Production Costs
What are costs?
Cost estimate of resources consumed in production and sales.
What is a finished product?
A product that has been fully processed, completed, meets standards, and is accepted into the warehouse or by the customer.
What are the two possible financial results of a company?
Profit and Loss.
How many types of reporting are there?
Three: Statistical reporting, Operational and technical reporting,Accounting reporting
What is the main purpose of an audit?
To provide objective, real, and reliable information about the audited entity.
Name two types of organizational costs.
Costs by type of activity and Other income and expenses.
Which account is used for finished products?
Account 43 – Finished Products.
How is the final financial result calculated?
Final Financial Result = Financial Result from Activities + Other Income − Other Expenses.
What is the reporting period in Belarus?
From January 1 to December 31.
What is the difference between internal and external audit?
Internal audit is conducted by company employees, while external audit is conducted by independent certified auditors.
Which account is used for Main Production?
Account 20 – Main Production.
Name two accounting tasks related to finished products.
Control product quality
Control inventory safety
Which account is used to record profits and losses?
Account 99 – Profits and Losses.
When must annual reports be submitted?
Before April 1 of the year following the reporting year.
Name two principles of auditing.
Independence
Confidentiality
Which account accumulates General Economic Expenses?
Account 26 – General Economic Expenses.
What document is used when finished products are transferred to the warehouse?
Acceptance Invoice.
Which account records retained earnings?
Account 84 – Retained Earnings
Name three requirements for accounting reports.
Reliability, Timeliness,Comparability
How many main stages of an audit are there?
Six stages:1. Preparation2. Planning3. Audit contract4. Collection of audit evidence5. Quality control6. Audit report preparation
Name three examples of General Production Costs.
Maintenance of workshop management
Depreciation of buildings and equipment
Repair and maintenance expenses
Which account summarizes information about product sales?
Account 90 – Income and Expenses from Current Activities.
What must not be less than the value of net assets?
Authorized Capital.
Which law regulates the composition of financial statements?
The Law of the Republic of Belarus “On Accounting and Reporting”.
Name three causes of accounting errors.
Incorrect application of legislation,Incorrect accounting policy,Calculation errors