According to the Accounting Standards for Business Enterprises, C210 is the accounting account for cost collection and allocation. It is mainly used to record various costs incurred by enterprises in the production process, including raw material costs, labor costs, manufacturing expenses, etc. The specific calculation method is as follows:
1.Raw material cost: The cost of raw materials consumed by the enterprise in the production process, which can be accounted for through the raw material inventory account (such as the "Raw Materials" account). When raw materials are put into storage, they are debited to the raw material inventory account; When a raw material is shipped out of the warehouse for production, it is credited to the raw material inventory account. The formula for calculating the cost of raw materials is: cost of raw materials = unit price of raw materials purchased and quantity of raw materials consumed.
2.Labor costs: The wages, benefits and other expenses paid to employees by the enterprise in the production process can be accounted for through the "Employee Remuneration Payable" account. Labor costs are calculated as follows: Labor Cost = Payroll Unit Price Working Time (or Total Salary).
3.Manufacturing expenses: Other expenses other than raw material costs and labor costs incurred by enterprises in the production process, such as equipment depreciation, water and electricity costs, maintenance costs, etc., can be accounted for through the "manufacturing expenses" account. The formula for calculating the manufacturing cost is: manufacturing cost = the sum of the amounts of each manufacturing cost item.
4.Cost collection and allocation: All costs incurred by the enterprise in the production process need to be collected into the C210 cost collection and distribution account. The specific aggregation and distribution methods can be designed according to the production characteristics and management requirements of the enterprise. In general, the steps for cost aggregation and allocation are as follows:
1) Set up sub-ledgers according to cost items (such as raw materials, labor, manufacturing expenses, etc.) to record the detailed information of each cost;
2) According to the actual cost incurred in the production process, it is recorded in the corresponding cost account;
3) Regularly (such as the end of the month, the end of the quarter, etc.) summarize the data in the cost sub-ledger to calculate the total amount of each cost item;
4) Allocate the total amount of each cost item to specific products or services according to the cost allocation basis (such as production hours, production costs, etc.);
5) Debit the allocated costs to the C210 cost collection and distribution account, and credit the corresponding product or service cost account.
In this way, enterprises can accurately calculate the cost of various products or services through C210 cost collection and allocation accounts, and provide strong data support for decision-making.