Research On The Integration Of Activity-based Costing And Standard Costing In HG-TONER Company

Pursuing cost advantage has been seen by most manufacturing enterprises as one effective measure in enhancing the capability of development due to the intensifying competition among enterprises,therefore,an accurate cost data and controllable cost management and control system now becomes the inevitable choice for cost management.As is known to us,following the fast development of modern technology and management philosophy,automation,intelligentization and informatization has become the main mode for enterprise management,meanwhile,high-end,personalized,small-batch customized market orientation is gradually taking shape.Based on this,labor cost is decreasing through the adoption of new management mode in cost control,while indirect cost is rapidly growing simultaneously.Under such context,cost management and control should timely adapt to the changing production structure and market environment.Activity-based costing(ABC)and standard costing,as two mature cost management methods,neither could meet managers’ higher requirements on cost information due to respective limitations;therefore,these two methods,if integrated to realize complementary advantages and create new activity-based standard costing,which essentially represents that the idea of activity-based costing is introduced to perfect standard costing,may guarantee the advantage of standard costing in handling direct cost,and better the application of the activity-based costing to realize more accurate control and distribution of indirect cost.The thesis takes toner powder of HG-TONER as its research subject and analyzes the characteristics and requirements of HG-TONER’s cost management in detail.Based on the analysis of making improvement in the accuracy and integration of HG-TONER’s cost accounting,this thesis hereby proposes introducing the idea of activity-based costing into the mode of cost management,discusses the necessity and feasibility of such integration and points out the related advantages and difficulties.Also it sets up a new activity-based standard costing and elucidates in detail the specific implementation plan including the formulation of standard cost,distribution of manufacturing cost,measure implementation and analysis of differences.Seeing from the result of implementation,the new cost management method reflects its own rationality by accurately reflecting cost structure,perfecting production process and optimizing product pricing scheme.The purpose of the research conducted in the thesis is to provide some new idea and method in cost management and control to manufacturing enterprises like HG-TONER.