文章基本信息

标题：The Problems with Work-In-Process Valuation under the Process-Costing
本地全文：下载
作者：Hiroto Kataoka ; Hirohisa Hirai
期刊名称：International Journal on Research and Development : A Management Review
印刷版ISSN：2319-5479
出版年度：2017
卷号：6
期号：3
页码：37-45
出版社：Institute for Research and Development India
摘要：Companies adopting a process costing system usually expect effective cost management and useful cost information in order to facilitate decision-making. According to the FIFO method of process costing, however, even if the system assumes that the beginning WIP is completed first, the beginning WIP cost in the previous-process affects the ending WIP cost in the post-process. Kataoka and Hirai (2015) built a model that assumes that the cost amounts of beginning WIP in the previous-process is defined as explanatory variables, although the costs (cost amounts) is equal to the unit costs (price factor) multiplied by the physical units (quantity factor). Therefore, we expand upon the concept of the degree of influence that the beginning WIP cost in the previous-process has on the calculation of the ending WIP cost in the post-process by incorporating both the price factor and the quantity factor into our analysis. In this paper, we have confirmed how both the price factor and the quantity factor of the beginning WIP cost in the previous-process affects the ending WIP cost in the post-process. As a result, we revealed that as the ending WIP quantity in the post-process increases, the greater the influence becomes. In addition, we have clarified the degree of influence to the ending WIP cost in the post-process regarding to both the quantity and percentage of completion of the beginning WIP in the previous-process.
关键词：Listing of IPO; Initial Public Offer; Securities and Exchange Board of India (SEBI) Regulations; Companies Act 2013; Indian Capital Market; Hurdles faced by Corporates; National Stock Exchange; Bombay Stock Exchange