Development of Methodological Foundations for Stating the Cost of Agricultural Products

Abstract

The key task of managing the production of a modern economic entity is to minimize the labor product cost. Its value, in turn, is determined by choosing the method of cost accounting and calculating the labor product cost, depending on characteristics of the production process. The current methodological approach to planning production costs and the use of calculated indicators does not meet agricultural conditions and requires significant adjustments. The proposed reorientation of the general methodological approach to planning and cost accounting and determining the cost of agricultural production involves fundamental changes in determining reporting periods of production. The article substantiates the need to revise the timing of the implementation of budget, provisory and actual costing in agricultural organizations. An example of the preparation and adjustment of the cost budget of production costs is presented, which may be used to prepare the relevant budget documentation. The implementation of the proposed approach helps to improve the accuracy of accounting information about the planned and actual cost and will also make optimization and efficiency of control functions and management decisions possible.