COST ACCOUNTING INFORMATION AND PRICE DETERMINATION
ABSTRACT
Increased advancement in industrialization, engineering and general commerce has thrown a great challenge to managers. There is increased competitions, and the survival of any company lies on the ability of the managers to apply the scare resources efficiently. Efficient management of resources call for proper control of inventory and revenue therefore, effective system of costing and good pricing policy are central and pre-requisite for the survival and growth of any organization in the global economic village. The topic “cost Accounting information and price determination’ is aimed at establishing how adequate accounting information can assist management in making sound pricing decision. Many business organizations in Nigeria collapsed in the recent past because they could not break-even. In periods of boo, manufactures are able to show profits notwithstanding the leakages which pass unchecked but in periods of trade competition, concealed inefficiencies have to be tracked down and rigorous control must be exercised to ensure even modest margin of profit, there is not yet an agreed best method of costing products though, it may be helpful to recognize that cost allocations are being used to obtain a mutually acceptable price and not necessarily to portray cause- and effect relationship of cost incurrence. But price determined from efficient traditional income statement approach and /or contribution margin approach will most probably approximate the price of the product to its value.
LIST OF TABLES
A simple cost statement showing profit
A summary of cost in the brewing house
A summary of cost in the celiar
A summary of cost in the Filtration
A summary of cost in the Bottling center
A summary of cost in engineering cost center
Total cost for production department
Estimated cost of brewing star lager bee
The pricing policy of the company personnel
The Relationship between marginal costing and costing method
Cost method adopted
Application to full absorption costing
Other considerable factors
Effect of competitors price of bee
Basis of pricing decision
Effect of government legislation on their pricing policy
Fixed or Determined selling price of the products
4.1.0 Effect of market forces on pricing decision
4.1.1 Contingency table (function of costing information).
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