FULL COSTING METHOD AS A DETERMINANT OF GOODS PRODUCED AT MAMATE OUTFIT

Case Study on Ghania Dress

Abstract

This study is based on the objective to determine the calculation of cost of goods produced used by Mamate Outfit and compare it with the cost of goods produced based on the full costing method. To find out the extent of the difference in the determining the cost of production, this study uses one of the samples from the Mamate Outfit collection, namly the Ghania Dress. The type of research used is qualitative research with a descriptive analysis approach. Primary data is obtained from observation activities and direct interviws with the owner of Mamate Outfit related to production cost information, such as raw material costs, labor cost, and factory overhead costs. While secondary data is in the form of boutique expense record, books, journals related to research and other sources of information that are still relevant to research. The results showed that there was a difference in the production cost of Ghania Dress in one production between the method used by the Mamate Outfit and the full costing method. In the calculation of Mamate Outfit, the total production cost is Rp. 2.310.000, and compared to the full costing method, the total cost is higher at Rp. 2.413.900. The difference in costs occurs because Mamate outfit does not add the cost of sewing machine depreciation and there are differences in the calculation of electricity cost at the cost of good produced. So in calculating the cost of production of Mamate Outfit only adds the cost of raw materials, labor, complementary costs, electricity costs, and tool regeneration.