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Product costing

Dear all,

In my client place, the client wants the costing of the product based on the following parameters:

Raw Material Cost(which includes Packing cost) xxxxx

Add: Raw Material Overhead xxxxx

Prime Cost xxxxx

Add: Factory Overheads

Factory Rent xxxxx

Factory Power xxxxx

Indirect Material xxxxx

Indirect Wages xxxxx

Drawing Office Salary xxxxx

Factory Insurance xxxxx

Factory Asset depreciation xxxxx xxxxx

Add: Administration overhead

Office Rent xxxxx

Asset Depreciation xxxxx

General charges xxxxx

Audit Fees xxxxx

Bank Charges xxxxx

Other Office Expenses xxxxx

Cost of Goods Manufactured xxxxx

The thing is the items that are included in the factory overhead and admin overhead, we can take it as percentage but the client wants the actual cost of those expenses to be captured while doing product costing. For example, some portion of the actual cost of factory rent, factory power is to be captured while doing product costing.

How to do?

please suggest me.

Thanks & Regards,


Former Member
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