Chương 6:
Accounting for different cycles in
business
1-1
Part 1
Accounting for
production
1-2
I. ACCOUNTING FOR
PRODUCTION
Dr 621 Cr Dr 154 Cr Dr 155 Cr Dr 632 Cr
O.B: X
(1)
A A
Dr 622 Cr
Collect M (4) Cost of M N (5) Cost of N
(1) finished goods sold
expense
B B goods
Dr 627 Cr
M=X+A+B+C
-Y
C (1)
C
C.B: Y
1. Accounting for Account 621
Dr 152 Cr 621 Có
(1): Issue material for
directly production
Transaction: Issue materials for directly production
Dr Direct Material costs:
Cr Materials
2. Accounting for Account 622
Dr 111,112 Cr Dr 334 Cr Dr 622 Cr
(2) Pay salary in cash
(3a) Social insurance, medical
insurance, union fee, unemployment
insurance (Part: Employee)
Nợ 338 Có
(3b) Social insurance,
medical insurance, union
fee, unemployment
insurance (Part: Company)
Social insurance, medical insurance,
union fee, unemployment insurance
Table: Percentage
Item Company Employees
Social insurance 17.5% 8%
Medical insurance 3% 1,5%
Unemployment 1% 1%
insurance
Union fee 2% 0%
Total 23.5% 10.5%
2. Accounting for Account 627
– Part 1
Dr 111,112 Cr Dr 334 Cr Dr 627 Cr
(2) Pay salary in cash
(3a) Social insurance, medical
insurance, union fee, unemployment
insurance (Part: Employee)
Dr 338 Cr
(3b) Social insurance,
medical insurance, union
fee, unemployment
insurance (Part: Company)
3. Accounting for Account 627
– Part 2
Dr 111,112,331 Cr Dr 627 Cr
(5): Utilities incurred in factory
(6): Repair expense for machinery at factory
Nợ 133 Có
Dr 214 Cr
(7): Depreciation of machinery at factory
Dr 153 Cr
(8): Issue supplies for factory
Dr 152 Cr
Example
Example
A company has several information as follows:
+ Transaction 3: Conduct the transactions of social
insurance, health insurance, union fees and unemployment
insurances in accordance with legal regulations
+ Transaction 4: Pays salary to employees by using cash at
bank
+ Transaction 5: Electricity expenses incurs in factory is 15
million VND, in selling shop is 20 million and in office is 7
million VND and all amounts still owes to supplier
Example
A company has several information as follows:
+ Transaction 6: Depreciation for machinery for
production is 10 million VND, for selling shop is 8
million VND and for office is 5 million VND
+ Transaction 7: Company produces 1,000 finished
goods and put them in the warehouse
Require:
[Link] transactions
[Link] cost of 1 finished goods