Direct Labor Costs Research Articles

The Cost-Based Transfer Pricing: Research in Feed Mills in the Red River Delta Region

The authors study cost-based transfer pricing at feed mills in the Red River Delta. Survey data was taken in April 2023 through interviews and questionnaires. Survey subjects are mainly business administrators and accountants. The survey results show that: (1) decisions on the price of internally transferred products are made by the senior management of the enterprises, (2) the enterprises do not promote the autonomy of their member units, and (3) firms use cost-based transfer pricing with base costs are direct material costs, direct labor costs, and manufacturing overheads. Based on the obtained results, the authors offer solutions for cost-based transfer pricing at feed mills in the Red River Delta.

Pengaruh Efisiensi Biaya Bahan Baku, Efisiensi Biaya Tenaga Kerja Langsung, Dan Efisiensi Biaya Overhead Pabrik Terhadap Rasio Profit Marjin Pada Pt Cipta Karya Utama Medan

The purpose of this study was to determine and analyze the effect of raw material cost efficiency, direct labor costs, and factory overhead efficiency on the profit margin ratio at PT Cipta Karya Utama in 2017-2021. The sampling technique of this study used saturated sampling with multiple linear regression analysis methods. The results showed that simultaneously the efficiency of raw material costs, direct labor costs, and factory overhead efficiency had a positive and significant effect on the profit margin ratio. While partially direct labor costs and factory overhead efficiency have no effect on the profit margin ratio. The test results for R Square is 0.207 which means 20.7% of the variation in the profit margin variable which can be explained by the independent variables of raw material cost efficiency, direct labor cost efficiency and factory overhead efficiency.
 Keywords: Raw Material Cost Efficiency, Direct Labor Cost, Factory Overhead Efficiency, Profit Margin Ratio

SABCO—An experiential learning project for introductory managerial accounting

AbstractThis teaching brief presents a capstone project designed to provide students with a contextual understanding of introductory management accounting theories through hands‐on, experiential learning. It also exposes them to cross‐disciplinary roles from operations management. Using this capstone approach, students quickly learn to prepare financial projections, either manually or in Microsoft Excel, to secure financing for their start‐up business (Sand Art Brownie Company or SABCO) to produce and sell brownie mix during the holiday season. Students then assemble ingredients and create jars of brownie mix to gather the necessary data to evaluate initial projections and problem‐solve for future production. This role play contextualizes the elements of direct and indirect labor, fixed and variable costs, and their impact on profit and borrowing. Postproduction reflection on the manufacturing activities and discussion of actual results of operations emphasizes the improvement and decision‐making responsibilities in the management process. Feedback demonstrates that students find the exercise challenging and valuable and that it deepens their understanding of managerial accounting and its purpose in a company's management process.

ANALISIS HARGA POKOK PENJUALAN DALAM RANGKA MENINGKATKAN LABA PADA UD. TAHU CITRA DOLOKSANGGUL

This study aims to analyze the cost of goods in order to increase profits at UD. Tahu Citra Doloksanggul. The population in this study is sales, the cost of production which includes: raw material costs, direct labor costs, factory overhead costs, cost of goods sold, operating expenses and company profits since the establishment of UD. Tahu Citra Doloksanggul 2003-2022. The research sample is sales, the cost of production which includes: raw material costs, labor costs, factory overhead costs, cost of goods sold, operating expenses and company profits in 2020-2021. The data collection technique used is the documentation technique. The data analysis technique used is descriptive. Based on the results of research and discussion, it is concluded that the calculation of the cost of goods sold in 2020 is Rp. 1.023.740,000 and in 2021 it is Rp. 1.076.240.000. In 2021 it will increase due to an increase in raw material prices. The purchase price of raw materials in 2020 is Rp. 10.500 per kg, increasing in 2021 to Rp. 11.200. This can affect the calculation of the cost of goods sold and also on UD. Tahu Citra profit. Know Image. Efforts to increase profits at UD. Tahu Citra by minimizing costs related to the cost of goods sold amounting to Rp. 1.021.340.000. Where the elements of cost of goods sold are minimized, namely: raw material costs Rp. 831.600.000, labor costs Rp. 120.000.000, and factory overhead costs Rp. 69.740.000. With the decrease in the cost of goods sold, UD. Tahu Citra will be able to increase profits by Rp. 192.640.000 Keywords: Cost of Goods Sold, Increase Profit

Perancangan Database Akuntansi Menggunakan Microsoft Access pada Usaha Konveksi Taylor Abadi

This service aims to help design accounting applications at the Konveksi Taylor Abadi Convection Business using Microsoft Access. The application is designed according to the needs of the store, where this application has a form that is equipped with Visual Basic for Application (VBA) and other facilities such as an account list form, inventory list, fixed asset list, transaction recording consisting of sales, purchases, raw material usage, allocation forms. factory overhead costs, direct labor costs, finished production or finished products. This application provides financial reports ranging from reports on the cost of production, profit and loss reports, reports on changes in capital, balance reports and cash flow reports as well as other data needed by the company. From the results of this service, it was found that there were deficiencies in the recording and financial reports at Taylor Abadi Convection. Therefore, the author provides a solution for Konveksi Taylor Abadi Convection to use Microsoft Access computer applications in recording transactions and preparing financial reports in accordance with Financial Accounting Standards (SAK) quickly and automatically.

POPULAR AND SOLIDARITY ECONOMY ENTERPRISES: COST OPTIMIZATION THROUGH LINEAR PROGRAMMING

Purpose: The main objective was to design a linear programming model for cost optimization of popular and solidarity economy entrepreneurships, in addition to propose the job order costing as an effective tool for determining the cost production.
 Methodology: The research method was of a logical deductive type, using a mixed approach, with a correlational level. A linear programming model was designed to minimize the production cost. A job order was designed, that includes the components of cost production and operating expenses and was applied to 20 enterprises determining the price in terms of job order costing.
 Findings
 Spearman's correlation test shows a coefficient equivalent to 0.484, reflecting an average positive correlation between job costing and cost optimization. The application of the linear programming model contributed to the minimization of cost production, while the designed production order allowed to determine the distribution of the cost in each venture, constituting a guide for the calculation of the production cost of future ventures.
 Originality/value
 This research contributes significantly to entrepreneurs and small businesses, providing a model for cost optimization. The designed production order allows setting the price with an adequate profit margin, registering direct material costs, direct labor and general costs; which are transferred to the model oriented to the minimization of the cost of production.

FACTORY OVERHEAD COST BUDGET

Every field of production activity must have a goal to be achieved by the company. Generally the main goal of a company is to get a large profit or profit. Every production activity requires production costs because production costs are aimed at obtaining a higher economic value of the product. Therefore, each company needs raw material costs, direct labor costs and factory overhead costs. Raw material costs, direct labor costs and factory overhead costs are very important because they are one of the techniques for implementing policies on product loading. Is part of the planning process to determine actions for production activities in the future. Provides information to determine actions for production activities.

Implementation of a Streamlined Care Pathway to Reduce Cost and Length of Stay for Patients Undergoing Endoscopic Transsphenoidal Pituitary Surgery.

We implemented a streamlined care pathway for patients undergoing endoscopic transsphenoidal (TSA) pituitary surgery. Select patients are recovered in the postanesthesia care unit and transferred to a step-down unit for intermediate neurologic care (INCU), with clinicians trained to manage cerebrospinal fluid leak, diabetes insipidus (DI), and other complications. We evaluated all TSA surgeries performed at 1 academic medical center from 7th January, 2017 to 30th March, 2020, collecting patient factors, tumor characteristics, cost variables, and outcomes. The INCU pathway was implemented on 7th January 2018. Pathway patients were compared with nonpathway patients across the study period. Outcomes were assessed using multivariate regression, adjusting for patient and surgical characteristics, including intraoperative cerebrospinal fluid leak, postoperative DI, and tumor dimensions. One hundred eighty-seven patients were identified. Seventy-nine were on the INCU pathway. Mean age was 53.5years. Most patients were male (66%), privately insured (62%), and white (66%). Mean total cost of admission was $27,276. Mean length of stay (LOS) was 3.97days. Use of the INCU pathway was associated with total cost reduction of $6376.33 (P < 0.001, 95% confidence interval [CI]: $3698.21-$9054.45) and LOS reduction by 1.27days (P= 0.008, 95% CI: 0.33-2.20). In-hospital costswere reduced across all domains, including $1964.87 invariable direct labor costs (P < 0.001, 95% CI: $1142.08-$2787.64) and $1206.52 in variable direct supply costs (P < 0.001, 95% CI: $762.54-$1650.51). Pathway patients were discharged earlier despite a higher rate of postoperative DI (25% vs. 11%, P= 0.011), with fewer readmissions (0% vs. 6%, P= 0.021). A streamlined care pathway following TSA surgery can reduce in-hospital costs and LOS without compromising patient outcomes.

공사기간 연장에 따른 산업안전보건관리비 관련 문제점 및 개선방안에 관한 연구

Occupational safety and health management expenses are expenses used for the purpose of protecting workers from accidents and can only be adjusted for changes in direct material costs and direct labor costs. This paper presents a model of occupational safety and health management expenses by type of construction period extension and analyzes the problems of the adjustment method of occupational safety and health management expenses. Accordingly, the results of this study may suggest the needs for a revision of Occupational Safety and Health Act and how to adjust occupational safety and health management expenses.

Calculation of Cost of Rice Production in Farmer Groups Source of Fortune in Sidomukti Village, Muara Kaman District, Kutai Kartanegara Regency

This research aims to determine the calculation of the cost of rice production of the Source of Fortune Farmer Group in Sidomukti Village, Muara Kaman District, Kutai Kartanegara Regency. This type of research is descriptive qualitative, aims to describe, describe, explain and provide answers more clearly about the problem under study. Primary data from the results of the study were obtained from interviews and then analyzed by the full costing method. The number of respondents in this study was 19 people who were members of the Sumber Rejeki Farmer Group with their own land status. The results of this study show that the calculation of the cost of goods produced for an area of 0&lt;x≤1 ha is Rp. 3,608,-/kg, land area 1&lt;X≤2 ha amounting to Rp. 3,857,-/ kg and for land area x&gt;2 ha. Rp. 4.198,-/kg. Production costs for a land area of 0&lt;x≤1 ha average Rp. 12,244,400, an average land area of 1&lt;X≤2 of Rp. 12,971,222, and an average land area of x&gt;2 ha of Rp. 13. 649.429. The calculation is obtained from the process of entering raw material costs, direct labor costs, ovearhead costs. The cost of goods produced is generated from the cost of raw materials which include rice seeds, fertilizers and pesticides. Labor costs which include costs for tillage, seeding, planting, fertilizing, maintenance, harvesting and post-harvest and overhead costs include equipment rent, land and building taxes, depreciation and other costs.

ANALISIS ALOKASI BIAYA OVERHEAD PABRIK ATAS PENENTUAN HARGA POKOK PRODUKSI PADA TOTO ATE MEUBEL DI DESA TENDATOTO KECAMATAN WOLOWAE KABUPATEN NAGEKEO

he purpose of this study was to determine the allocation of factory overhead costs in determining the cost of production at Toto Ate Furniture in Tendatoto Village, Wolawae District, Nagekeo Regency. The data analysis technique used is descriptive qualitative analysis of data collected, compiled, grouped and analyzed so that it can provide an actual picture of the allocation of factory overhead costs in determining the cost of production at Toto Ate Furniture in Tendatoto Village, Wolowae District, Nagekeo Regency. The results of this study indicate that (1) production costs at Toto Ate Meubel are not actual costs, which do not include distribution costs in calculating the cost of production. (2) There is a significant difference between the calculation of the cost of production that has been carried out by Toto Ate Meubel, and the calculation of the cost of production that should have been done. (3) BOP loading based on the direct labor cost method obtained a percentage of 49% of the total direct labor cost.

Analysis of production time and capacity for manual and robotic compounding scenarios for parenteral hazardous drugs

BackgroundThe increasing amount of hazardous preparations in combination with shortages leads to a call for more efficient compounding methods. This research aims to evaluate the required amount of time, production...

Direct costs of treating men with prostate cancer with High Intensity Focused Ultrasound.

To analyze the direct costs of materials, medicines/solutions and healthcare professionals required to treat men with prostate cancer using High Intensity Focused Ultrasound. Quantitative, exploratory-descriptive research, single case study type. Data were collected from electronic medical records/printed documentation from the Operating Room of a public teaching and research hospital. Health professionals estimated the respective time spent on activities in the following stages: "Before anesthetic induction", "Before performing thermal ablation", "During thermal ablation" and "After performing thermal ablation". Costs were calculated by multiplying the (estimated) time spent by the unit cost of direct labor, adding to the measured cost of materials, medicines/solutions. The measured costs with materials corresponded to US$851.58 (SD = 2.17), with medicines/solutions to US$72.13 (SD = 25.84), and estimated personnel costs to US$196.03, totaling US$1119.74/procedure. The economic results obtained may support hospital managers in the decision-making process regarding the adoption of the High Intensity Focused Ultrasound for the treatment of prostate cancer.

Analisis Harga Pokok Produksi CPO (Crude Palm Oil) di Pabrik Kelapa Sawit Ajamu PT Perkebunan Nusantara IV

Analysis Cost of Production of CPO (Crude Palm Oil) at Ajamu Palm Oil Mill PT Perkebunan Nusantara IV&#x0D; Determination of the cost of production is important for a company, to classify costs appropriately. As happened in Pabrik Kelapa Sawit Ajamu where the company did not calculate the cost of goods and did not know their profit because of the finances regulated by the PT Perkebunan Nusantara IV. The purpose of this study was to determine the amount of cost of production and the amount of profit that occurred at PKS Ajamu PT Perkebunan Nusantara IV during 2020. The research method used was full-costing, namely the method of determining the cost of production that calculates all elements of the cost of raw materials, direct labor costs and overhead costs, both variable and fixed. The results show that the components of production costs consist of raw material costs, labor costs and factory overhead costs in CPO production. The cost of producing CPO using the 2020 method is Rp. 200.993.735.153/year. PKS Ajamu produces CPO in 2020 amounting to 36.386.265 kg, based on total production and total production costs, this study obtained the cost of production of Rp 5.523,89/kg. With a CPO selling price of IDR 8.165/kg, the profit obtained by PKS Ajamu PT Perkebunan Nusantara IV in 2020 is IDR 96.100.118.572/year.

Production Cost Control Analysis with Standard Cost System

This research purposes to analyze production cost control with a standard cost system at UD. Central Jaya Springbed in Probolinggo City. This research is a quantitative research with a descriptive approach. Data collection methods used are documents, interviews and observation. Data analysis methods are presented in the form of descriptions and numerical calculations using a standard costing system. The results showed that controlling production costs at UD. Sentral Jaya Springbed in January 2022 for springbed products with a size of 200 x 140 cm with specifications for springbed mattresses only, full sets, and full sets of purple foam which are profitable as shown by the cost of raw materials each showing a favorable difference (favorable) of IDR 111,000.00; IDR 311,000.00; and IDR 80,000.00. Direct labor costs show normal differences while factory overhead costs respectively show unfavorable differences of IDR 23,190.00; IDR 26,810.00; and IDR 5,337.00. Profitable difference in production costs at UD. Sentral Jaya Springbed Probolinggo City is caused by the standard production costs that are determined to be greater than the actual costs.

Penyuluhan Penentuan Harga Pokok Produksi (HPP) pada Pelaku UMKM di Desa Kampung Anyar

Community service activities are carried out by higher education educators as tri dharma activities. This service activity was carried out in Kampung Anyar Village. The village community of Kampung Anyar has a lot of business. This is done by the village government in creating an independent and prosperous society. This is evidenced by the large number of people who are entrepreneurs in Kampung Anyar village. Business actors carry out innovation and creativity in utilizing the surrounding natural resources by processing them into products that have a selling value. Apart from that, it also takes advantage of the condition of the area where the area has many tourism sites that have the potential to increase economic income. Many business actors still lack knowledge regarding the cost of production. So that business actors are less than the maximum actual profit. Community service activities are carried out by providing material by resource persons through delivering material, then practicing calculating the cost of production and providing insight into the importance of carrying out systematic recording in the process of business continuity. Community service activities are carried out by sorting out raw material costs, direct labor costs &amp; indirect labor costs along with overhead costs. Systematic and simple recording is one of the successes in determining the cost of production of each product. Business actors are expected to continue to apply it in their business and attend training on an ongoing basis in understanding the determination of the cost of production.

The Influence of Raw Materials and Direct Labor Costs on Profit Margin Ratio in UMKM Agan Cibinong, Bogor Regency

Micro, Small and Medium Enterprises or known as UMKM have many roles in eradicating poverty, reducing unemployment, and increasing people's income so that they can be independent in supporting their economy. UMKM actors must be able to develop and survive in line with intense business competition. The ability to compete in trade is important so that the Indonesian economy remains strong, especially in the face of the Asean Economic Community (AEC). Therefore, the government continues to strive so that UMKM in various regions can develop so as to support the economy of small communities by providing various facilities both in terms of funding, marketing, licensing and other supporting facilities. The presence of the industrial revolution 4.0 has the impact of intense competition, UMKM must be able to overcome this challenge creatively, product innovation, marketing, product packaging, human resource development and technology. The UMKM empowerment strategy can be pursued through the role of the Government in issuing fiscal and non-fiscal policies, the role of universities in carrying out services to educate and prosper the community and the role of stakeholders in encouraging UMKM to be more independent and innovative.

ANALISIS PERHITUNGAN HARGA POKOK PRODUKSI DENGAN PENERAPAN METODE HARGA POKOK PENUH PADA ROTI GEMBONG BONGSOR KARAWANG

This study aims to analyze the comparison of the Cost of Goods Sold based on the Small and Medium Enterprises (SME) Method of Roti Gembong Bongsor and the full costing method. The method of data collection applied in this research is by observation and personal interviews with SME owners as people who provide the information and data that researchers needs. The results of the research that has been carried out show that the resulting production costs consist of raw material costs of Rp 5,967,000, direct labor costs of Rp 15,000,000, variable factory overhead costs of Rp 9,123,500, and fixed overhead costs of Rp 5.234.997. This study shows that the results of calculating the cost of goods sold using the full costing method produce a higher price than the SME method.

Penerapan Metode Cost Plus Pricing Dalam Keputusan Penentuan Harga Jual (Survey Lambemu Kota Bengkulu)

This research is a descriptive qualitative research. The type and source of data in this study is qualitative data using secondary data, namely by making observations or observations and documentation in the form of records of production costs needed for calculating the cost of production and calculating the selling price for expenses in 2021. The research method used in this study This is a qualitative method by analyzing by collecting data and the results describe how Lambe Cake applies the cost plus pricing method in setting selling prices through observation and document analysis at Lambe Cake in Palembang City. The calculation of the cost of production is something that needs to be considered in determining the selling price of a product. Calculation of the right and accurate cost of production is something that needs to be done by every company, because without a precise and accurate calculation of the cost of production, the manufacturing company concerned will experience problems in determining the selling price of a product. The costs incurred in the production process will be used as the basis for determining the selling price and usually the company will add the desired profit percentage. One method of determining the selling price, in which all costs or full total costs are added to the profit percentage expected by the company is called the Cost Plus Pricing method. The cost of production in industrial companies consists of raw material costs, direct labor costs and factory overhead costs. In this research conducted at Lambe Cake, Bengkulu City. Lambemu here still uses calculations based on ordinary calculations according to the seller himself and does not take into account the costs associated with non-production. So it has a difference between ordinary calculations and calculations using the cost plus pricing method. By using cost plus pricing, determining the selling price becomes more accurate and precise.

Poor Patient Compliance Limits the Attainability of Patient-Reported Outcome Measure Completion Thresholds for the Comprehensive Care for Joint Arthroplasty Model

BackgroundThe Centers for Medicare and Medicaid Services (CMS) links patient-reported outcome measures (PROMs) with hospital reimbursement in some value-based models for total joint arthroplasty (TJA). This study evaluates PROM reporting compliance and resource utilization using protocol-driven electronic collection of outcomes for commercial and CMS alternative payment models (APMs). MethodsWe analyzed a consecutive series of patients undergoing total hip arthroplasty (THA) and total knee arthroplasty (TKA) from 2016 and 2019. Compliance rates were obtained for reporting hip disability and osteoarthritis outcome score for joint replacement (HOOS-JR.), knee disability and osteoarthritis outcome score for joint replacement (KOOS-JR.), and 12-item short form survey (SF-12) surveys preoperatively and postoperatively at 6-months, 1 year, and 2- years. Of 43,252 THA and TKA patients, 25,315 (58%) were Medicare-only. Direct supply and staff labor costs for PROM collection were obtained. Chi-square testing compared compliance rates between Medicare-only and all-arthroplasty groups. Time-driven activity-based costing (TDABC) estimated resource utilization for PROM collection. ResultsIn the Medicare-only cohort, preoperative HOOS-JR./KOOS-JR. compliance was 66.6%. Postoperative HOOS-JR./KOOS-JR. compliance was 29.9%, 46.1%, and 27.8% at 6 months, 1 year, and 2 years, respectively. Preoperative SF-12 compliance was 70%. Postoperative SF-12 compliance was 35.9%, 49.6%, and 33.4% at 6 months, 1 year, and 2 years, respectively. Medicare patients had lower PROM compliance than the overall cohort (P < .05) at all time points except preoperative KOOS-JR., HOOS-JR., and SF-12 in TKA patients. The estimated annual cost for PROM collection was $273,682 and the total cost for the entire study period was $986,369. ConclusionDespite extensive experience with APMs and a total expenditure near $1,000,000, our center demonstrated low preoperative and postoperative PROM compliance rates. In order for practices to achieve satisfactory compliance, Comprehensive Care for Joint Replacement (CJR) compensation should be adjusted to reflect the costs associated with collecting these PROMs and CJR target compliance rates should be adjusted to reflect more attainable levels consistent with currently published literature.