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Production Costs Management by Means of Indirect Cost Allocated Model

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Author Info

  • Berislav Bolfek

    ()
    (Polytechnic Slavonski Brod, Croatia)

  • Jasna Vujcic

    ()
    (High school ''Matija Antun Reljkovic'', Slavonski Brod, Croatia)

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    Abstract

    Management costs in a business system requires planning, budgeting, monitoring and comparing of all kinds of expenses. When calculating a production through the production order system there always seems to appear the same dilemma; which key or keys should be chosen for allocating indirect costs. As a result, in addition to the well-known classical methods for allocating indirect costs, a new method is developed in the form of a Model for allocating indirect costs. By applying the above-mentioned model, the classical methods are omitted from the process of allocation indirect costs, which contributes to an easier and faster planning, monitoring, comparing, and reducing costs.

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    Bibliographic Info

    Article provided by Faculty of Economics in Osijek, Croatia in its journal Interdisciplinary Management Research.

    Volume (Year): 5 (2009)
    Issue (Month): ()
    Pages: 215-223

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    Handle: RePEc:osi:journl:v:5:y:2009:p:215-223

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    Related research

    Keywords: direct costs; indirect costs; allocation of costs;

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