Analysis of Difficulties in the Completion of the Comparable Product Cost Reduction Plan Based on Formula Derivation
- 1 Business School, Anyang Normal University, Anyang, China
Abstract
Cost statements are important documents that reflect cost information. By analyzing cost statements, problems existing in cost management can be identified, thereby prompting the timely adoption of improvement measures. A difficulty in cost analysis lies in the in-depth analysis of the completion of the comparable product cost reduction plan. There are many problems in the teaching process; therefore, this paper mainly analyzes the difficulty of the completion of the comparable product cost reduction plan from the source, using two perspectives: the chain substitution method and the simplified calculation of the chain substitution method, based on the formula derivation process. This helps to better understand the completion of the comparable product cost reduction plan, further identify problems in the enterprise’s product cost management, and thus improve the enterprise’s cost management.
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