Commercial expenses are a set of costs incurred by manufacturing and agricultural enterprises in connection with the sale of products, works or services. Selling and administrative expenses are included in the cost of goods sold. The order of calculation depends on the method chosen by the enterprise for the formation of the actual price of products.
If we consider the implementation process, then you should definitely pay attention to such concepts as selling expenses, management expenses, profit, cost. Without a clear definition of each of them, it is impossible to properly maintain accounting records.
Consider the situation with an example manufacturing enterprise. In the process of manufacturing products, costs are incurred. These are payment of bills to suppliers, utilities, employees and other costs associated with production. All these amounts are included in the cost price in the future. Selling expenses are distributed by the method specified in the accounting policy of the enterprise.
The concept of profit arises when the goods are sold. The company received payment. If the amount of income from sales is enough to cover all the costs associated with the production and sale of products, and an additional part of it remains in the possession of the company, we can talk about profit.
The process of marketing and bringing the product to the consumer requires certain efforts and costs. They are, as a rule, the services of transport organizations, payment for the storage and packaging of products, advertising campaigns and others. Account 44, which collects information on the commercial expenses of the period, fully characterizes the stages of implementation. The amounts are accumulated in debit, after which they are debited to other accounts by the method established by accounting policy enterprises.
Management expenses include the costs of maintaining non-production premises and personnel. The article is singled out separately only for industrial and agricultural enterprises. Organizations that specialize only in trade keep records of management expenses in terms of commercial. Costs are also included in the cost of production.
Costs arising outside of production, but directly related to products, can be divided into several categories:
Thus, selling expenses are a set of costs that arise after the delivery finished products to the warehouse and occurring before marketing. Trade enterprises include in this article the costs of a general economic nature (administrative, managerial).
It should be remembered that not all amounts can be taken into account in terms of non-production costs. For example, if the cost of containers or other packaging material is reimbursed by the buyer according to the contract, the amounts are taken into account in part accounts receivable buyers (account 62), not business expenses. Any cost recovery negotiated with the customer should be accounted for in the same way.
The complexity of accounting for transportation costs lies in the fact that it is necessary to carefully monitor the terms of the supply contract. There is the concept of a free place, which characterizes the point of delivery of goods produced at the expense of the seller. Most often, companies use 4 types of transportation:
It is possible to apply other terms of payment for transport services, stipulated by the agreement. It is worth remembering that only those amounts that are paid entirely at the expense of the enterprise can be attributed to the part of selling expenses. If it is planned to reimburse the costs by the buyer, then they do not participate in the formation of the cost and are accounted for on account 62.
The cost of containers and packaging materials is included in the actual cost or attributed to commercial expenses. The first method is used when the products were packed in workshops, which is taken into account in terms of production costs. If the enterprise packs finished products in a warehouse, the cost of packaging and packaging material is classified as commercial expenses.
Advertising of goods is the main method of informational influence on the buyer, which allows to improve the quality of sales. This part of the cost includes payment for any services related to the promotion of products on the market, whether it is printing booklets or window dressing.
Administrative expenses (line 2220)
On this line, the forms reflect the amount of general business expenses of the company that are not directly related to the production of finished products. Such expenses are reflected in the debit of account 26 "General business expenses". In line 2220 "Administrative expenses" of the new unified report form, enter the amount of costs debited from this account to account 90 "Sales", subaccount 2 "Cost of sales". Trading firms do not use account 26 to account for such expenses. They reflect these costs on account 44 "Expenses for sale". Therefore, line 2220 "Administrative expenses" is not filled in by these firms. All general business expenses associated with the management of a trading company are entered in line 2210 "Business expenses" new form report.
Composition and accounting of management expenses
As in the case of commercial expenses, the procedure for recognizing and determining the amount of administrative expenses is fully consistent with similar indicators for costs associated with ordinary species activities. Read more about this in the "Cost of sales" section (line 2120). As part of management expenses, in particular, reflect the costs of:
For depreciation deductions and expenses for the repair of fixed assets for management and general business purposes;
Rent for general purpose premises;
Payment for information, audit, consulting services;
Training and retraining of personnel;
Purchase of stationery, inventory and other materials necessary for the needs of management.
The company is engaged in the production of finished products. The cost of raw materials and materials used in the production process amounted to 2,400,000 rubles. Wages of production workers - 900,000 rubles. Compulsory social insurance contributions in the amount of 234,000 rubles were accrued from her. Service fees third parties associated with the production of finished products are equal to 118,000 rubles. (including VAT - 18,000 rubles). The costs of auxiliary production amounted to 68,000 rubles. The amount of general business expenses is 1,636,000 rubles. (including VAT -
RUB 106,200), including:
Rent of general business premises - 590,000 rubles. (including VAT - 90,000 rubles);
Payment for marketing and legal services- 106,200 rubles. (including VAT - 16,200 rubles);
Remuneration of labor of administrative and managerial personnel and social contributions from it - 289,800 rubles;
Depreciation of fixed assets for general purposes - 650,000 rubles.
These costs are reflected in the entries:
Debit 20 Credit 10
RUB 2,400,000 - written off the cost of raw materials and materials used in the production of finished products;
Debit 20 Credit 70
RUB 900,000 - accrued wage employees of the main production;
Debit 20 Credit 69
RUB 234,000 - assessed mandatory contributions social insurance from the wages of workers in the main production;
Debit 19 Credit 60
18 000 rub. - the "input" VAT on the costs associated with production was taken into account;
Debit 20 Credit 60
100 000 rub. (118,000 - 18,000) - costs associated with the production of finished products are taken into account;
Debit 68 Credit 19
18 000 rub. - Accepted for deduction of VAT on production-related costs;
Debit 20 Credit 23
68 000 rub. - written off the costs of ancillary production associated with the release of finished products;
Debit 19 Credit 60
90 000 rub. - the "input" VAT on the cost of renting premises for general economic purposes was taken into account;
Debit 26 Credit 60
RUB 500,000 (590,000 - 90,000) - expenses for rent of general business premises are taken into account;
Debit 68 Credit 19
90 000 rub. - accepted for deduction of "input" VAT on the cost of renting premises for general economic purposes;
Debit 19 Credit 60
16 200 rub. - the "input" VAT on marketing and legal services was taken into account;
Debit 26 Credit 60
90 000 rub. (106,200 - 16,200) - expenses for marketing and legal services are taken into account;
Debit 68 Credit 19
16 200 rub. - accepted for deduction of "input" VAT on marketing and legal services;
Debit 26 Credit 69, 70
RUB 289,800 - wages of administrative and managerial personnel and social deductions from it were accrued;
Debit 26 Credit 02
RUB 650,000 - depreciation was accrued on fixed assets of general economic purpose.
The total amount of management expenses amounted to:
500,000 + 90,000 + 289,800 + 650,000 = 1,529,800 rubles
Write-off of administrative expenses
The procedure for writing off administrative expenses depends on the method of formation of the cost of finished products. There are 2 options. The first is in full production cost. In this case, they are included in the full amount in the cost of production of finished products. Monthly they are written off from account 26 to account 20 "Main production". In the future, the amount of such costs is reflected as part of the cost of finished products on account 43 "Finished products". Enterprises using this method indicate in line 2120 "Cost of sales" of the report management costs in the total cost of production. Therefore, line 2220 "Administrative expenses" has a dash.
The second is at reduced production cost. In this situation, management expenses can be debited monthly to account 90 "Sales". They are not included in the cost of finished products. With this accounting option, the amount of such costs is entered in line 2220 "Administrative expenses" of the new unified report form.
Let's return to the conditions of the previous example. Recall that total amount management expenses of the company amounted to 1,529,800 rubles.
Management and selling expenses are accounted for separately from other expenses. Order of demarcation expenditure transactions according to their belonging to one or another category is fixed by the accounting policy.
The rules for recognition and sharing of costs are fixed in PBU 10/99. The managerial type of spending includes funds allocated for wages to office staff, repayment of obligations on bills for communication services, burglar alarms, housing and communal services, etc. Management expenses include a wide range of costs that are not directly related to the production of products, they are not used in the course of activities in the field of trade or services.
Examples of this type of cost might be:
Everything related to management costs can be included in the cost of production in two ways:
How are business expenses different from management expenses? The need for the former is due to the trading activities carried out by the company, the latter are needed for the maintenance of the administrative apparatus of the company. Commercial expenses may include funds transferred to packaging suppliers, payment for services for packaging products, their loading and delivery. Management costs are predictable, their predicted volume can be roughly calculated, commercial expenses are characterized by dependence on the number of products produced and sold.
For expenses related to management needs, a synthetic accounting account 26 “General business expenses” is intended. It is active, the balance formed on it should be written off monthly.
Typical postings to reflect the incurred management costs:
Accountable amounts relating to administrative expenses are reflected as D26 - K71. If part of the management costs is transferred to the branches (provided that they were originally incurred by the parent company), then correspondence is drawn up between debit 26 and credit 79. Shortfalls are written off by posting D26 - K94.
There are two methods for further write-off of management expenses.
The first method assumes that the costs of maintaining the administration of the company according to the prescriptions accounting policy are subject to partial inclusion in the cost of production. accounting records will be like this:
At the next stage, when selling goods, the accumulated cost, including management costs, is written off to account 90.
With the second method of accounting for management expenses, the write-off posting will immediately transfer them to account 90: D90 - K26.
All operations performed by the enterprise in a particular period should be reflected in financial statements. The Balance sheet form shows the final balances on the accounts for a certain date, and the income statement form contains cumulative data.
Management expenses in the balance sheet are not an independent line, but a component sum of other lines, depending on which account was debited at the end of the month. The allocation of the management type of costs in the reporting is carried out in line 2220 of the Financial Results Statement, provided that the second accounting method is used. When management expenses are determined, the formula for calculating them for reporting is reduced to an analysis of the credit turnover on account 26 in combination with the debit of account 90.
When forming a forecast for income and expenses for different areas of spending, it is recommended to calculate standard values or set limits for reporting periods.
The budget can be prepared in one of three ways:
Associate Professor of the Department
"Accounting and audit" KFAT and SO,
Consultant, Publishing House "Accountant's Advisor"
N.N. Shishkoedova
Someone controls the activities of any organization. Therefore, the accountant needs to reflect in accounting and reporting management costs, the amount of which can be very significant.
In this article, we will consider the existing options for accounting, allocation and write-off of management expenses and their impact on financial results and the content of the financial statements of the organization.
Management expenses, or in accordance with the terminology used by the compilers of the Chart of Accounts and Instructions for its application, general business expenses, are expenses incurred for the purpose of managing an organization and not directly related to the production process.
In particular, Management expenses include:
administrative and management expenses;
expenses for the maintenance of general business personnel not related to the production process (director and his deputies, secretaries, employees of the personnel department, accounting and other services);
depreciation deductions, expenses for the maintenance and repair of fixed assets for management and general business purposes;
rent for general purpose premises;
expenses for payment of information, audit, consulting and other services provided by external organizations and entrepreneurs;
expenses for recruitment, selection, training, retraining, advanced training of personnel;
other similar administrative expenses.
In accordance with the Instructions for the application of the Chart of Accounts, most organizations use account 26 “General business expenses” to reflect management expenses from a credit of accounting accounts production stocks, settlements with employees for wages, settlements with other organizations (persons), etc. However, there are two important nuances.
Firstly
, accountants of firms engaged exclusively in trade should pay special attention to the fact that, due to the specifics of accounting for the operations of trade organizations, account 26 is not used by trade organizations at all. Of course, this does not mean that trading firms do not have management costs. Just in the case of trade organizations, management costs are considered as component distribution costs (sales expenses), and therefore they are taken into account on account 44 “Sales expenses”.
Secondly
, accountants of organizations engaged only in intermediary activities (commission agents, agents, brokers, dealers, etc., except for trading organizations), should note that, in accordance with the Instructions for the Application of the Chart of Accounts, they must use account 26 “General business expenses” to summarize information about all their expenses for the conduct of intermediary activities. And they can apply only one option for writing off management expenses - from the credit of account 26 to the debit of account 90 "Sales".
In accordance with the current regulations on accounting In Russia, two options for writing off administrative expenses are allowed. Each organization must choose one of them and fix it in its accounting policy.
Option 1. In the cost of products, works, services
The first option for writing off general business expenses, used in the Soviet era, is still used in Russian organizations and listed as the main
