Production costs, and the costs associated with the sale of products that determine its cost, consist of the cost of products and natural resources that are used in the production process, basic and various auxiliary materials, raw materials, energy resources, labor resources and fixed assets of the enterprise, as well as others costs associated with the operation and various costs at the non-production level.
The costs of production have their own structure and composition, which depend on the conditions of production in the form of ownership, nature, the value of the ratio of labor and material costs and some other additional factors. This indicator is one of the important and qualitative indicators in the commercial activities of the enterprise. The composition of production costs is regulated by the governing documents, of which the “Regulation on the composition of the costs of production and sales of products” can be noted. This Regulation was approved by government decree of 5.08.1992. No. 5521. As written in this Regulation, all production costs are combined in five groups. However, as the law of the Russian Federation “On Amendments and Addenda to Part Two of the Tax Code of the Russian Federation and Some Other Acts of the Legislation of the Russian Federation on Taxes and Fees, as well as on the Recognition of Certain Acts (Provisions of Acts) of the Legislation of the Russian Federation on Taxes and Duties” says dated August 6, 2001 under the number No. 110-F3, after January 1, 2002, all costs are divided into 4 groups. We list them: material costs, expenses related to labor remuneration, accrued depreciation, other expenses.
Consider each of the groups that form the direct costs of production. The first group of material costs, as a rule, include materials and raw materials that are part of the products. Often these are component parts or semi-finished products, containers and spare parts for operation and repair, fuel, energy, various services and production plan works that are performed by other enterprises. The cost of this cost group is determined by the cost of the purchase price, various margins and commissions that are paid to foreign trade organizations, the cost of services provided by commodity exchanges, etc. However, the cost of the so-called returnable waste is deducted from the cost of the resources of this group. This is a category of resources that, due to the partial or complete loss of a consumer type or properties, may be used with additional costs or may not be used at all as material resources.
The cost of production from the group “Costs of labor” has a very diverse composition and structure. We list the main categories of costs from this group: salary payments, bonuses related to bonuses, various compensating payments, expenses for free meals for employees, utility bills, uniforms, housing, vacations (compensation for unused vacation), various payments for released employees associated with the reorganization of an enterprise or staff reductions. This also includes lump-sum payments for long service, pay for training for workers, pay for people who are not in the state, but work at the enterprise on some contractual terms and other payments that are included in the payroll.
The third group which accounts for the direct costs of production represents various social needs and contributions. As a rule, these are mainly contributions and contributions to extra-budgetary funds, to the Pension Fund, social and compulsory medical insurance funds that are paid as part of a single social fund. tax.
The costs of production from the fourth group are made up of various deductions related to depreciation and restoration of production assets. Their amount is determined on the basis of their carrying amount and depreciation rates applicable for the current period.
With regards to the fifth group called “Other costs”, this includes some types of payments and fees. As a rule, they are carried out in extrabudgetary organizations, both sectoral and inter-sectoral.