PROBLEMS IN DETERMING GROSS OUTPUT OF USSR MACHINE-BUILDING PLANTS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000700200037-7
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 17
• Document Creation Date: December 22, 2016
• Document Release Date: August 31, 2011
• Sequence Number: 37
• Publication Date: August 13, 1954
• Content Type: REPORT

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STAT
PROBLEMS IN DETERMINING GROSS
OUTPUT OF USSR MAHINE-BUILDING PLANTS
Vestnik Statistiki, No 5
Moscow, Se-Oct 1953
In adddition to its basic element -- the cost of finished products manu-
factured uring a given accounting period -- the gross output of industrial
enterprises also includes the cost of completed industrial operations and the
cost of processed semifinished products, less the cost of semifinished products
produced at the plant and sent to other enterprises for further processing. In
the case of machine-building enterprises, enterprises manufacturing metal
shapes, and repair plants, the gross output also includes the value of the
increase (or decrease) of uncompleted production,
To obtain reliable data on gross production, it is very im,ortant to de-
termine the correct cost of the change in the balance of uncompleted produc-
tion, since this is one of the elements constituting the gross output of
machine-building plants. According to Soviet statistics, the gross output of
industrial enterprises is determined on the basis of a single, scientifically
founded system applicable to all enterprises. In statistics, the economic
content of the gross-production index as a "hole as well as of each of its
component elements is defined exactly and a definite accounting procedure for
it is established. This also applies to the cost of the chan-o in the balance
of uncompleted production. On the basis of this single system, indi?,i_u;;
machine-building enterprises are able to use different practical moi;hoas,
suited to their particular production setup, to determine the cost of the
change in the balance of uncompleted production. his rectlynthat theibasic metVesodtniofk 1953,
inetheauncompletedrpro-
duction balance must consist of a direct estimate, based on an inventory of
the wh-'e uncompleted output. However, in a number of enterprises, especially
in those engaged in small series production or operating on the basis of in-
dividual orders, such inventories are taken irregularly. ils a result, on the
first; day of the month following the accounting month, many enterprises which
must report the fulfillment of their production plans are not as yet in pos-
session of the final data on the cost of the change in the balance of uncom-
pleted production, and must use various methods based on operational accounting
data to determine their gross output.
The purpose of this article is to examine the methods used by machine-
building plants in determining the volume of gross production in the absence
of inventory data on uncompleted output, and to show which of these methods is
the most efficient. All figures used in the followin?-calculations are hypothe-
tical and do not apply to any specific plants.
In some plants the volume of gross output is determined on the basis of
accounting data by an average estimate of the cost of norm-hours worked in the
shops during a given period of i month. An estimate of the volume of gross
output, by calculating the cost per norm-hour, is made on the basis of data for
a number of preceding months. For example, if it has been established that
during the past three months one norm-hour of work amounted to 10 rubles of
gross output, the number of norm-hours worked in the shops during the preced-
ing accounting month is multiplied by 10 to obtain the volume of gross output.
This is such a rough estimate that even in the case of homogeneous series pro-
duction, where the nature of output does not vary substantially from month to
month, the results of determining the volume of dross output are usually unsat-
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Individual plants, which have as proportionately large number of prelimi-
p
nary rocessin (zagotovitel'nyye) shops, determine the volume of gross output
..ccording to operational accounting data based on the estimated change in the
balance of semifinished products. For this purpose, the output (in tons) is
c
shops, i.e., alculated for the accounting month for each of the preliminary processing
etc. In addition,, thepamounts rof semifinished uproductsrusedhduringethe account-
ing month for the manufacture of commodity output are determined, with the ex-
ception of those semifinished products sold outside the plant.
The difference between these figures shows the increase or decrease in the
balance of semifinished products, in terms of tons. When this has been deter-
mined, an estimate of the balance of semifinished products is made, based on
the average cost per ton of castings, forgings, etc, The change in the cost
of the balance of semifinished products of the plant's own production is con-
sidered as the change in the cost of the balance of all uncompleted production
at the plant.
Such a method of determining the change (increase or'decrease) in the cost
of the balance of uncompleted production is complicated and not precise, and as
a result, the volume of gross output which is subsequently determined on the
basis of bookkeeping data, usually differs considerably from the calculations
based on operational accounting data.
The shortcomings in the above-mentioned methods stem from the fact that
in both cases the volume of gross output is determined on the basis of data
which apply only to a small portion of production expenditures.
A more precise determination of gross production on the basis of opera-
tional data can be achieved by computing all expenditures for the production
of the gross output, This is done as follows! on the basis of bookkeeping
data, the average production cost per ton of semifinished product for each
preliminary processing shop is determined for the past three months, as well
rs the cost of ore machine-hour and one norm-hour (for manual work) in each ma-
chining and assembly shop; a rough estimate is also made of expenditures for
materials, purchased semifinished products, tools, etc. All these data are
combined in a table and totaled. Table one is an example of such a computa-
tion for one plant.
The total of 14,645,000 rubles represents the amount of all anticipated
production expenditures for November, which applies both to the commodity out-
put and to the change (increase or decrease) in the balance of unfinished prod-
ucts and tools.
Since gross-production expenditures in the accounting month are determined
on the basis of net production cost, it is necessary in determining the gross
output in wholesale prices for the accounting month to multiply total expendi-
tures by a coefficient representing the relation of the cost of commodity out-
pu+. in wholesale prices for the past three months to the net cost of the com-
mouity output for the same period.
For example, assuming; that the commodity output for the period August-
October in wholesale prices of the enterprise amounted to 45 million rubles,
and that the net cost of this output equaled 43 million rubles, the gross out-
put in wholesale prices of the enterprise for the month of November would
equal;
l,645
15..326,000 rubles.
X3,000
000
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This computation of the volume of gross output, which is made on the
first day of the n.,nth following the accounting month, is sufficiently exact
in the case of an enterprise operating on the basis of series production.
However, in the production of small series or individual orders, the volume
of gross output, computed by this method, usually differs from the final book-
keeping figures by several percent.
The discrepancy between o a?nal accounting data and bookkeeping data
can be explained as follows:) Owing to the change in the structure of com-
modity output during individual months the production cost of semifinished
products or the cost of one machine-hour may differ considerably from the
average data for the preceding months. (b) The transformation of expenditures
for production costs into gross output in terms of wholesale prices, with the
use of the above-mentioned coefficient, also produces a result which is not
exact, especially in small series or individual order production, where the
volume of commodity output and the increase in uncompleted production differ
considerably for individual groups of products during individual months.
Table I.
Computation of Anticipated Production Expenditures for November
Unit of
Name of Slop Name of Prod
t
Cost
Per Unit
Total Coat
in Thousand
u
c
Measurement
quantity
in Rubles
Rubles
Steel foundry Open-hearth ingots
tons
800
1,090
800
Electric furnace
ingots
Shaped castings of
11
100
'700
1,400
000
14o
open-hearth furnaces
5,
3,500
Shaped castings of
l
300
6
000
1 800
e
ectric furnaces
,
Cast iron
foundry
Iron castings
Forge shop
Forgings
250
2,500
625
Structural
metal shape
shop
Structural
shapes
200
1,700
340
Machine- 15,000 20
hours
300
Norm 8,000 12
hours
96
"chine- 12,000 11
hours
Machine as-
132
sembly No 1 45,000 18
81o
Norm- 15,000 10
hours
150
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Name of Shor,
Name of Product
Unit of
Measurement
Quantity
Cost
Per 'Unit
in Rubles
Machine
assembly No 2
Machine-
hours
60,000
19
Installa-
Norm-
hours
18,000
11
tion shop
6,ooo
8
Basic
materials*
Thousand
rubles
--
-
Auxiliary
materials*
Purchased
semifinished
products*
-
--
Purchased tools
Capital repairs
Administrative
expenses
Transport and
storage expenses
Total Cost
in Thousand
Rubles
1,140
198
48
500
180
150
350
71
100
Total plant
production costs
14,500
IIcn,moduciivc ex
put:ditures
145
14,645
*Note: This includes only the ccst of basic and auxiliary materials and semi-
finished products used in the machining shops, i.e., machine assembly shops
No 1 and 2, installation shop, tool shop, and pattern shop. The cost of ma-
terials used in the preliminary processing shops is included in the cost of
semifinished products of the plant's own production.
Some large machine-building plants use the following method to determine
thp;volume of gross output on the basis of operational accounting data. The
production expenditures anticipated for the accounting month are determined
for each item of the production estimate on the basis of bookkeeping data for
the preceding four months, with possible adjustments in expenditures for the
accounting month.
.'able 2 is an example of the computation of anticipated production ex-
penditures.
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Com utation of Antici ated Producsi02 Ex enditures for November
in thousand rubles
Expenditures According to Bookkeeping Data
Anticipated
Items July August September October foprenditures
November
1. Raw and basic ma- 1,500 1,550 1 600
terials, excluding ' 1,580 1,750
waste products
Table 2.
Including purchased 200 250 340
semifinished 370 500
products
2. Auxiliary materials 320 340
300 360 330
3. Equipment 100 110 90 100
100
4. Fuel 9o0 950
925 1,025 1,040
5. Electric power, 300 325 315
steam, gas from 340 320
outside sources
6. Wages, basic and 3,100 3,200
supplementary 3,100 3,000 3,100
7. Additional payments 215 220
to workers (bonuses, 215 210 215
etc.)
8. Amortization 650 66o 650 672 654
9. Monetary expenditure:; 500 6oo lop
600 600
10. Written off to un- -100 -120
productive accounts -110 -90 -105
11. Expenditures of the +200 +150
future period -100
-150 +25
12. Other expenditures 20
30 60 42 38
Total expenditures -
- ,567
The anticipated expend urees or auxiliary materials, equipment, electric
power, and wages are determined as average figures for the preceding four
months. Expenditures for raw materials and basic materials, including pur-
chased semifinished products, are estimated at higher than the average rate,
duc to the fact that during the accounting month a large quantity of costly
semifinished products made of steel alloys were used in the production process.
In determining the expenditures for fuel, its increased consumption during
the fall period is also taken into consideration. Therefore, the anticipated
expenditures are not determined automatically, but on the basis of concrete
economic analysis. To conduct such an analysis, there must be constant contact
between the planning division and other divisions of the plant which account
for the use of materials, semifinished products, electric power, fuel, etc.
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accounts
g oP wages Paid according to h
over to th themonth is done on the basi4 of special "vork orders" which are turned
bookkeeping o"fice of the plant. ypes of products during the be turned
ese work orders muss
it during the entire month. A number of machine-builds
lished the procedure that a worker is to turn in his work order at the t e he
completes a ng plants have estab-
tatoe b specific job. The worker retains the stub of the order with ano
Y the foreman of the OTK (Technical Control Division) been finished and approved. The order, indicati the number Of c
is signed by the inspector and that the work has
placed in a special box to be fondoinleveryrts,
sector of a shop. This system makes it Possible to obtain sufficient)
products. i
data by the first day of the month on the expenditure of wages for individual
exact
The volume of commodity output in terms of production cost is determined
for each group of products as the quotient resulting from the division of the
commodity output (in wholesale prices) by the coefficient represents
lationship between the cost of commodity output (in wholesale Prices) three months and the representing the re-
production cost of the commodity ufor the
output.
[See table on next page.]
n
portion to the wages
the accounting month (Table 3).
The acco.nti
n
The anticipated expenditures
products, computed in this manner are broken down bwhich are in the process of Production, by
pa .d for these products i
in pro
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Table 3.
De terminat?ior- , of uh? -VOL o? Con?nodity , t r
- .Put, fur November
i
n
th
ousand rubles)
`
Name of Product
or Expenditure
Cost of Balance
of Uncompleted
Productior. on '
Nov
Anticipated
Expenditures
Commodity Outp,.jt
_
for November
e
Cost forNovembmber'
1,400
500
1,000
No 2
5.200
1,800
1110
No 3
5,600
2,200
1,800
No 4
10
800
.
3,500
2,300
Services
Other expensee
400
500
450
Total
8,567
Balance of urcom?-
pleted production
on 1 November in
wholesale prices
Change in the balance
of uncompleied pro-
duction for November
Commodity output for
November in wholesale
prices of the enterprise
Gross output for November
in wholesale prices of
the enterprise
of 'Cost Jn co hat
1 Dec
mDleted
o Prod on n 1 Dec
-
ftrt~+
Balance of
(lncompl Prod
in Wholesale
Prices on
1 December
900
1.15
1,035
4,800
1.02
4,896
6,000
1.05
6,300
12,000
0.98
11,760
1.0 450
1.0 11.7
-- 24,558
-- 23,620
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The cost of the balance of uncompleted production at the beginning of the
accounting month is based on bookkeeping date. The balance of uncompleted pro-
duction at the end of the accounting month is obtained after deducting the cost
of commodity output from the total cost of the balance of uncompleted production
at the beginning of the month and the anticipated expenditures for the account-
ing month. For example, in the case of product No 1 (see Table 3) the cost of
the balance of uncompleted production as of 1 December equals:
(1,400 + 500) - 1,000 = 900,000 rubles.
The anticipated balance of uncompleted production at the end of the ac-
counting month, in wholesale prices of the enterprise, is computed for each
group of products by multiplying the cost of the balance of uncompleted pro-
duction by the appropriate coefficient.
The change (increase or decrease) in the balance of uncompleted production
constitutes the difference between the balance of uncompleted production in
wholesale prices at the beginning and at the end of the accounting month. In
the above cited example this change in the balance of uncompleted production
equals:
24,558 - 23,620 = +938,000 rubles.
By adding this amount to the cost of commodity output, we obtain the anti-
cipated gross output for the accounting month. The described methhE of deter-
mining the gross output produces results which deviate from the final bookkeeping
data by not more than 1.5 or 2 percent. Such deviations are mainly the result
of the fact that the total sum of expenditures for production is distributed
among individual products proportionate to the expenditures for wages, which
represent only one element in the total expenditures.
Considering the fact that the cost of materials and purchased semifinished
products in the estimate of production expenditures at a machine-building plant
often amounts to 45 percent or more, this method of computation is not completely
accurate. It is necessary to make a more exact distribution of the expenditures
for materials among individual groups of products manufactured by the plant.
Because of the shortcomings in the above-described method, individual plants
have begun to use a more precise method of computing anticipated material expendi-
tures. The following concrete example will serve to illustrate this method of
computing the gross output.
1. The planning division of a plant receives from the division (or group)
c_ the plant administration in charge of c,,operative operations a statement
indicating the shop, the product involved, and the cost of purchased semifinished
products supplied to the shop during the accounting month. Table 4 is given as
an example of such a statement.
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2. On the last day of the accounting month the remaining requirements for
basic materials allocated to the shops, which have not been distributed among
indiv..dual orders; are totaled.
Table 4.
Statement on the at of Purchased Semifinished Products
Issued to the Shoo during May
20
210
25
25
Total 280
170
8
Total 210
The cost of basic materials received by the shops, established in accord-
ance with requirements based on the orders, is stated in Tabs 5, which also
includes the totals for each product from Tabe 4.
Table 5.
Statement on the Cost of Basic Materials and Semifinished Products
Included in the Production ProcesF during Ma By Individual Products
in thousand rubles
Purchased
Semifinished
Name Name of Basic Materials Products
Total
Product No 1 25
20
45
No 2 162
380
542
No 3 147
95
242
No 4 18 25
43
No 3
No 5
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Purchased
Name 01 Product Protsshed
Basic Na Trials Products
rroduct No 5 93 8 101
No 6 32 25 57
No 9 17 26
No 8 37 --
Special tools made at 7
the plant
T otal 530 570 1,100
3. On the last day of the accounting month, commissions inspect in all shops
of the plant the stocks of materials and purchased semifinished products allocated
to the shops and not yet processed. Lists of such materials and purchased semi-
finished products, and their quantity, are turned over to the planning division
which, together with the bookkeeping office, prepares an estimate of these mate-
rials and semifinished products.
With the aid of data, broken down by groups of products, on materials and
semifinished products not subjected to processing at the beginning or end of
the accounting month, as well as on materials and semifinished products re-
quisitioned from the warehouse during the accounting month (Table 5), a summary
is made on the expenditure of materials and semifinished products during the
accounting month, as shown in Table 6.
The expenditures for each group of products and the changes in the cost of
the remaining materials and semifinished products, not yet included in the pro-
duction process, are determined as the cost of all materials to be used in pro-
duction during the accounting month.
For example, in the case of product No 1 (see Table 6), the expenditure of
materials and semifinished products equals:
25 + 20 - [10 - (4 + 1)) = 40,000 rubles.
4. Wage expenditures are determined by totaling the figures listed in the
"wo*k orders," Shop expenditures and plant overhead expenditures are determined
by corresponding norms established in the plan.
The computation of anticipated expenditures for gross output, pertaining to
wages and overhead expenditures during the accounting month, is shown in Table 7.
5. The planning division, together with the bookkeeping office, computes the
anticipated expenditure of auxiliary materials, industrial fuel, equipment, and
depreciation of tools and appliances during the accounting month for all of the
manufactured products.
The cost of expended auxiliary materials and equipment not relating to any
specific product is distributed among various products in proportion to the wage
expenditures, while the cost of fuel is distributed in proportion to the weight
of the products.
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Table 6.
Computation of the Expenditure of Basic Materials and Semifinished
Products Durin Ma Broken Down b Individual Products
in thousand rubles
In Production During Not Included in Production Expended for Prod
Accounting Month Beq of tdonth End of Month
Name of Semifinished Semifin Semifin
Product Materials Products Mat pr d Semifin
No 1
No 2
No 3
No 4
No 5
No 6
No 7
No 8
25.0
162.0
147.0
18.0
93.0
32.0
9.0
37.0
Special 7.0
plant-r.ade
tools
20.0
380.0
95.0
25.0
8.0
25.0
17.0
o Mat Prod Mat Prod Total
4.0 1.0 10.0 -- 19.0 21.0
36.0 10.0 41.0 18.0 157.0 372.0
-3.0 1.0 45.0 -- 140.0 96.0
2.0 -- 2.0 -- 18.0 25.0
22.0 -- 24.0 -- 91.0 8.0
10.0 -- 8.o 2.0 34.0 23.0
2.0 -- 2.0 -- 9.0 17.0
5.0 -- 5.5 -- 36.5 --
1.0 -- 0.5 -- 7.5 --
4o.0
529.0
236.0
43.0
99.0
57.0
26.0
36.5
7.5
Total 530.0 570.0 120.0 12.0 138.0 20.0
512.0 562.0 1,074.0
Table 7.
Computation of Anticipated Expenditures for Gross Production,
Pertaining to Wages and Overhead Expenditures During Ma
in thousand rubles
Name of Basic
Product Wa es
Bonuses
Supplemen-
tars Wages
Shop
Overhead
Expenditures
Plant
Overhead
Ex enditures
Tests and
Other
Expenditures
Total
9.2
3.8
16
o
No 2
38.0
1.5.1
12.4
144.6
58.0
79.9
.
348.0
No 3
65.0
1.0
0.5
242.5
100
0
No 4
8.2
0.5
0.6
31.2
.
12
5
-
409.0
No 5
4
.
-
53.0
9.5
3.5
0.9
186.4
78.2
-
5
318
No 6
11.4
2.0
1.0
43.8
17.8
--
.
76
0
No 7
1.7
0.9
--
6.6
2.7
.
No 8
11.9
13.0
5.5
50.3
20
.5
-
89.3
Special 1.4
Plant-made
3.4
1.5
tools
Total 190.6
23.0
21.5
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Information on the expenditure of auxiliary materials, industrial fuel,
and equipment is included in Table 8.
Information on ti- Expenditw:e of Auxiliary Materials,
industrial Fuel and P_4__7 During May
in thousand rubles
Name Name Of Auxiliary Materials and Industrial Fuel
No 1
Equipment
No 2 36.0
27.0
No 3
30.0
5.0
No 4 3.0
1.0
No 5 2
0
.
0.5
No 6 22
0
.
16.0
No 7 1.6
No 8
3.2
Special tools made at the plant 0.2
Total 102.0
6. The data on the amount of all production expenditures, i.e., expendi-
tures for basic materials, semifinished products (Table 6), anticipated wages
and overhead expenditures (Table 7) and the cost of auxiliary materials, indus-
trial fuel, and equipment (Table 8) are entered in the summarized table of
production expenditures (Table 9).
Table 9.
Summarized Information on Production Expenditures during May
in thousand rubles
Basic Wages, Auxiliary
Materials Overhead Materials
Name of & Semifin &
Total
Other
& Indus-
Product Produ
t
Expen-
c
s F.xnanditures -_, .. .
diture
No 1 16.o 4.o
60.0
No 2 529
n 1.0
,
36.o 27.0
940.0
No 3 236.0 409.0 30.0 5.0
680.o
No 4 43.0 53.0 3.0 1.0
100.0
No 5 99.0 318.5 2.0 0.5
420.0
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Basic Wages,
Materials Overhead
Name of & Semifin & Other
Product Products Expenditures
No 6
No 7
No 8
Special tools
made at the
plant
57.0
26.0
36.5
7.5
Total 1,074.0
11.9
89.3
6.3
Auxiliary
Materials
& Indus-
trial fuel
22.0
1.6
3.2
0.2
1,328.0 102.0
Equipment
15.0
0.5
Total
Expen-
ditures
170.0
40.0
130.0
14.0
7. On the basis of the data obtained, a computation of the anticipated
change in the balance of uncompleted production for the accounting month is
made, as shown in Table 10.
13 -
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Table 10.
vuuump.Lezeu
Production in Current Wholesale Prices of the Enterprise for May in thousand rubles)
Planned Commodity Actual Commodity
Output for May Output for May
Name of in Wholesale in Current Whole-
Product Prices sale Prices
No 1
No 2 1,000
No 3 520
No 4
No 5 470 475
No 6 145 150
No 7 25 25
No 8 105
Special 15
tools made
at the plant
Various
services
balance of Uncom- Anticipated
pleted Product Proofs o
Oil 1 bia Anticipated Bal Prod as of
f
Y Anticipated Prod Anticipated Prod of Uncompleted Coef- 1 June (in
Wholesale Expenditures Costs of Como- Production as of fi- whole-sale
Net Cost Prices for May dity Output 1 June (acdcost) cient prices)
770.1 60
2,150.2 2,200.0 940
1,160.5 1,220.6 680
971.0 990.0 100
1,3C0.o 1,330.5 420
312.0 343.0 170
70.0 56.0 40
644.6 640.5 130
23.4 23.0 14
809.3 1.03 833.6
1.05 2,194.7
1.06 1,452.7
1.02 1,092.4
1.00 1,260.0
1.01 350.5
0.80 63.2
1.00 666.6
0.91 24.0
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The second column of the above table indicates the commodity output ac-
cording to the plan established for the plant by a higher organization. The
actual commodity output is determined on the basis of data supplied by the OTK
and the warehouse for finished products. The balance of uncompleted production
at the beginning of the accounting month is established with the aid of book-
keepingrdata. Anticipated production expenditures for the accounting month are
9.
the cost of commodity anticipated
each commodity in output b
output cost
wholesale prices by
the appropriate coefficient, with ar adjustment to cover the deviation from the
average data due to charges in the design of products, development of new prod-
ucts, or other reasons. The indicated coefficient is computed as the relation-
ship between the cost of the commodity output of the enterprise in current
wholesale prices and the cost of the same products during the preceding three
months.
The anticipated net cost of the balance of uncompleted production at the
end of the accounting month is determined by adding the cost of the balance of
uncompleted production at the beginning of the month to the anticipated produc-
tion expenditures and subtracting the anticipated cost of the commodity output.
For example, in the case of product No 6, the anticipated balance of uncompleted
production equals:
312 + 170 - 135 = 347,000 rubles.
The anticipated balance in wholesale prices of uncompleted production at
the end of the accounting month is determined by multiplying the total net cost
of the anticipated balance of uncc:.plettd production by a coefficient represent-
ing the relationship between the cost of commodity output in wholesale prices
for the preceding three months and its net cost.
lifter the total anticipated balance of uncompleted production has been
established in wholesale prices for the end of the month, it is possible to com-
pute the anticipated gross output for the accounting month. This figure will
equal the commodity output in wholesale prices plus the change in the balance
of uncompleted production for the accounting month in wholesale prices.
It should be borne in mind that the co,t of commodity output and the cost
of the lal.ance of uncompleted production is determined in the current wholesale
prices of a particular enternris(, whil_ czt 0. :.hc output is
determined in wholesale prices effec__'< s of 1 January 1y52. assuming that
in the case o: product No 2 the )rice dropped 10 percent since 1 January 1952,
and that in the case of all other products the prices remained unchanged, the
commodity output in prices of 1 January 1952 would be higher than in current
prices and it would be computed as follows for the accounting month:
2,320 + 1,050 :: 0.11 = 2,435,000 rubles.
On 1 May, the balance of uncompleted production in wholesale prices effec-
tive as of 1 January 1952 for product No 2 is 2,200,000 rubles x 1.11 - 2,442,000
rubles; and on 1 June it is 2,194,700 rubles x 1,11 = 2,436,000 rubles.
The anticipated gross output in this case would equal:
2,435.0 + [(8,060.6 + 241.4) - (7,696.0 + 242.0)J =2,799,000 rubles.
STAT
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STAT
termini 1O1'i"hive aivislons of the plant participate in
de- Production expenditures. They are assisted by special shop commissions
which determine the stocks of materials and purchased semifinished products re=
ceived by the shops and not yet put into production. In this way it is possible
to make a speedy computation, i.e., by the first of the following month, of the
volume of gross output in the accounting month. If the plant has a machine-
accounting station, this work can be simplified even more.
The above-described method of determining the volume of gross output on
the basis of operational accounting data is the most practical of all methods
discussed. However, even with this method the results may differ to some extent
from the final data obtained on the basis of bookkeeping data.
It has become extremely necessary to establish a uniform system for com-
puting the cost of uncompleted production atimachine-building plants and for
determining the gross output on the basis of operational accounting data.
STAT
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