PART I ...........................................................................................Error! Bookmark not defined. BACKGROUND ...........................................................................Error! Bookmark not defined. 1.1. 1.2. The problems ...................................................................Error!

Bookmark not defined. Research objective............................................................................................................ 4

1.2.1. General object. .............................................................................................................. 4 1.2.2. Specific objectives.......................................................................................................... 4 1.3. Scope of the research........................................................................................................ 4 Time range: From 7/5/2012- 20/52012..................................................................... 4 Space range: ............................................................................................................. 4

1.3.1. 1.3.2.

1.3.3 objective ..........................................................................Error! Bookmark not defined. Part II .............................................................................................Error! Bookmark not defined. INTRODUCTION .........................................................................Error! Bookmark not defined. 2.1. Profession of the Company .................................................Error! Bookmark not defined. 2.2. Locatedt ...............................................................................Error! Bookmark not defined. 2.3. Organization structure of Company ....................................Error! Bookmark not defined. PART III ......................................................................................................................................... 8 SOLUTION AND RESULT OF THE COMPANY ...................................................................... 8

3.1. The concept of materials and cost of materi...............................................9

3.2. . The solution to improve management efficiency, used materials in the company: .... 10 3.3. The results of company after apply solution ................................................................... 12 3.4. Evaluation of the solutions: .............................................................................................. 13 PART IV ....................................................................................................................................... 14 CONCLUSION ............................................................................................................................. 14 PART .V. REFERENCES ............................................................................................................................. 15

Management raw material cost at supplies equipment agricultural product joint-stock company

Part I.

Background

1.1.

The problem

During the world economic integration, the competition is always an important factor, which requires enterprises remove difficulties, active in business and production process to ensure a profit. Consumers prefer high-quality products, low prices. recognize that enterprises need have methods to produce quality products, and affordable, making the difference and attract the attention of customers to create competitive advantage for businesses industry. one of the methods to lower cost-saving products and as the inputs such as raw materials, labor and other costs ... Any business should have raw material costs and costs proportion from 60-70% production costs. so management cost of material are complex . enterprises must find costsaving measures, lowering production costs. there are many tools management cost of material with different materials. But the management must be made upon receipt of input,

until production reserves, must be managed well at each stage. Therefore, the management cost of materials is indispensable content in any production of any business. The managers have to capture exactly information on reserves, import-export collection and recording to produce more effective. The management of materials including: managing the quantity value Import - Export - Conservation, management type, quality and management of consumption norms of raw materials.

Mechanical production and construction occupy large proportion of the the structure of the activity device Corporation supplies agricultural products with sales up about 70% of total revenue of the company. Therefore the cost of materials occupy a large proportion of the total assets of the company. Before 2011, the material management has not been adequate attention to the loss or waste of corporate assets. Specifically: In the production process, materials may be managed, close monitoring should lead to excess consumption for causing losses to the company. Marterial production put to use is large quantities so waste materials is much significant before the company has monitored closely leading to irrecoverable value of this waste. The inscription records reflecting the number of import materials, Marterial production supplies in storager not well , on the other hand the comparison between the storager and the accounting department has not been done regularly, and inventory should not be noticeable so the data between the storager, accounting and real exist in storage is different. With the world economic situation and Vietnam are facing many difficulties and rising costs, market stall. This requires companies have to actively seek solutions to improve business efficiency, cost savings to the company overcome this difficult period and growing. From all of above, we chosen the case study:'' Management material supply cost at agricultural equipment joint stock company''

1.2 .Research objective

1.2.1. General object.

To study the management raw materials costs

at supplies equipment

agricultural product joint-stock company which proposed a number of measures to manage the cost of raw materials more efficiently 1.2.2. Specific objectives. Learn about the management of raw material through the exchange, and interviews with subjects related to the problem and the company has solved and how the results achieved after the companies implement solutions. 1.3. Scope of the research

1.3.1.

Time range: From 7/5/2012- 20/5/2012

1.3.2. Space range: Research at agricultural equipment joint stock company. 1.3.3. Objective: Management material supply cost at agricultural equipment joint stock company.

Part II.

INTRODUCTION

2. 1. Profession of the company:

Corporation supplies agricultural equipment was converted from Business Equipment Company supplies agricultural products 3973/QD/BNN-TCCB Decision of 10 November 2004 the Minister of Agriculture and Rural development, and operation by the certificate of business registration No. 0103007359 Corporation April 11, 2005 by Department of Planning and Investment of Hanoi city level.

Therefore, Business Trade of Company are:

Industrial machinery manufacturing, food industry Black metallurgy industry, ferrous metallurgy industry;The cellulose and paper industry;Wholesale trade, retail sales of beverages; Business and motorcycle assembly, the refrigeration equipment; Survey, investigation planning, investment and constructionprojects (excluding construction survey); Investment and trading houses, hotels and tourism (excludingtrading bars, karaoke, dance halls); Services for office space, warehouses, workshops, product display; Business and Automotive Maintenance; Mechanical design, fabrication, installation and sales of spare parts and equipment, agricultural machinery, forestry, irrigation, salt production, processing technology, hydropower, construction; Design, fabrication and installation of lifting equipment; Repair, maintenance and restoration of equipment, parts, motorcycles and machine tools;

- 2.2. Located

Headquarters of the Company are: Km 9 - Highway 1A - Hoang Liet - Hoang Mai Hanoi

The company's charter capital is VND 8,700,000,000 (eight billionseven hundred million) equivalent to 870,000 shares, par value of each share is 10,000 dong.

Among: State Capital Investment: 4,584,000,000 VND Capital contributed by shareholders: 4,116,000,000 VND.

2.3. Organization structure of company

The structure, organization structure:
Board of Directors

Director

Head of TechniquesQualities

Head of Business

Head of FinanceAccouting

Technique s Officer

KH_KT officer

Equipment Officer

Business Officer

Acount Officer

TCHC officer

2.3. Organization of accounting at the company

- The duties of the Finance and Accounting office + How to inspect, collect the full and prompt accounting documents + Assist directors to guide the department in the Company recorded a full service operating daily for all business operations of the Company as well as all areas related to financial and accounting field full company. + Join the inventory of assets, preservation organizations, keeping accounting records as prescribed.

CHART:

ORGANIZATIONAL

STRUCTURE

OF

THE

COMPANY

ACCOUNTING

Chief Accountant

Accounting supplies, collection costs and production costs

Salary accountant and cashier

Debt accounting, sales

Accounting of cash, bank deposits

applicable accounting regime in the enterprise. - Fiscal starting on 01/01 and ends on 31/12 each year. - The currency unit used in accounting records: Vietnam dong (VND). - Applicable accounting regime: enterprise accounting regime issued Decision No.

15/2006/QD-BTC dated 20/03/2006 of the Minister of Finance. - Form of application of accounting: general journal. - The accounting method of inventory: + This method of inventory accounting: Declaring a regular basis.

The situation of production and business operations of the company in 3 years Targets 1. Revenue of sales goods and services 2. Deductions 3. Net Revenue of sales goods and services 4. Cost of goods sold 5. Gross profit of sales goods and services 6. Revenue from finance 7. Cost of finance + Among: Interest Expand 8. Cost of sales 9. Enterprise Cost Management 10. Net profit from business activities 11. Other Income 12. Other Cost Code 01 02 10 11 20 21 22 23 24 25 30 31 32 40.285.572.727 32.886.226.308 7.399.346.419 31.159.413 1.502.607.260 1.502.607.260 1.610.817 4.187.518.357 1.738.769.398 3.837.961.655 1.714.179.039 133.677.139 3.526.867.216 1.398.024.321 2.254.665.471 559.833.521 290.217.496 2010 40.285.572.727 38.983.246.053 33.062.400.472 5.920.845.581 8.659.485 870.936.390 2009 38.983.246.053 33.961.742.823 2008 33.961.742.823

28.360.983.44 5.600.759.379

52.882.28

1.743.689.03 1.743.689.032

3.619.735.13

964.297.01

20.323.30

13. Other Profit 14. Profit before tax 15. Income tax expense Current enterprise 16. Income tax expense Deferred 17. Profit after tax corporate income

40 50 51 52 60

2.123.782.616 3.862.552.014 1.010.673.990 2.851.878.024

1.694.831.950 3.092.856.271 270.949.654 2.821.906.617

943.973.710 1.234.191.206

40.631.02

1.193.560.181

PART.III.

SOLUTION AND RESULT OF THE COMPANY

3.1. The concept of materials and cost of material

Raw material is the object of labor is expressed in physical forms, is one of three basic elements of the production process, the object of labor, labor is the basis of forming entities products. Cost of materials is a direct cost of these types of materials constituting the product, great value and can be separately identified clearly specific to each product. Costs of materials directly include the cost of main raw materials, auxiliary materials, components or parts thereof, rotation of materials involved constituted entity products. Cost of materials is calculated at current prices when production use, there is the cost of purchasing, transportation from place of purchase where the warehousing or export

directly to the consumer.

Costs of materials directly include: * Cost of materials; * The cost of storage; * Order costs; * Loss due to shortage of raw material storage; 3.2. The solution to improve management efficiency, used materials in the company In late 2010, the company inventory and classification of the entire inventory of supplies, find out the cause and offer solutions to handle the difference between the accounting records, stock records and actual inventory. To improve management processes raw materials from the elaboration of consumption rate to the stage of purchasing and warehousing use. Specifically: Technology department based on technical factors to build the consumption norms of raw materials in accordance with the actual production situation. Eequipment and supplies office based on production plans and consumption norms of raw materials to manage the import and export the raw materials to ensure appropriate amount of inventory to help the uninterrupted production and does not cause losses and waste. The process of import - export is tightly controlled warehouse: Warehousing: materials office based on inventory and production planning for timely ordering raw materials. Imported materials are quality control, types compared with the contract, if satisfy the conditions will be warehoused by the actual number, storekeepers do warehousing bills. An warehousing bills and invoices are forwarded to the accounting department as a basis for accounting and storage. Inventory: Based on the proposed raw material of the production department, the exwarehouse inventory as raw materials. Delivery orders are sent a copy to the accounting department as a basis for accounting.

Accounting department has to improve the management of invoices, vouchers and frequent comparison with the data warehouse.

Every day, the stock must be listed Import - export to the accounting department sent promptly to economic transactions arising in the books. Every quarter, conducting inventory of materials and comparison with stock records, tables Import - export accounting exists to promptly detect the loss of materials and detect errors in the record, reflecting the industry service.

Materials to use all of the re-warehousing or monitored separately to ensure no loss. The recovered waste clean-up and closely monitored.

3.3. The results of company after apply solution After conducting inventory of materials and process the detected differences. Stock records and accounting books were monitored simultaneously fitted properly reflect the actual number of stock. The classification, rearranging inventory of creating favorable conditions for the management of materials in this period and accounting periods. Through the inventory, found some old stock materials are no longer in use, shall liquidate the company to recover a sum of other income for the company. Consumption rate was rebuilt on a consistent basis with the actual production situation, avoid waste. From the accounting department helps determine the cost of materials and production costs easier and more relevant to the actual production situation of the company. The import-export of raw materials required in accordance with actual production to help company use capital more efficiently. Previously, the inability to manage the inventory store so easily lead to this situation, the excess material while others are missing materials, or buy materials that do not fit with production demand and led to the accumulation capital, while companies still have to borrow so much ... in 2011 no longer such a situation again: raw material inventory is always consistent with the actual production situation, ensure uninterrupted production.

Invoices and vouchers that have a connection with materials are kept fully and carefully, ensuring reasonable book fully and promptly. Ensure stock records match the table of Import - export - exists because accounting track. All the materials are not used or re-enter the store is managed separately in the factory to avoid the loss out. The waste is collected and sold contributed to higher other income in the period.

INCOME STATEMENT For the period

ITEM 1. Revenues from sale of goods and rendering of services 2. Deductions 3. Net revenues from sale of goods and rendering of services 4. Costs of goods sold and services rendered 5. Gross profit from sale of goods and rendering of services 6. Income from financial activities 7. Expenses from financial activities - In which: Interest expenses 8. Selling expenses 9. Administration expenses 10. Operating profit (loss) 11. Other income 12. Other expenses 13. Other profit (loss) 14. Profit (loss) before tax 15. Current Enterprise Income Tax expense

Code 01 02 10 11 20 21 22 23 24 25 30 31 32 40 50 51

Year 2011 52,371,244,545 52,371,244,545 42,752,094,200 9,619,150,345 34,275,354 1,803,128,712 3,221,634 5,025,022,028 2,822,053,325 3,070,369,324 1,542,761,135 1,527,608,189 4,349,661,514 761,190,765

Year 2010 40,285,572,727 40,285,572,727 32,886,226,308 7,399,346,419 31,159,413 1,502,607,260 1,610,817 4,187,518,357 1,738,769,398 3,837,961,655 1,714,179,039 2,123,782,616 3,862,552,014 1,010,673,990

Year 2009 38,983,246,053 38,983,246,053 33,062,400,472 5,920,845,581 8,659,485 870,936,390 133,677,139 3,526,867,216 1,398,024,321 2,254,665,471 559,833,521 1,694,831,950 3,092,856,271 270,949,654

16. Deferred Income Tax (expense) credit 17. Net profit (loss) after tax #REF!

52 60

3,588,470,749

2,851,878,024

2,821,906,617

Reviews: Through an overview assessment of business operating results of the Company, we see that the business situation of the company quite well as sales and profits increased steadily over the years.

3.4. Evaluation of the solutions General solution that the company group made relatively uniform, in accordance with the production situation of the company and giving practical effect in the management of raw materials costs: Warehousing is arranged in a scientific way to help ease in warehousing, raw materials management; the frequent comparison between test data and the accounting department Storekeeper detects, timely handling of errors occurring raw used a reasonable cost savings; the recovery of waste increases an additional income for the company .... However, the fact-finding process at the company, found that still exist some need for further improvement. Specifically: The vote warehouse full raw materials not signed by all parties involved, usually signed by the treasurer. This affects the authenticity and validity of transactions and documents. Factly, not every day Storekeeper full set of votes Import - Export repository and preparation of summary Import - Export to send up the accounting department which could be two weeks or three weeks to send a set time. Therefore, the monitoring of the accounting department be delayed. On the other hand, because it can develop professional Import - Export, if no general right Storekeeper can lead to missed business ... Accordingly, when proposed bill Import - Export warehouses need to be certified by

all relevant parties to ensure the reasonableness of arising. Every day, the Storekeeper needs to gather votes Import - Export to send up the accounting department to ensure timely accounting reflects the economic operations arise. On the other hand, every week, the Storekeeper tabulated Import - Export Conservation raw materials for comparison with the accounting department. To ensure objectivity in addition to the periodic inventory drive the company should have the extraordinary inventory drive in order to promptly detect fraud, errors if any.

Part IV.

Conclusion

In the economic integration, Vietnam economy have to face with difficulties and challenges, companies need management innovation to improve the efficiency of business activities, cost savings, lower production costs, make sure profit for the company. Cost of materials is an expense item, accounting for a large share in the structure of production costs. So managing good raw materials will contribute to improving business efficiency, lower production costs. Like other manufacturing businesses, the directly Materials cost in Agricultural equipment and supplies join stock company have a large proportion of production costs at the company.

Aware of this important role, the Company, conducted the entire control system managing in general accounting and materials managing in particular in order to offer solutions to improve efficiency in the materials management. The company's solutions offer fairly synchronous and bring significant results are recorded for accounting year 2011. Through the discovery process in the company, students boldly launched a number of separate proposals. Hopefully this solution will contribute to further improve.

PART V. REFERENCES
1. Gio trnh k ton cng trong n v hnh chnh s nghip. 2. PGS.TS PHM TH GI, phn tch hot ng kinh doanh, trng hc kinh t quc dn,NXB kinh t, 2006 3. PGS.TS PHM TH M DUNG, THS, NGHUYN VN SONG,K ton qun tr, NXB Nng Nghip H Ni, 2000 4. DNG TH LAN ANH, Qun l nghuyn vt liu ti cng ty c phn thit b vt t nng sn, lun vn tt nghip hc khoa k ton v qun tr kinh doanh trng hc nng nghip h ni 5. http://tailieu.vn/ 6. http://www.webketoan.vn/trangchu/ 7. http://www.tapchiketoan.com/

8. Trang web cng ty c phn thit b vt t nng sn: www.tim1s.vn/vattu-nongsan