Cost and Management Accounting Practices: A Survey of Manufacturing Companies
Journal Title: Eurasian Journal of Business and Economics - Year 2010, Vol 3, Issue 6
Abstract
The purpose of this study is to explore cost and management accounting practices utilized by manufacturing companies operating in Istanbul, Turkey. The sample of the study consists of 61 companies, containing both small and medium-sized enterprises, and large companies. The data collection methodology of the study is questionnaire survey. The content of the questionnaire survey is based on several previous studies. The major findings of the study are as follows: the most widely used product costing method is job costing; the complexity in production poses as the highest ranking difficulty in product costing; the most widely used three overhead allocation bases are prime costs, units produced, and direct labor cost; pricing decisions is the most important area where costing information is used; overall mean of the ratio of overhead to total cost is 34.48 percent for all industries; and the most important three management accounting practices are budgeting, planning and control, and cost-volume-profit analysis. Furthermore, decreasing profitability, increasing costs and competition, and economic crises are the factors, which increase the perceived importance of cost accounting. The findings indicate that companies perceive traditional management accounting tools still important. However, new management accounting practices such as strategic planning, and transfer pricing are perceived less important than traditional ones. Therefore, companies need to improve themselves in this aspect
Authors and Affiliations
Ali Uyar
Keywords
Related Articles
- EP ID EP108129
- DOI -
- Views 92
- Downloads 0
Exploring Knowledge Sharing in a Professional Network: A Central Eurasian Case
Increasingly, managers of global teams are faced with the challenge of how to foster knowledge sharing within a virtual or hybrid community. In this study, we replicate Chiu, Hsu, and Wang’s (2006) study of the influence...
Patterns of Capital Structure Adjustment by Listing Type: Evidence from European Firms
This study analyzed the questions of whether capital structure adjustment in European firms differed by listing type and by current debt ratio. Major issues are concerned with (1) the adjustment speed toward target debt...
Industrial Growth Rates and Instability: An Historical Analysis of the Former Centrally Planned Economies of Eastern Europe
One of the central tenets of socialism and central planning economics, as practiced by the East European countries, was that this organization of employment, production and activity could achieve higher growth rates than...
The Effects of Intellectual Capital on Financial Performance and Market Value: Evidence from Turkey
In this study we aim to examine the effects of intellectual capital and its components on companies’ market value and financial performance in Turkey. The financial and market data of production companies listed in Borsa...
Mergers, Acquisitions and Firms’ Performance: Experience of Indian Pharmaceutical Industry
In the context of policy reforms in the 1990s in general and three important amendments made to the Indian Patent Act (1970) in 1999, 2002 and 2005 in particular, the present paper makes an attempt to examine the impact...