend on changes in the volume of production.
General production expenses
Table No. 22
(thousand roubles.)
|
Indicators |
Estimate (plan) |
Actually |
Deviation (3-2) |
|
|
Labor costs (with accruals) for shop management personnel and other shop personnel |
||||
|
Amortization of intangible assets |
||||
|
Depreciation of buildings, structures and workshop equipment |
||||
|
Repair of buildings, structures and workshop equipment |
||||
|
Expenses for testing, experiments and research |
||||
|
Occupational Health and Safety |
||||
|
Other expenses (including wear and tear of inventory) |
||||
|
Non-productive expenses: a) losses from downtime due to internal reasons b) shortages and loss of damage to material assets |
||||
|
Excess material assets (subtracted) |
||||
|
Total overhead costs |
In general, for this type of expense there is a saving of 1 thousand rubles. At the same time, for certain items there is an excess of the estimate in the amount of 1+1+15+3+26=46 thousand rubles.
Eliminating the causes of this unjustified cost overrun will reduce production costs. Particularly negative is the presence of non-productive expenses (shortages, losses from spoilage and downtime).
Then we will analyze general business expenses.
General running costs
Table No. 23
(thousand roubles.)
|
Indicators |
Estimate (plan) |
Actually |
Deviations (4 - 3) |
|
|
Labor costs (with accruals) for administrative and management personnel of the plant management: |
||||
|
The same for other general business personnel: |
||||
|
Amortization of intangible assets: |
||||
|
Depreciation of buildings, structures and equipment for general purposes: |
||||
|
Conducting tests, experiments, research and maintaining general economic laboratories: |
||||
|
Occupational Safety and Health: |
||||
|
Personnel training: |
||||
|
Organized recruitment of workers: |
||||
|
Other general expenses: |
||||
|
Taxes and fees: |
||||
|
Non-productive expenses: a) losses from downtime due to external reasons: b) shortages and losses from damage to material assets: c) other non-productive expenses: |
||||
|
Excluded income from surplus material assets: |
||||
|
Total general expenses: |
In general, there is an overexpenditure in the amount of 47 thousand rubles for general business expenses. However, the amount of unbalanced overexpenditure (that is, without taking into account savings available on individual items) is 15+24+3+8+7+12=69 thousand rubles. Eliminating the causes of this overexpenditure will reduce production costs.
Savings on certain items of general production and general business expenses may be unjustified. This includes items such as costs for labor protection, testing, experiments, research, and personnel training. If there are savings on these items, you should check what caused them. There may be two reasons: 1) the corresponding costs are incurred more economically. In this case, the savings are justified. 2) Most often, savings are the result of the fact that the planned measures for labor protection, experiments and research, etc., have not been carried out. Such savings are unjustified.
At the analyzed enterprise, as part of general business expenses, there is unjustified savings under the item “Training” in the amount of 13 thousand rubles. It is caused by incomplete implementation of planned personnel training activities.
So, as a result of the analysis, unjustified overexpenditures were identified in terms of costs for the maintenance and operation of equipment (81.8 thousand rubles), in general production expenses (46 thousand rubles) and in general business expenses (69 thousand rubles).
The total amount of unjustified cost overruns for these cost items is: 81.8+46+69=196.8 thousand rubles.
However, as a reserve for reducing costs in terms of production maintenance and management costs, it is advisable to accept only 50% of this unjustified cost overrun, i.e.
196.8 * 50% = 98.4 thousand rubles.
Here, only 50% of unjustified overexpenditure is conditionally accepted as a reserve in order to eliminate re-accounting of costs (materials, wages). When analyzing material costs and wages, reserves for reducing these costs have already been identified. But both material costs and wages are included in the costs of production maintenance and management.
At the end of the analysis, we will summarize the identified reserves for reducing production costs:
in terms of material costs, the reserve amount is 69.4 thousand rubles. by eliminating excess returnable waste of materials and reducing transportation and procurement costs to the planned level;
in terms of wage costs - the amount of the reserve is 114.6 thousand rubles. by eliminating the reasons causing unproductive payments and the reasons for unjustified overspending on the wage funds of managers, specialists and other employees;
in terms of production maintenance and management costs - the amount of the reserve is 98.4 thousand rubles. by eliminating the causes of unjustified cost overruns in the costs of maintaining and operating equipment, general production and general business expenses.
So, the cost of production can decrease by 69.4 +114.6+98.4=282.4 thousand rubles. The profit of the analyzed enterprise will increase by the same amount.
The largest share in all expenses of enterprises of production associations is occupied by the costs of production. They consist of the monetary expression of costs associated with the use of fixed assets, raw materials, materials, fuel, energy, labor, etc.
In addition to the costs of producing products, enterprises incur costs for their sale, i.e. carry out non-production expenses, which also have their own characteristics. These include:
– the cost of containers and packaging of products in finished product warehouses;
– costs of transporting products;
– commission fees and deductions to sales organizations;
– other sales expenses.
All types of production costs are grouped by the following elements:
– raw materials and basic materials (including costs associated with the use of natural resources);
– auxiliary materials, fuel, energy;
– basic and additional wages;
– social insurance contributions;
– depreciation of fixed assets;
- other expenses.
Other expenses include: travel allowances, lifting fees, rent, stipends for employees of the enterprise, rewards for innovation proposals, payment for third-party transport, communication services, fees to third parties for fire, paramilitary and security guards, costs of organized recruitment of workers, costs of warranty service and warranty repairs, etc.
Under the influence of scientific and technological progress and the growth of labor productivity, there is a constant process of changing the cost structure at material production enterprises: the share of materialized labor increases and the share of living labor costs decreases, which is also distinctive feature material production enterprises.
Based on the nature of the production cost structure, all industries can be divided into the following groups:
– material-intensive (food, light, chemical, mechanical engineering, ferrous metallurgy);
– labor-intensive (coal, peat, forestry);
– fuel-intensive (electricity production);
– industries with a high share of depreciation (gas, oil).
The totality of production costs shows how much it costs an enterprise to produce manufactured products, i.e. production cost of production.
Production costs and non-production costs constitute the total cost of production.
Thus, in practice, cost is understood as the monetary expression of the current costs of a material production enterprise for the production and sale of products. As an economic category, cost represents an isolated part of the cost of production, consisting of the costs of materialized labor and wages. Cost reflects the majority of the cost of production and, as an indicator of the enterprise’s self-supporting activities, quickly responds to the efficiency of use of production resources, increasing capital productivity, saving raw materials, materials, fuel and energy, and increasing labor productivity. She is in close relationship with others important indicator efficiency - profitability, influencing its value.
Material costs of material production enterprises also have their own characteristics. Material costs include: raw materials and supplies (including costs associated with the use of natural resources), purchased components and semi-finished products, production work and services, wear and tear of tools, fixtures and low-value equipment, fuel and energy. Costs associated with the use of natural resources include deductions for geological exploration, water fees and other expenses. Material costs do not take into account depreciation.
The amount of costs for products sold does not coincide with the amount of costs for production of products, which is also a distinctive feature of material production enterprises, due to the balances not products sold at the beginning and end of the planned year and non-production expenses, which are fully attributed to sold products.
The amount of planned costs for products sold (Zr) can be determined using the following formula:
Zr = 31 + T - 32 + C
where 31 is the balance of unsold products at the beginning of the planned year at actual (expected) production cost;
T - marketable products of the planned year at the planned production cost;
32 - estimated balances of unsold products at the end of the planned year at planned production costs;
C - non-production expenses according to the plan for the year.
In practice financial planning The amount of unsold product balances is usually determined as follows:
– at the beginning of the year, balances are accepted in the amount of actual (expected) availability for balance sheet items: finished products in warehouse; goods shipped for which payment was not due; goods shipped but not paid for on time by buyers; goods in custody of buyers due to refusal of acceptance;
– at the end of the year, balances are determined based on the planned stock levels of finished products in the warehouse and normally developed stocks of goods shipped, the payment period for which has not yet arrived. In seasonal industries, planned excess inventories of finished products at the end of the year, covered by short-term bank loans, are also taken into account.
Goods not paid for on time by customers and goods in safekeeping are not planned for the end of the year, since their availability is associated with a disruption in the normal process of economic and financial activity of enterprises.
The sale of products by a material production enterprise also has a number of features. The sold products of a material production enterprise are considered to be finished products shipped to the consumer or exported by him from the warehouse of the manufacturing enterprise, for which the funds were fully credited to the settlement account of the material production enterprise.
In addition, the volume of product sales takes into account the cost of industrial work. These include: the cost of non-standard equipment manufactured for the needs of in-house production; the cost of tools, special equipment of its production, included in fixed assets.
The sales volume does not include the cost of products paid for but not shipped to the buyer in the reporting period or left in safe custody at the manufacturer. The cost of products sold is determined in the wholesale prices of the enterprise.
The use of the volume of products sold as an assessment indicator of economic activity presupposes its close linkage with physical indicators.
The main indicator of the financial activity of a material production enterprise is the volume of supplies of goods at retail prices based on concluded agreements with trading organizations.
4. The share of material costs in the cost of production
where is the total cost of manufactured products (works, services) of the enterprise, million rubles/year.
It reflects not only the level of use of material inputs, but also the structure of production - whether its production is material-intensive or not.
5. Material input utilization rate 
,
where is the actual amount of material costs for the production and sale of products (works, services) of the enterprise, million rubles/year;
– the planned amount of material costs, recalculated to the actual output of products (works, services) of the enterprise, million rubles/year.
It shows how economically material resources are used in the production process: whether they are overused or not.
Particular indicators of the efficiency of using material resources and the algorithm for their calculation are given in Table. 2.
Table 2 Particular indicators of the efficiency of use of material resources
| Indicators | Algorithm | Notation in algorithms |
| 1. Raw material intensity of products, rub. | Cost of consumed raw materials and supplies, million rubles/year |
|
| 2. Metal consumption of products, rub. | Cost of consumed metal, million rubles/year |
|
| 3. Fuel intensity of products, rub. | Cost of fuel consumed, million rubles/year |
|
| 4. Energy intensity of products, rub. | Cost of consumed energy, million rubles/year |
|
| 5. Semi-finished product capacity, rub. | Cost of consumed semi-finished products and components, million rubles/year |
|
| 6. Specific (private) material consumption of the product (cost), rub./piece. |
| Cost of all materials consumed for the i-th product, thousand rubles; Wholesale price of the i-th product, thousand rubles/piece. |
| 7. Specific material consumption (natural or conditionally natural), kg |
| The amount of material resources spent on the i item, kg/piece; Quantity i-th products, PC. |
3. Analysis of material consumption of products
During the analysis process they study:
1. implementation of the plan and dynamics of indicators of the use of material resources: determine the percentage of plan implementation, absolute and relative deviation from the plan, basic and chain growth rates and increments;
2. reasons for deviations;
3. factors causing changes in the total material consumption (material productivity) of products, and their impact on the identified deviation;
4. In-production reserves for saving material resources and developing measures for their implementation.
multiple: ME = MZ / TP;
multiplicative: 
;
additive:
where is the ratio of all material costs and direct material costs;
Material consumption of products based on direct material costs, rubles;
Material consumption of products for other materials, rub.
Method 1
Let's consider a multiplicative factor model.
It shows that the indicator of the total material intensity of products is influenced by the following first-order factors:
1. Change in the ratio of all material costs and direct material costs;
2. Change in the material intensity of products based on direct material costs.
The influence of first-order factors can be calculated using various methods: chain substitutions, absolute and relative differences, logarithms and integration, etc. We use the method of absolute differences (Table 8.3).
Factors of the second and subsequent orders include factors that influence changes in the material intensity of products in terms of direct material costs.
The material intensity of products based on direct material costs can be calculated using the formulas:
(option 1);
(option 2),
Where - number of i's products, pcs./year;
Specific straight lines j's costs material resources for the production of the i-th product, thousand rubles/kg;
Consumption level (consumption rate) j's material resources for the i-th product, kg/piece;
Wholesale price of the i-th product, thousand rubles/piece;
Selling price per unit flow j-x material resources consumed by the i-th product, thousand rubles/kg;
Specific weight i's products in the total cost of their production, in shares,
where is the volume of the i-th and all products produced by the enterprise, respectively, million rubles/year;
Specific material consumption of the i-th product based on direct material resources, rubles/piece.
From the above formulas it is clear what factors influence the change in the material intensity of products in terms of direct material costs.
The influence of these factors on changes in the material intensity of products based on direct material costs can be calculated using the method of chain substitutions (Tables 3 and 4).
Table 3
Algorithm for calculating the influence of factors
changes in the total material consumption of products
Option 1
| Factor | Calculation algorithm | Notation in algorithms | |
| 1 | 2 | 3 | |
| FIRST ORDER FACTORS
| |||
| 2. Material consumption of products by direct material costs, total |
| actual ratio of total and direct material costs;
Actual material consumption of products based on direct material costs, rubles; Actual volume of production in current prices, million rubles/year | |
| Total |
| ||
| Changes in the material intensity of products in terms of direct material costs due to changes in 2.1. Volume of production (does not affect) | SECOND AND THIRD ORDER FACTORS
| coefficient of plan fulfillment in terms of the volume of products produced by the enterprise, calculated according to the planned structure; change in the volume of products actually produced by the enterprise due to changes in its structure, million rubles/year | |
| 2.2. Structures of manufactured products |
| change in the material intensity of products in terms of direct material costs due to changes in the structure of manufactured products, rubles; Actual number of i-th products, pcs./year; Specific straight lines j-e material costs for the i-th product according to the plan, thousand rubles/piece; Planned wholesale price of the i-th product, | |
| consuming jth material resources, thousand rubles/pcs. | |||
| 2.3. Specific j-th direct material costs for the i-th product, total |
|
actual volume of products produced at comparable prices, million rubles/year | |
| 2.3.1. Consumption level (consumption rate) |
| change in the material intensity of products in terms of direct material costs due to a change in the level of consumption of the j-th material resources for the i-th product, rub.; Actual level of consumption of the j-th material resources for the i-th product, kg/piece; | |
| Planned wholesale price per unit of consumption of j-th material resources for the i-th product, thousand rubles/kg | |||
| 2.3.2. Wholesale price per unit of consumption |
| Change in the material intensity of products in terms of direct material costs due to a change in the wholesale price per unit of consumption of j- x material resources by i-e products, R. |
|
| 2.4. Selling price for i-th unit products |
| ||
| Total |
| ||
planned and actual amount of direct material costs for the production of the enterprise's products, thousand rubles/year;
change in the material intensity of products in terms of direct material costs due to changes 
;
Table 4
Algorithm for calculating the influence of factors on change
total material consumption of products
Option 2
| Factors | Calculation algorithm | Notation in algorithms |
| 1 | 2 | 3 |
| Change in the total material consumption of products due to changes 1. Ratio of total and direct material costs | FIRST ORDER FACTORS
| Material consumption of products according to direct material costs according to plan, p.; |
| 2. Material consumption of products based on direct material costs |
|
|
| Total |
| |
| 2.1. Structures of manufactured products | SECOND AND SUBSEQUENT ORDER FACTORS
| |
| 2.2. Specific material consumption of i-x products, calculated using direct j-th material costs, total |
| Change in the material intensity of products based on direct material costs due to changes in the material intensity of I-x products, calculated based on direct j-th material costs, rubles; |
| 2.2.1. Specific direct j-th material costs for the i-th product, total |
| |
| 2.2.1.1. Consumption level (consumption rate) of the j-th material costs for the i-th product, total |
| |
| 2.2.1.2. Wholesale price per unit of consumption of the j-th material resources for the i-th product, total |
| |
| 2.2.2. Selling price per unit i-th products |
| |
| Total |
- planned and actual share of i-th products in the total cost of their production, in shares;
- planned and actual specific material consumption of i-th products according to direct material costs, rubles/piece.
Method 2
In accordance with this methodology, the general indicator of material intensity of products is indicated by the influence of changes in particular indicators of material intensity: raw material intensity of products (), semi-finished product intensity (), fuel intensity of products (), energy intensity of products () and material intensity of products for other material costs ().
With the additive type of factor models, the influence of factor indicators of the first level on the effective indicator is determined by direct calculation by comparing the corresponding actual indicators with their basic value (with the plan, the fact of the previous year).
Each of the first-order factors is influenced by the same second- and third-order factors as the general indicator of product material intensity, considered in Method 1 (options 1 or 2).
Second-order factors according to option 1 include changes:
1. structure of manufactured products;
2. the level of corresponding material costs for individual products, characteristic of a given particular indicator of the material intensity of products (raw materials, or semi-finished products, or fuel, or energy and other material costs);
3. wholesale prices per unit of consumption of relevant material resources;
4. selling prices for products.
The methodology for analyzing the influence of second- and third-order factors (specific material intensity) on changes in the corresponding partial indicators of product material intensity is similar to that considered in option 1 or 2 with the only difference that here, when analyzing second-order factors, the following are taken into account:
not all direct material costs, but their specific types, depending on the impact of which particular indicator is assessed on the change in the general effective indicator of material intensity;
changes in prices not for all material resources, but for specific types of them.
Let's consider the methodology for analyzing second-order factors for a general indicator of material intensity of products using the example of semi-finished product capacity.
The overall change in the effective indicator of material intensity of products due to its semi-finished product capacity:
where is the planned and actual semi-finished product capacity, r.
,
where , - planned and actual number of i-th products, pcs./year;
- planned and actual specific semi-finished product capacity of i-th products, thousand rubles/piece;
- planned and actual quantity of j-th semi-finished products spent on i-x production products, pcs.;
- planned and actual selling price of the j-th semi-finished product and component used for the production of the i-th product, thousand rubles/piece;
Planned and actual selling price of the i-th product, thousand rubles/piece;
The influence of second-order factors on the change in semi-finished product capacity, and, consequently, in the material intensity of products, is calculated using the chain substitution method.
Method 3
In accordance with this methodology, the analysis of product material intensity is carried out using a multiple factor model:
Where 
the sum of direct (variable) and fixed material costs, thousand rubles/year.
As a result, the material intensity of products depends on the same factors as the material intensity of products for direct material costs according to method 1 (options 1 or 2), and the amount of fixed material costs. The influence of these factors on changes in the total material intensity of products is determined by the method of chain substitutions.
Then the change in the total material intensity of products (according to option 1 of method 1) due to changes:
1. Structures of manufactured products
2. Specific direct j-th material costs for the i-th product, total
2.1. Consumption level (consumption rate) of the j-th material resources for the i-th product, total
2.2.Wholesale price per unit of consumption of the j-th material resources for the i-th product, total
3. Amounts of fixed material costs
4.Wholesale price for the i-th product
LITERATURE
1. Gruzinov V.P., Gribov V.D. Enterprise Economics: Textbook. manual – M.: Finance and Statistics, 2005. – 208 p.
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