The weekly cost analysis usually takes the following form Raw materials Weekly usage is calculated by evaluating opening and closing stocks, and cost is calculated by establishing acost average each week. That is, each week's intake at a particular price level, is integrated with the carry-forward stock from the preceding week, costed at that weeks price level. Price fluctuatie are, therefore, taken into account immediately, and a true cost is established for each week's production Thecost average system should be applied to all materials used in roduction Additives and Process chemicals These comprise chemicals which remain in the end-product as a constituent, or chemicals used merely in the treatment of vegetables. Sugar, milk powder and glycerol monostearate would come into the former category, and caustic soda, sulphite and sodium carbonate would be designated as process chemicals in the latter category. Hourly usage is invariably logged in the Process Supervisor's records, therefore this is a simple costing calculation, which is also checked with opening and closing stocks Weekly records should be kept for metered fuels, such as gas, and weights of solid fuels and oil, and usage measured from these. a weekly cost average should be calculated, if there are any price fluctuations on fuel purchases Wages The total factory wages and salaries are computed from the payroll, and their apportionment to the various products made is either the function of the Cost Accountant or the Works manager Overheads An estimated weekly sum should be charged to cover rents, rates, depreciation, office administration and expenses, insurance, quality control and general factory expenses. As the actual accounts for these items are received, any excess or deficiency in the estimated weekly provision is corrected through a reconciliation account Maintenance An arbitrary estimated charge per kilo weight of finished product is brought into the weekly costing and, again, correction is applied as maintenance accounts are received. It is good policy to charge maintenance at a rate whichThe weekly cost analysis usually takes the following form: Raw Materials Weekly usage is calculated by evaluating opening and closing stocks, and cost is calculated by establishing a ’cost average’ each week. That is, each week’s intake at a particular price level, is integrated with the carry-forward stock from the preceding week, costed at that week’s price level. Price fluctuations are, therefore, taken into account immediately, and a true cost is established for each week‘s production. The ’cost average‘ system should be applied to all materials used in production. Additives and Process Chemicals These comprise chemicals which remain in the end-product as a constituent, or chemicals used merely in the treatment of vegetables. Sugar, milk powder and glycerol monostearate would come into the former category, and caustic soda, sulphite and sodium carbonate would be designated as process chemicals in the latter category. Hourly usage is invariably logged in the Process Supervisor’s records, therefore this is a simple costing calculation, which is also checked with opening and closing stocks. Fuel Weekly records should be kept for metered fuels, such as gas, and weights of solid fuels and oil, and usage measured from these. A weekly cost average should be calculated, if there are any price fluctuations on fuel purchases. Wages The total factory wages and salaries are computed from the payroll, and their apportionment to the various products made is either the function of the Cost Accountant or the Works Manager. Overheads An estimated weekly sum should be charged to cover rents, rates, depreciation, office administration and expenses, insurance, quality control and general factory expenses. As the actual accounts for these items are received, any excess or deficiency in the estimated weekly provision is corrected through a reconciliation account. Maintenance An arbitrary estimated charge per kilo weight of finished product is brought into the weekly costing and, again, correction is applied as maintenance accounts are received. It is good policy to charge maintenance at a rate which 256