The legislation defines the costs that can be associated with the release of various types of products, the provision of a number of services and the implementation of several types of work. These are indirect costs. They include the cost of a particular type of product, work or service in the manner specified in the accounting policies of the organization. These costs are pre-accumulated in separate accounting accounts and debited after the reporting period. There are two groups of indirect costs - overhead and general. In accounting, accounts 25 and 26 correspond to them.
General business expenses are expenses incurred by an enterprise to perform the functions of servicing and managing its divisions, which relate to both main and auxiliary production. In accounting, these amounts are accumulated on account 26, which allows you to monitor and maintain current accounting for compliance with estimates of these costs. General expenses include:
- expenses for remuneration of the administration and management personnel;
- deductions directed to the social security fund of the population;
- travel expenses and travel expenses for necessary business matters;
- costs of postal and telegraphic transfers;
- expenses for stationery;
- printing services;
- deductions for the restoration of fixed assets related to the general economic group;
- costs incurred for the implementation of measures for labor protection and safety;
- the cost of vacation pay, which is laid to young professionals before starting work;
- expenses incurred while reducing the number of employees of the organization;
- payment of information as well as consulting services;
- costs of audits;
- unproductive costs;
- taxes and mandatory fees.
General business expenses include the following items of expenses :
- material;
- remuneration for labor;
- deductions for social needs;
- deductions (depreciation) for the restoration of fixed assets;
- services provided by auxiliary industries;
- tax payments, as well as fees;
- expenses of other nature;
- unproductive costs.
Each type of cost from the above nomenclature can be divided into subgroups. These include general business expenses associated with the repair and maintenance of buildings and structures, as well as equipment, which are not directly involved in the production of goods, the provision of services and the performance of work. Separately, the costs incurred by the enterprise for the maintenance of the management apparatus and maintenance personnel and so on can be allocated. The nomenclature of articles that are included in general business expenses for this particular organization is established in standard industry instructions. These regulatory documents reflect the methodology of planning, calculation and accounting of the cost of production and are approved by the relevant ministries and departments.
General business expenses in analytical accounting are divided into groups contained in the nomenclature. Synthetic data are accounted for by an accountant on account 26, which does not provide for sub-accounts. The costs incurred by the organization for general expenses are reflected in the debit. Corresponding with this account can 02 and 10, 69 and 70, 71 and 76 and others. Specific amounts and postings take into account the amount and type of expenses incurred. Write-off is made on the loan in the full amount of costs incurred. There is no account balance at the beginning of the next reporting period.