Abstract:

All business functions are gathered under the same roof of management. Management provides coordination between all functions and makes decisions. For effective and efficient management, there must be smooth, accurate and reliable flow of information. In terms of cost accounting information that is supplied by the business is vital for the efficiency of management in the manufacturing enterprises. For management, implementing the planning, controlling and decision making processes are related to setting up the appropriate cost system to firm’s production structure., standard cost method which exists in the cost calculating methods, is a useful management tool for calculating costs besides it is a management tool. In this study, firstly literature related to Standard cost method has been reviewed and it’s benefits to management have been investigated. In addition; in comparison to other cost calculation method, the difference of the Standard cost method is emphasized. The population of the study consists of Medium-sized enterprises which are located in Uşak. The company was selected by decisional (intentional) sampling method and it’s operational information in November 2013 were obtained by using qualitative data collection methods. The Standard cost is determined in the pre-production, and after the production process comparisons are made with actual costs. At the same time, deviation analysis was performed.  This study has provided the opportunity to test the validity of the theory in practice.

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