II. Foreign approach to determining costs

The size of which increases or decreases in accordance with the change in the volume of output. These include: the cost of raw materials and materials, the basic wages of production workers, technological and energy, motor electricity, etc. "

Official terminology. Akademik.ru. 2012 .

See what "Conditionally variable costs" are in other dictionaries:

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Indirect costs, as mentioned above, are divided into two groups: conditionally variable and conditionally fixed. The former increase in direct proportion to the growth of output, the latter do not change in direct proportion to the volume of output.

Conditionally - variables Costs are those whose total value is directly dependent on the volume of production. These include:

• 1. the cost of raw materials, materials, purchased semi-finished products and components (there are none in the energy sector);
• 2. fuel and energy for technological purposes;
• 3. wage costs for production workers;
• 4. the cost of maintenance and operation of machinery and equipment, with the exception of depreciation.

Conditionally fixed costs are those whose value does not change with a change in the volume of production. These include:

• 1. overhead costs, except for the cost of maintaining machinery and equipment, but including depreciation;
• 2. general business costs;
• 3. other costs (partially).

Conditionally permanent costs (UCI) have an abrupt change trend. The reasons for this change may be different:

• - a sharp increase in rent;
• - expansion of production, requiring the introduction of new equipment (depreciation growth), expansion of space (rent growth), increase in operating costs;
• - revaluation of fixed assets;
• - sale of a part of fixed assets;
• - reconstruction of buildings and structures, etc.

Conditionally - fixed costs can be divided into two groups: residual (those that the enterprise continues to conduct, despite the fact that production and sales of products have been completely stopped), and starting ones (which arise with the resumption of production).

There are the following types of conditionally variable costs:

• 1. proportional, which change in the same proportion as the volume of production and sales of products.
• 2. depression, which change in a relatively smaller proportion than production and sales.
• 3. progressive (in greater proportion).

Under the total and gross costs refers to the sum of fixed and variable costs. Average cost - the cost per unit of output.

Marginal cost is understood as the average value of costs (increase or decrease) arising from changes in the volume of production and sales of products. Those. Marginal cost is the incremental cost associated with producing one more unit of output.

It is more profitable for an organization to have the smallest possible amount of fixed costs per unit of output (works, services), which is achieved with the maximum possible volume of production (sales) with the available number of machinery and equipment, production areas, human (labor) resources. In the event of a decrease in the volume of production (sales), the amount of conditionally variable costs (for the organization as a whole) is reduced in proportion to such a decrease, but the amount of conditionally fixed costs is not. As a result, there is an increase in the share of cost in the selling price of products, which means a decrease in the share of profit (respectively, the income of the organization) in this price.

Taking into account the above, the total cost (Z) of the organization for the manufacture of all types of products manufactured by it can be expressed by the formula:

Z \u003d A + (B1 x X1 + B2 x X2 + B3 x X3 + ... + Bn x Xn),

where A - total amount fixed costs for the organization as a whole;

1, 2, 3, ..., n - types of products;

B1, B2, B3, ..., Bn - the sum of variable costs in the cost of each type of product;

X1, X2, X3, ..., Xn - the amount of each type of product.

Clarifying the question of whether each type of cost belongs to conditionally variable or conditionally fixed is also necessary for the correct calculation (formation of the selling price) per unit of output (work, services).

First, the specific gas consumption for own needs and gas losses are determined, as well as conditionally variable costs for each calculated section of the layout diagram.

Specific conditionally variable operating costs (costs for purchased electricity, fuel gas, losses, reagents and materials) for the merging site are determined by the following formula

The division of costs into conditionally variable and conditionally fixed costs has great importance for planning the cost of pipeline transport, since it allows you to set the size of its reduction with an increase in the volume of transportation and storage of oil, oil products and gas. The change in the cost of a unit of transport work due to an increase in the volume of transportation and storage of oil, oil products and gas is calculated by the formula

Depending on the change in the volume of production, costs are divided into conditionally variable and conditionally fixed. Conditional variables include costs, the total absolute size of which for the entire output changes in direct proportion to the change in the volume of production, but remains unchanged with respect to a unit of output, or changes slightly with a change in the volume of production, but not in direct proportion, i.e., the growth of these costs lag behind the growth in output or ahead of it. These are the costs of raw materials, materials, fuel, energy for technological purposes, the wages of the main production workers - piece workers.

In the context of a decrease in well flow rate and total production volume, when a certain stage of field development is reached, the volume of sales of products decreases, and, consequently, the level of profitability. However, the decrease in profitability is not proportional to the decrease in production volume, since this also reduces some conditionally variable costs - energy costs, costs for in-field pumping of oil, demulsification, etc. Deductions for geological exploration and exploration work and rental (fixed) payments are reduced, which are set for 1 ton of oil produced (rent payments for petroleum gas are not made).

Since variable costs depend on the volume of production, the difference between price and variable costs is subject to maximization. Semi-fixed costs (depreciation deductions, current repair costs, wages with accruals, general workshop and general factory expenses) are not included in the model and are subtracted from the objective function obtained on a computer. If the duration of the operation of the installation for each option is taken as unknown, then the variable costs for one day of its operation are calculated.

Production costs, depending on their role in the production process, are divided into basic and overhead methods of attribution to cost - to direct and indirect composition - to elemental and complex effects of production growth - to conditionally variable and conditionally constant.

Conditional variables are called costs that change in proportion to the growth of production volume. These are the costs of raw materials, basic and auxiliary materials, semi-finished products, fuel, energy.

Conditionally variable in most cases include the cost of raw materials, basic materials, the cost of transporting raw materials and the removal of finished products from workshops, the wages of pieceworkers, etc. conditionally fixed - for depreciation, equipment maintenance, lighting, administrative wages -management personnel (without bonuses), heating, security, etc.

There are conditionally variable and conditionally fixed costs. Conditional variables (proportional) include costs, the absolute value of which varies depending on the volume of production. This includes the cost of raw materials and materials, purchased products and semi-finished products, the basic wages of production workers, etc. At the same time, their value per unit of output does not change if the consumption rates of materials and labor standards do not change.

According to the dependence of costs on changes in the volume of production, they are divided into conditionally constant and conditionally variable.

Variable (proportional) costs are those that are in direct (proportional) dependence on the volume of output. Fixed costs are costs that are independent of changes in the volume of production. However, one should not understand the division of costs into variable and fixed in the literal sense of the word. All or almost all costs depend on the volume of production, but the degree of this dependence varies. Therefore, it would be more correct to call them conditionally variable and conditionally constant. Conditionally variable costs include the costs of raw materials, materials, wages of production workers (fuel, electricity, steam, water for energy and technological purposes, etc. Conditionally fixed costs - the cost of depreciation of fixed production assets, energy for heating and lighting , administrative and management expenses, etc.

The conditionally variable part of the cost of the annual production quantity includes the costs of basic and auxiliary materials for technological purposes wages (with deductions) of the main and auxiliary workers (if they are assigned to jobs) depreciation of universal equipment repair and modernization of universal equipment operation of universal devices, devices and other tooling maintenance of the premises occupied by the universal equipment defective products. .

When the use of a new method or means requires the use of large conditionally fixed reduced costs (C p. NB > SP.NB, rubles / year) and at the same time provides savings in specific conditional variables reduced costs (i.e. s "P. n A

For analysis, it is very important to divide costs into conditionally variable and conditionally fixed costs.

Conditionally variable costs change in proportion to the change in the volume of production. In drilling, these include the consumption of energy, materials, etc., in oil production - the transport and storage of oil, energy consumption (during artificial lift), and so on.

Depending on the volume of production, expense items are divided into conditionally constant and conditionally variable. The latter include all costs that increase in line with the increase in production volume. These are the costs of raw materials, reagents, catalysts, and energy. The remaining costs do not depend on the volume of production and are characterized by relative stability. These are depreciation and current repairs of equipment, wages with accruals, shop and general factory expenses, etc.

Conditional variables are such costs that change in absolute value with changes in sales and production volume, but do not change per unit of product sales.

Conditionally variable costs, including 91676.02 83883.56 76753.46 7022941 64259.91 58797.82 53800.01 49227.01 45042.71 41214.08 634884

Conditionally variable costs for oil production and reconstruction, including 92711.11 86092.69 78774.81 72078.95 85952.24 60346.3 55216.87 50523.43 46228.64 42299.48 650224.8345

Conditionally variable costs for the extraction of 1 ton of oil, rub. 181.00

Conditionally variable costs are related to a unit of output or work performed and change with a change in the volume of production - costs for demulsification, in-field pumping and storage of oil, for collecting and transporting gas in oil and gas production casing, chemicals, cement, energy - in drilling.

The costs included in the cost of production are also divided into conditionally variable and conditionally fixed. Conditionally variable costs are related to a unit of output or work performed and change with a change in the volume of production - the cost of demulsification, infield pumping and storage of oil

According to the dependence of the amount of costs on changes in the volume of production, costs are divided into fixed and variable.

The meaning of the subdivision of costs into variable and fixed is their different response to changes in the volume of production.

Variables (proportional) are called costs, the amount of which changes with a change in the volume of production. When the volume of production changes, such costs per unit of output remain unchanged. These are the costs of purchasing raw materials, materials, electricity consumption for technology, transportation costs, trade and commission costs, railway tariffs, etc.

Fixed costs are those costs that do not change or change little with changes in the volume of production. Fixed costs per unit of output decrease (increase) with an increase (decrease) in the volume of production.

Such costs include depreciation deductions under the straight-line method of their accrual, rent, salaries of managerial employees, expenses for stationery, as well as expenses for heating and lighting of industrial and non-industrial premises.

In addition to these two cost groups, there is a group of costs that have both variable and fixed components. These costs are called "mixed". For example, fuel costs. If the fuel is used in the production process, then these are variable costs, i.e. the more products produced, the large quantity fuel will be needed. If this is the fuel consumption for heating the building and other similar needs, then its volume does not depend on the volume of output, and this part will relate to fixed costs. When the volume of production changes, the costs for such items are calculated using the following formula:

C 1 \u003d C 0 × K POST × B 0 / B 1 + C 0 × (1 - K POST), (1.1)

where С 0 , С 1– the base and modified value of the costs for i- that article of the calculation, respectively, rub./unit;

K POST– specific gravity fixed costs in the cost item, unit share;

B 0 , B 1– basic and modified volumes of output, respectively, units.

The division of costs into fixed and variable plays important role in planning, accounting and analysis of production costs. Fixed costs, remaining relatively unchanged in absolute value, with the growth of production become an important factor reducing the cost of production, tk. their value at the same time decreases per unit of production. Variable costs increase depending on the growth of production, but calculated per unit of output, represent a constant value. Savings on these costs can be achieved through the implementation of organizational and technical measures that ensure their reduction per unit of output. In addition, this grouping of costs can be used in the analysis and forecasting of break-even production, when calculating the stock financial strength enterprises and, ultimately, when choosing the economic policy of the organization.

A critical volume of production is such a volume of production at which the proceeds from the sale of products are exactly enough to cover both variable and fixed costs, while profit is equal to zero. At a critical volume of production, the organization reaches the break-even point (self-sufficiency point, zero point). The critical production volume is determined by the formula:

In kr \u003d Z post / (C unit - Z ud.per.), (1.2)

where In kr– critical volume of production, nat. units;

Z post- fixed costs for the entire volume of production, rub.;

C unit- price of a unit of production, rub./unit;

3 beats- variable costs per unit of production, rub./unit.

The critical production volume can be determined graphically.

An example of plotting a graph for finding the critical volume of production:

The annual output of products was 4000 pieces.

The price of one product is 0.5 million rubles / piece.

The amount of fixed costs of the organization is 400 million rubles per year.

Variable costs amounted to 0.275 million rubles/piece, which is equal to 1,100 million rubles in terms of the entire volume of production.

The construction of the graph is carried out in the following order:

1) A straight line is constructed corresponding to fixed costs. It is drawn parallel to the x-axis through a point on the y-axis corresponding to the sum of fixed costs.

2) A straight line of total costs is built using point A. Point A corresponds to the actual quantity of products (4000 pieces) and the total cost of its production (400 + 1100 = 1500 million rubles).

3) A straight line is constructed corresponding to the sales proceeds. This straight line passes through two points: zero and point B, which corresponds to the actual production volume (4000 units) and the actual sales proceeds (0.5 × 4000 = 2000 million rubles).

4) The break-even point corresponds to the volume of production equal to 1778 units and the proceeds from the sale in the amount of 889 million rubles. It is with this volume of sales that the revenue exactly covers the total costs and the profit is zero.

At the same time, the lower left triangle shows the company's loss zone, the upper right triangle shows the profit zone.

Rice. 1.1. Graph of the critical output volume

In order to determine what profit the organization will receive with the planned production volume, what should be the variable, total costs and what should be the proceeds from the sale of products, it is enough to draw a perpendicular from the point on the x-axis corresponding to the planned production volume and project the intersection this perpendicular with the lines of sales revenue and total costs on the y-axis.

The margin of financial safety is the difference between the actual sales revenue achieved and its threshold amount.

If the sales proceeds fall below the threshold amount, then the financial condition of the organization worsens, because. it has a shortage of liquidity.

The greater the share of fixed costs in the total costs of the organization, the stronger the production lever, and vice versa.

This once again proves that it is impossible to increase fixed costs uncontrollably, because with a decrease in sales proceeds, the loss of profit can be many times greater.

At the same time, if the organization is confident in the long-term increase in demand for its products (works, services), then it can afford to abandon the austerity regime on fixed costs, because the organization with a larger share of these costs will receive a greater increase in profits.

However, it should be noted that with a decrease in revenue from the sale of products, the amount of fixed costs in practice is very difficult to reduce.

If variable costs are, as a rule, the costs of production technology and they are of an objective nature, then fixed costs are, as a rule, overhead costs, and often their reduction is difficult for subjective reasons.

In essence, this means that a high proportion of fixed costs indicates a weakening of the organization's flexibility. In the event of a change in the market situation, it is difficult for an organization with a high share of fixed costs to leave its market niche and move to another area of ​​activity. The greater the value of fixed assets, the more the organization "bogs" in its market niche.

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Fixed Costs: Accountant Details

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• Actual strategic and tactical tasks of the management team of the enterprise

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• What do you know about general factory expenses?

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• Features of pricing in a crisis

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