Open AccessConstruction: Innovative Approach to Cost Accounting
Author(s) -
Larisa Gerasimova
Publication year - 2018
Publication title -
international journal of engineering and technology
Language(s) - English
Resource type - Journals
ISSN - 2227-524X
DOI - 10.14419/ijet.v7i4.38.24440
Subject(s) - activity based costing , cost accounting , product (mathematics) , economic shortage , cost estimate , product cost management , investment (military) , target costing , relevant cost , total absorption costing , job costing , risk analysis (engineering) , cost driver , resource (disambiguation) , computer science , cost–volume–profit analysis , accounting method , operations research , business , throughput accounting , cost engineering , accounting , engineering , accounting information system , systems engineering , financial accounting , mathematics , philosophy , government (linguistics) , law , computer network , linguistics , geometry , political science , politics
Based on the study of existing methods of cost accounting, this paper examines the innovative approach to the calculation of products.The article shows that at the time of the decision on investing in a business project related to the development and construction of a new facility, it is advisable to use the target-costing methodology to forecast the cost of a product. For this purpose, when calculating the cost of a product, it is necessary to consider the market research indicators and the values of cost drivers.The author gives an example of using the “target-costing” method in a construction organization, considering peculiarities of this method in construction.Based on the results of the study, it can be concluded that the proposed method of cost calculation for a future innovative product allows for an adequate assessment of future costs, which, given a shortage of raw data and the time resource, reduces investment risks.