Accounting Best Practices for Manufacturing Industry

What Is Job Costing and How to Get It Right?

Job costing is a tried and tested cost accounting method useful for many companies. In this article, we look at the components of job costing, where to use it, and talk about the importance of accurate cost accounting.

By Mattias Turovski 11 min read

Accounting

Actual Costing Guide for Manufacturers

Actual costing, or keeping track of your actual costs, is vital for ensuring profitability, especially in industries where production costs fluctuate. Here is how and why to implement actual costing in your company.

By Madis Kuuse 8 min read

AccountingInventory

How to Manage Inventory Write-Offs?

Inventory write-offs help businesses remove unsellable items from their records. This article explains what write-offs are, the difference between write-offs and write-downs, and how to handle them manually or with software to keep your inventory in check.

By Siim Kanne 11 min read

AccountingInventory

Periodic Inventory System vs. Perpetual Inventory System

Managing inventory well is essential for maintaining accuracy and efficiency in your operations. In this guide, we explain periodic and perpetual inventory systems and help you decide which system best suits your business needs.

By Mattias Turovski 11 min read

AccountingManufacturing TipsProduction planning

Costing Methods Explained – Finding the Best Approach

Costing is the process of figuring out how much it costs to produce a product or service by tracking all the expenses involved, such as materials, labor, and overhead. In this post, we discuss the significance of accurate costing, look at different costing methods, and see how MRP systems can help increase costing efficiency.

By Siim Kanne 15 min read

AccountingManufacturing Tips

Manufacturing Overhead – How Indirect Costs Affect Your Bottom Line

Manufacturing overhead is an essential part of manufacturing cost accounting and should be a key factor in determining your products’ prices. In this post, we review manufacturing overhead basics and see how manufacturing software can help streamline cost accounting.

By Mattias Turovski 10 min read

AccountingInventory

FIFO vs. LIFO Inventory Explained

Choosing the right inventory valuation method is a crucial decision for businesses. Deciding between FIFO or LIFO impacts everything from your taxes to how you manage your stock. In this article, we break down the differences between FIFO and LIFO and help you decide which is best for your business.

By Siim Kanne 12 min read

AccountingManufacturing Tips

What Is the Cost of Quality and How to Calculate It?

The cost of quality quantifies the total cost of quality-related efforts and issues. While an effective measure to identify cash drains, it can also be used to balance the price and quality relationship of your products.

By Madis Kuuse 9 min read

AccountingManufacturing Tips

How to Track Actual Costs as a Growing Food Manufacturer?

Keeping track of your actual costs is vital for ensuring profitability, especially in industries like food where ingredient prices can be volatile. Here is how to track your actual production costs.

By Madis Kuuse 7 min read