Overhead Costs Research Articles

The effect of manufacturing overhead on policies for allocating production capacity

This research explores how manufacturing overhead influences profit margins under different capacity allocation policies in a build-to-order context. By applying a multi-period Mixed-Integer-Programming model to assess industries with varying overhead structures, the study establishes a link between the levels of capacity allocation and profitability, underscoring the strategic significance of overhead costs in capacity management decisions. Our results indicate that industries with lower overhead costs benefit more significantly from increased capacity allocation, with up to a 25% improvement in profit, compared to a 5–10% improvement in higher overhead industries. Conversely, at full capacity demand rates, increased allocation levels detrimentally affect profit, particularly in industries with higher overhead ratios. The study utilises a 3-way ANOVA to confirm the significance of these findings, revealing that industry type, demand rates, and allocation levels are critical factors in optimising profit. This research highlights the need for a pragmatic approach to capacity allocation that aligns with industry characteristics and demand levels, steering away from revenue maximisation to a more holistic view of profitability that includes overhead cost management.

Analisis Penerapan Metode Activity Based Costing Method Untuk Meningkatkan Akurasi Dalam Menentukan Perhitungan Harga Pokok Produksi

The aim of this research is to determine the application of the Activity Based Costing method to increase the accuracy of production cost calculations. The research method used in this research is a descriptive research method using a case study approach which took the research location in Puspita, Jakarta City. The results of this research show that the calculation of production costs using the traditional analytical accounting method is IDR 15,978.15 while the Activity Based method of determining the cost of production Costing is IDR 15,766.36 so there is a price difference in the D lunch box production method at Pupita Catering Town Jakarta, which is more appropriately applied to operating costs based on the difference of IDR. 211.79 is lower compared to traditional cost accounting methods because factory overhead costs are allocated to several cost drivers so that operating costs can be allocated to products correctly and precisely according to the consumption of each activity.

Pengaruh Biaya Overhead Pabrik (BOP) dan Biaya Tenaga Kerja Langsung terhadap Harga Pokok Produksi di PT.Azmindo Baja Cakrabuana

This research was motivated by the cost of goods manufactured which experienced ups and downs, the problem in this study was whether factory overhead costs and direct labor costs had a partial or simultaneous positiveeffect on PT.Azmindo Baja Cakrabuana.This study aims to determine the effect of factory overhead costs and direct labor costs on the cost of production. The method used in this study is the quantitative method, the result show that partially positive effect between the variable factory overhead costs (X1) on the costs of goods manufactured (Y) with t-count value of 2,023 and also t-tabel of 60 data, which is 2,002 which it means that the t count is greater that the t table (2,023 > 2,002), then the significant value obtained is 0,048 < 0,05. And also has a positive effect on the direct labor costs variable (X2) on the costs of goods manufactured (Y) with t-count value of 2,432 and a t-table value of data 60 which is 2,002 , which means that t-count is greater than t-table (2,432 > 2,002) and also obtained a significant value of 0,018 < 0,05. There is also a simultaneous posistive effect on the variabel factory overhead costs (X1) and direct labor costs (X2) on the variable cost of goods manufactured (Y) simultaneously with the calculated F value and F table of 6,095 and the F table value of 3,159 , the calculated F value is more greater than the F table value (6,095 > 3, 159) with a significant level of 0,004 < 0,05. Keywords : Factory overhead costs, Direct labor costs, Cost of goods manufactured

Analysis of Production Cost Calculation Using Job Order Costing Method at PT Secma Energy Cell

Production Cost Calculation is very important for companies as support in financial reporting. Recording production costs encourages business managers to create accurate and fast administrative documentation, so that companies can predict selling price and profit and loss in accordance with expectations. This study aims to examine whether PT Secma Energy Cell, situated in Gresik Regency, East Java, to the principles of cost accounting in implementing the Job Order Costing method for determining production costs. Utilizing a descriptive qualitative approach with a case study methodology, the study aims to evaluate the application of cost calculations for plastic bags and rolls of varying sizes. Data gathering techniques encompass observation, interviews, and documentation of total and variable cost calculations. The study spanned around six months, from December 2022 to May 2023, whereas the data recorded dates back to October 2021. Findings revealed that PT Secma Energy Cell employs a total of 62 individuals, with 34 engaged directly in production activities, while the remainder are non-production staff. Over the course of one month, the company utilized 115,400 kilograms of raw materials, amounting to IDR 2,311,471,500.00, the production of ready-to-sell goods for 1 month was 42,775,005 kg, plastic roll production was 105,020.00 kg, and plastic bag production was 147,795 kg. Up to this point, the company has established the product price per kilogram with an approximately markup of 70%, so that each order received has been calculated in advance regarding the selling price of each product. The analysis revealed that using the Job Order Costing method, the production cost amounted to IDR16,559.48 per kilogram for plastic bags and IDR20,118.81 for plastic rolls. This indicates that PT Secma Energy Cell effectively implements the job order costing method by accurately accounting for expenses associated with raw materials, direct labor, and factory overhead costs. This is intended to enhance the accuracy of the set selling price and potentially boost the company’s future profitability.

Implementation Of Activity Based Costing On The Rate Of Inspired Services For Covid-19 Patients At Pusri Hospital, Palembang City

This study aims to determine: (1) The cost calculation used by the hospital. Pu sri Palembang to determine the tariff for inpatient services for covid-19 patients in 2021, (2) Calculation of the Activity Based Costing System to determine the rate for inpatient services for COVID-19 patients at the hospital. Pusri Palembang in 2021, (3) Comparison of the calculation of the cost of inpatient services for Covid-19 patients based on hospital calculations with calculations using the Acitvity Based Costing System in 2021. The research method used is descriptive analysis method. The data collection method used in this research is to use the interview method and the documentation method. The interview method was used to obtain supporting data for writing, as for the list of questions as follows: How is the calculation of the cost method used by the hospital. Pusri Palembang to determine the tariff for inpatient services for Covid-19 patients in 2021?. The documentation method is used to obtain data on the list of rates for inpatient services for COVID-19 patients, hospitalization costs, and length of days of hospitalized patients. Based on the results of the study showed that: (1) The method applied by RS. Pusri Palembang to determine the tariff for inpatient services for COVID-19 patients at a rate of Rp. 2,473,606.50 (2) The tariff for inpatient services for Covid-19 patients using the Activity Based Costing method provides cheaper results. The difference that occurs is due to the imposition of overhead costs on each product. In the unit cost method, the overhead costs for each product are charged to only one cost driver, namely the number of days of hospitalization. Activity Based Costing is able to allocate activity costs to each product appropriately based on the consumption of each activity

Profitability measurement of selected Islamic Shariah-based private commercial banks in Bangladesh: A comparative Study

The purpose of this study is to analyze the profitability of five selected five Islami banks with a Shariah foundation and to determine whether these banks are more or less profitable. This study makes use of secondary data that was gathered from selected banks' annual reports between 2013 and 2022. This study employed a parametric approach; comparisons were assessed using descriptive analysis; the ANOVA test was used to assess reliability; and multiple regressions was utilized to assess impact. SPSS version 2014 is utilized for multiple regression analysis, and Excel 10 is used for ANOVA tests. The results indicate that the profitability of the selected banks is fairly high, with every bank under examination achieving favorable outcomes. The percentage of deposits with assets and the distribution of assets among the sample banks are not moderate. The inadequate asset allocation of FSIBPLC is indicated by its low return on assets. Furthermore, the bank has a deficiency in the area of net profit margin (NPM). Additionally, SIBL's debt collection and repayment are inadequate. Investors will be deterred from investing by the significant variations in return on equity found in almost every bank during the research period. Reducing overhead costs and enhancing the appropriate distribution of loans and advances will boost operating income and net profit efficiency. Above all, FSIBPLC and AIBPLC have fared well across the board. To optimize their profitability, the three remaining banks—IBBPLC, SIBL, and UBBPLC—had to step up their efforts.

Determinants Of Murabaha Margin Income Of Islamic Commercial Banks In Indonesia

This research aims to analyze and show the influence of overhead costs, risk costs and Wadiah savings on Murabaha margin income at Islamic commercial banks (ICB) in Indonesia. This research method uses a quantitative approach, and the data used is secondary data. The population of this study was ICB for 2020-2023. The sampling technique used purposive sampling to obtain a sample of 8 ICB with 32 observation data. Data collection techniques in this research used documentation and a literature study. The data analysis technique uses multiple linear regression. The results of this research indicate that overhead costs have a positive effect on Murabaha's margin income. Risk costs do not affect Murabaha's margin income. Wadiah's savings have a positive effect on Murabaha's margin income. The results of this research can complement existing theories and become a reference for future research. Then, it can become a reference for ICB in increasing the amount of Murabaha's margin income through increasing overhead costs and Wadiah savings, as well as reducing risk costs collected from the community.

A provably lightweight and secure DSSE scheme, with a constant storage cost for a smart device client.

Outsourcing data to remote cloud providers is becoming increasingly popular amongst organizations and individuals. A semi-trusted server uses Searchable Symmetric Encryption (SSE) to keep the search information under acceptable leakage levels whilst searching an encrypted database. A dynamic SSE (DSSE) scheme enables the adding and removing of documents by performing update queries, where some information is leaked to the server each time a record is added or removed. The complexity of structures and cryptographic primitives in most existing DSSE schemes makes them inefficient, in terms of storage, and query requests generate overhead costs on the Smart Device Client (SDC) side. Achieving constant storage cost for SDCs enhances the viability, efficiency, and easy user experience of smart devices, promoting their widespread adoption in various applications while upholding robust privacy and security standards. DSSE schemes must address two important privacy requirements: forward and backward privacy. Due to the increasing number of keywords, the cost of storage on the client side is also increasing at a linear rate. This article introduces an innovative, secure, and lightweight Dynamic Searchable Symmetric Encryption (DSSE) scheme, ensuring Type-II backward and forward privacy without incurring ongoing storage costs and high-cost query generation for the SDC. The proposed scheme, based on an inverted index structure, merges the hash table with linked nodes, linking encrypted keywords in all hash tables. Achieving a one-time O(1) storage cost without keyword counters on the SDC side, the scheme enhances security by generating a fresh key for each update. Experimental results show low-cost query generation on the SDC side (6,460 nanoseconds), making it compatible with resource-limited devices. The scheme outperforms existing ones, reducing server-side search costs significantly.

A novel authentication scheme for long-term evolution mobility management: A security investigation

Long-term evolution in wireless broadband communication aims to provide secure communication for users and a high data rate for a fourth-generation network. Even though the fourth-generation network provides security, some loopholes lead to several attacks on the fourth-generation network attacks. The denial-of-service attack occurs when the user communicates with a rogue base station, and the radio base station in fourth-generation long-term evolution networks ensures that the user is attached to the rogue node assigned network. The location leak attack occurs when the packets are sniffed to find any user’s location using its temporary mobile subscriber identity. Prevention of rogue base station and location leak attacks helps the system achieve secure communication between the participating entities. Earlier works in long-term evolution mobility management do not address preventing attacks such as denial-of-service, rogue base stations and location leaks and suffer from computational costs while providing security features. Hence, the present paper addresses the vulnerability of these attacks. It also investigates how these attacks occur and exposes communication in the fourth-generation network. To mitigate these vulnerabilities, the paper proposes a novel authentication scheme. The proposed scheme is simulated using Network Simulator 3, and the security analysis of the proposed scheme is shown using AVISPA –a security tool. Numerical analysis demonstrates that the proposed scheme significantly reduces communication overhead and computational costs associated with the fourth-generation long-term evolution authentication mechanism.

Signature-based Adaptive Cloud Resource Usage Prediction Using Machine Learning and Anomaly Detection

One of the challenges in managing cloud computing clusters is assigning resources based on the customers’ needs. For this mechanism to work efficiently, it is imperative that there are sufficient resources reserved to maintain continuous operation, but not too much to avoid overhead costs. Additionally, to avoid the overhead of acquisition time, it is important to reserve resources sufficiently in advance. This paper presents a novel reliable general-purpose mechanism for prediction-based resource usage reservation. The proposed solution should be capable of operating for long periods of time without drift-related problems, and dynamically adapt to changes in system usage. To achieve this, a novel signature-based ensemble prediction method is presented, which utilizes multiple distinct prediction algorithms suited for various use-cases, as well as an anomaly detection mechanism used to improve prediction accuracy. This ensures that the mechanism can operate efficiently in different real-life scenarios. Thanks to a novel signature-based selection algorithm, it is possible to use the best available prediction algorithm for each use-case, even over long periods of time, which would typically lead to drifts. The proposed approach has been evaluated using real-life historical data from various production servers, which include traces from more than 1,500 machines collected over more than a year. Experimental results have demonstrated an increase in prediction accuracy of up to 21.4 percent over the neural network approach. The evaluation of the proposed approach highlights the importance of choosing the appropriate prediction method, especially in diverse scenarios where the load changes frequently.

Determinant of Probability of Indian Listed Commercial Bank

This study investigates the determinants of profitability among commercial banks in India over the period from 1999 to 2022, utilizing unbalanced panel data comprising 108 banks. By examining both internal bank-specific characteristics and external macroeconomic factors, we assess how these variables impact profitability across different types of banks. Our findings suggest that liquidity conditions, as measured by the loan-to-asset ratio, do not significantly affect profitability. However, credit risk, represented by the ratio of loan loss provisions to total loans, demonstrates a positive relationship with profitability for foreign and private banks. Diversification has conflicting effects on profitability, with SBI & Associates banks and public banks benefiting from it, while new private banks experience negative impacts. The influence of overhead costs on profitability varies across bank types, positively impacting return on equity for all banks and foreign banks, but negatively affecting return on equity for public banks. Conversely, it positively impacts return on assets for all banks but negatively impacts return on assets for private banks. Capital strength exhibits a negative association with profitability across all banks and a positive association for public banks, with inconclusive results for private banks. Bank size does not show a significant relationship with profitability across all bank types. Regarding macroeconomic factors, while indicators like money supply growth and inflation do not significantly impact return on equity, they positively influence return on assets, albeit with variations across ownership types. In conclusion, this study highlights the complexity of factors influencing bank profitability in India and underscores the importance of tailored management strategies to navigate these complexities effectively.

Navigating the virtual restaurant frontier: motivations and challenges for restaurateurs in post-pandemic era

ABSTRACT This study explores the motivations and challenges steering restaurateurs toward the operation of virtual restaurants in post-pandemic Malaysia. With a dual objective of furnishing actionable guidance for current and prospective virtual restaurant entrepreneurs and proposing recommendations for stakeholders like SME Trade Associations, financial institutions, and government agencies, the research extracts qualitative insights from semi-structured interviews with 31 restaurant operators. Distinct motivations, including financial considerations, capitalization on pandemic-induced market shifts, procedural simplification, reliance on supportive networks, and learning from past physical restaurant setbacks, are identified. Correspondingly, challenges such as high overhead costs, limited visibility, unpredictable circumstances, and operational inefficiencies are unveiled. The study harmonizes both motivations and challenges to offer a practical framework, facilitating the evaluation of virtual restaurant feasibility and sustainability. These findings hold significant implications for fostering the adoption of virtual restaurants in post-pandemic Malaysia, presenting a comprehensive guide for restaurateurs navigating the evolving landscape.

Post‐quantum attack resilience blockchain‐assisted data authentication protocol for smart healthcare system

AbstractThe smart healthcare system (SHS), a significant medical domain underpinning the Internet of Things (IoT), which collects and analyzes health data from many sources to provide better medical treatment. The smart healthcare system is a combination of hardware and software used in the medical care field, providing remote diagnosis and treatment via a patient‐based health data‐sharing system. To increase security, a large variety of authenticated techniques have been developed over the past several decades, most of which are based on conventional number‐theoretic assumptions such as discrete logarithms and integer factorization problems. However, Shor's method is capable of solving number‐theory‐based problems. As a result, Shor's technique might be used to resolve challenging number theory problems on a quantum computer effectively. Therefore, this article presents blockchain‐based healthcare record solutions with lattice RLWE‐based key exchange protocol using a smart card. Blockchain applications may correctly detect errors, including those that are risky, in the medical industry. It can also improve the efficiency, security, and transparency of transferring medical data throughout the healthcare protocol. The formal security of this protocol is shown under the ROM (random oracle model), and the informal security is also given in this article against well‐known attacks. The presented protocol outperforms related earlier mechanisms in terms of communication and computational cost overheads, according to the performance study.

A Lightweight, Efficient, and Physically Secure Key Agreement Authentication Protocol for Vehicular Networks

In the contemporary era, Vehicular Ad Hoc Networks (VANETs) have emerged as a vital technology in intelligent transportation systems, substantially enhancing the overall travel experience by providing advanced services to vehicles while ensuring driver safety. Despite the notable improvements, the inherent complexity of VANETs presents persistent security challenges, encompassing issues such as privacy preservation for vehicles, message authentication, and constraints in computational power and network bandwidth. Various authentication protocols have been designed for VANETs. However, many of these protocols exhibit significant vulnerabilities, rendering them insecure and unreliable in the face of diverse security threats, such as denial of service, replay, forgery, and impersonation attacks. Moreover, some existing schemes encounter limitations, including high computational complexity and the introduction of additional communication overhead and computational costs. To tackle these concerns, we designed a lightweight and secure identity authentication protocol based on elliptic curve cryptography with the objective of furnishing an effective and secure data transmission mechanism across a public communication channel for the Internet of Vehicles. In addition, we introduce Physically Unclonable Functions (PUFs) to ensure physical layer security during the communication process. A detailed security analysis demonstrates that the proposed protocol is resilient against various attacks. Through a comparative analysis with existing relevant protocols, in scenarios with a high density of vehicles, the algorithm demonstrates significantly lower computational costs and communication overhead than the related protocols, indicating that the proposed protocol is lightweight and efficient. Consequently, the empirical findings indicate that our protocol surpasses others in terms of reliability, user convenience, and practicality for ensuring secure data transmission within VANETs.

Space-efficient and high-performance inline deduplication for emerging hybrid storage system with Libra＋

In the face of the ever-increasing data volume of data-intensive applications, deduplication, as a promising solution to reduce space consumption, has attracted increasing attention in modern storage systems. Specifically, in modern SSD caching-based hybrid storage systems, inline deduplication achieves data reduction on the fly before storing data in the SSDs, thereby enhancing performance and extending their lifespan. However, with the emergence of new storage media featuring fast access speed and high endurance, hybrid storage systems have evolved by incorporating these new storage devices in place of SSDs at the front end of the primary storage. In this work, we revisit the concept of inline deduplication in the context of emerging hybrid storage and propose a new inline deduplication system designed for emerging hybrid storage, named Libra＋. Libra＋ contains three components: First, we propose two cooperative index structures for memory and cache. Second, we design a selective deduplication approach to perform targeted deduplication. Third, we introduce a lightweight dirty list that replaces the conventional dirty list in inline deduplication, reducing time overhead and space costs. Experimental results show that Libra＋ can achieve simultaneous performance improvement and space cost reduction.

Reducing administrative burdens in an energy bill assistance program

ABSTRACT This article investigates the impact of categorical eligibility, a policy aimed at easing administrative burdens, on outcomes of the Low Income Home Energy Assistance Program. Through two-way fixed effect analyses, the study extends the focus of administrative burden scholarship beyond program take-up and examines the programmatic costs of reducing burdens in a new empirical context – a budget-constrained program. Findings indicate categorical eligibility is associated with boosted enrolment and improved program efficiency, reducing overhead costs and increasing assistance expenditures. However, increased participation relies on sufficient funding, underscoring the need to consider policy designs’ effects on participation and expenditures in budget-constrained programs.

VIRTUAL THREADS IN JAVA 19 AND SPRING BOOT 3: ENHANCING PERFORMANCE AND EFFICIENCY OF APPLICATIONS

This article explores virtual threads, a new feature introduced in Java version 19. Virtual threads are an abstraction that allows the creation of numerous threads without requiring dedicated operating system threads for each. This significantly reduces the overhead costs of multithreading, leading to improved performance and efficiency of applications. The article discusses the working principles of virtual threads, their advantages and disadvantages. It also examines the support for virtual threads in the Spring Boot 3 framework. Research indicates that virtual threads can significantly enhance the performance of applications handling concurrent network requests. For instance, a Spring Boot application executing 1000 concurrent network requests demonstrated a 20% performance improvement when using virtual threads compared to traditional threads.

EVALUASI PERHITUNGAN HARGA POKOK PRODUKSI TERHADAP UMKM BEPPA JANDA DESA TELUK KABBA MENGGUNAKAN METODE FULL COSTING

The purpose of this study is to calculate the cost of production of UMKM Beppa Janda in Teluk Kabba Village, and calculate the selling price of Beppa Janda at UMKM Beppa Janda in Teluk Kabba Village. Calculating the difference between the calculation of the cost of production before and after the research on the UMKM Beppa Janda Teluk Kabba Village using the full costing method. The data collection techniques used in this study were observation, interviews and documentation. The data analysis technique used in the study to answer the formulation of this problem was descriptive analysis. The results of this study indicate that there are differences in the calculation of the cost of goods manufactured by the company with the full costing method. The cost of production of Beppa Janda using the company's calculation is Rp. 802.6 and for the Full Costing method that is Rp. 811.3. The calculation difference is Rp. 8.7. This is influenced by the cost of raw materials, factory overhead costs, both variable and fixed

An Effective Mechanism to Mitigate Packet Dropping Attack from MANETs using Chaotic Map based Authentication Technique

Background: MANET is a self-organized wireless network with no infrastructure. Especially data transfer from one system to another system needs to be done in a secure way. In order to provide data integrity, authentication plays an important role in data communication. RSA and ECC are widely used algorithms in the real world, but authentication using these algorithms is time-consuming. Towards this, various algorithms came into existence with different security primitives. However, it is important to design an effective key agreement process with reduced computational cost among these security mechanisms. We have designed an effective mechanism to mitigate packet dropping attacks to secure end-to-end communication in MANET. Objective: The proposed light weight authentication method is based on chaotic maps that uses Chebyshev polynomials as primitive operation. Methods: The methodology includes semi group property of Chebyshev polynomials and also the discrete logarithmic problem based chaotic maps that takes less time than these existing algorithms and evaluates with respect to attack Resilience, packet deliverya fraction, delay, throughput, and overhead. Results: Simulation produces the result of the proposed mechanism and give better performance in terms of packet delivery ratio, overhead and computational cost. Conclusion: Authentication based on developed mechanism consumes less time as shown in statistical analysis and mitigates packet dropping attacks effectively than that of traditional methods like RSA and ECC with respect to key generation mechanism.

Tax Incentives, R&D Investment, and Employment Absorption: Evidence from Chinese Technology-Based SMEs

This paper investigates the mechanisms of tax incentives and R&D investments on employment absorption, constructs a panel data model with a sample of 4,255 Chinese technology-based SMEs, and adopts a random effect model for empirical evidence after various tests. The research results show that tax incentives and R&D investments of technology-based SMEs positively affect their employment absorption. The positive effect not only exists in the current period but also remains valid in the next period. R&D investment, operating profit margin, and remuneration have more significant positive impacts on employment absorption, while we should pay attention to control and reduce overhead costs. Finally, this paper gives corresponding suggestions and countermeasures from three levels: government, enterprises, and society.