Standard costing. Or how to control costs of production

Standard costing. Or how to control costs of production

Every company wants to achieve a high level of profit. Costs of production is a factor that can easily destroy the plan. It can be tricky to control those costs as they depend on prices and quantities of materials used, cost and hours of labor involved, and overhead costs.

The solution to manage that control has been available since at least the 1920s. At that time standard costing was introduced. A standard costing system helps you to take over control of manufacturing costs. Implementation of standard costing by leveraging modern¬†Information Technology makes this control much easier, more efficient, and more affordable. Continue reading “Standard costing. Or how to control costs of production”

Ledger entries setup approach

Ledger entries setup approach

It’s been a long time since accountants kept journals on paper and posted amounts to a ledger book. Modern bookkeeping software creates general ledger entries automatically based on the business operations performed. In order to be able to post an entry, the usual need is to set up which account should be used for the exact operation in the software. In this post I would like to share the approach I usually follow to¬†set up ledger postings in Dynamics 365 for Operations (aka Dynamics AX or Axapta).
Continue reading “Ledger entries setup approach”