Applied Construction Activity 1

Cost accounting

Jean Paul Colorado Pinzón

Yuretzy Tatiana Méndez Zabala
Karen Liseth Matiz Martínez

National Unified Corporation (CUN).

Public Accounting.
Accounting Processes Code 54017 First Block Fourth Academic Virtual Period
2020

August 2020 - Bogotá D.C

Table of Contents

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Bibliographies...................................................................................................................13

Direct labor or indirect manufacturing costs.................................7 Payroll

format........................................................................................................................................8
Direct labor ..............................................................................................................................9
Indirect manufacturing
costs.............................................................................................................9
Expenses...........................................................................................................................................
............10
Depreciation.....................................................................................................................................
........10
Utilities....................................................................................................................................
11

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 Introduction

We want to estimate and know the production costs of a dairy company whose entity
has an agreement with the ICBF who seek to remove that population of children in
grades 0-5 and 6-9 most vulnerable to malnutrition, providing a good food such as
yogurt to help strengthen the nutrition of these low-income children for strata 1 and 2.

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 Company: Lácteos Bertolini S.A.S.

Schools benefited in the San Cristobal sector.

1. College Grades Stratum # of students

2. Lorenzo de alcantuz (°0-°5) (°6-°9) 2 950
3. Between clouds (°0-°5) (°6-°9) 1 1200
4. Colsubsidio (°0-°5) (°6-°9) 2 1250
5. Prince of peace (°0-°5) (°6-°9) 2 1025
6. The nuns (°0-°5) (°6-°9) 2 850
7. The rodeo (°0-°5) (°6-°9) 1 1200
8. Victory School (°0-°5) (°6-°9) 1 1600
9. Atenas School (°0-°5) (°6-°9) 1 1480
10. Enrique Olaya Herrera (°0-°5) (°6-°9) 2 1300
11. Tomas rueda Vargas (°0-°5) (°6-°9) 2 985

The 10 beneficiary schools and the number of students total 11,840 students in grades
0-5 and 6-9, it should be noted that these schools are from strata 1 and 2.

- For the creation of yogurt, Bertolini S.A.S. uses the following raw materials.

1. Whole milk
2. Vanilla essence
3. Peach flavoring
4. Sugar

- The company Lácteos Bertolini S.A.S. is a producer of everything related to dairy

products, therefore the direct ingredients are:

Direct raw material ingredients.

1. Whole milk = $1,800 Lt

Indirect raw material ingredients

1. Vanilla essence = $100,000

2. Flavoring = $50.000
3. Sugar = $350,000
4. Embace = 25 pesos each

• The company must produce (1.5 L) or (1,600 g) and pack them in different
packages in an amount of (0.19 L) or (200 g), the direct labor related to dairy
products in this case the milk of the company LACTEOS BERTOLINI S.A.S the
cost would be as follows.

For milk production, there are 7 hours a day during which an average of (2852 L) or
(2,944,000 g) is produced daily.

7 Hours * 420 Minutes/ 2852 L = 1.03 minutes per unit

Of which (1.5 L) or (1,600 g) are requested for yogurt per carafe for 11,840 students
portioned in (0.19 L) or (200 g).
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 Each 1.5 L or 1,600 g yields 8 carafes = 1480 carafes

• Direct material

Value per liter: 1L = $1.800

Value of the liter processed in quantity: Value L * 2852 L = $ 5.133.600

• Indirect matter

1. Vanilla essence = $100.000 (Yields full amount of yogurt)

2. Peach flavoring = $200.000 (Yields full amount of yogurt)
3. Sugar = $400.000 (Yields the full amount of yogurt)
4. Embace = 25 pesos unit ( 25 each * 11.840 students = $296.000

- For the 1480 carafes of peach yogurt gives a cost of:

Product Value
Milk 5.133.600
Vanilla essence $100.000
Peach flavoring $200.000
Sugar $400.000
Total $5.833.600

- For the production of yogurt divided into 200 g gives a cost of

Product Value
Yogurt in jugs $5.833.600
Yoghurt bag (packaging) $296.000
Total $6.129.600

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• For the distribution of the product in (0.19 L) or (200 g) to the students of the charitable schools gives a cost per unit of:

Unit value of yogurt = $517.78* number of students = value of yogurt per school
College Grades Stratum # of students Unit value Total value to school
1. Lorenzo de alcantuz (°0-°5) (°6-°9) 2 950 $517,8 $491.872
2. Between clouds (°0-°5) (°6-°9) 1 1200 $517,8 $621.312
3. Colsubsidio (°0-°5) (°6-°9) 2 1250 $517,8 $647.200
4. Prince of peace (°0-°5) (°6-°9) 2 1025 $517,8 $530.704
5. Wetting (°0-°5) (°6-°9) 2 850 $517,8 $440.096
6. The rodeo (°0-°5) (°6-°9) 1 1200 $517,8 $621.312
7. La Victoria School (°0-°5) (°6-°9) 1 1600 $517,8 $828.416
8. Atenas School (°0-°5) (°6-°9) 1 1480 $517,8 $766.285
9. Enrique Olaya Herrera (°0-°5) (°6-°9) 2 1300 $517,8 $673.088
10. Tomas rueda Vargas (°0-°5) (°6-°9) 2 985 $517,8 $509.245
11840 $6.129.530

• Each yogurt costs the company $517.8 pesos and cost as it says in the agreement distributed to students in quantity of 200 g, the direct raw
material consists of dairy products manufactured by the company plus this material does not include everything that is not manufactured by the
company such as sugar, flavoring, etc ... this is known as indirect raw material things that are not manufactured by the company.

• Note: The values of this work are budgeted based on personal knowledge and friendships in each of the scenarios presented, such as:
1. Schools
2. Dairy product companies

The research presented here was conducted solely to learn a little more about how yogurt is prepared.

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Cost in terms of direct labor (D.L.M.) and indirect manufacturing costs
(I.M.C.)

For the determination and acceptance of the direct labor cost, a logical order will be
assigned to the production process in such a way that we will define it in three
production departments and in this way establish the need of the D.O.M. for the
production order.

For which the departments are production, sales and administration.

Bearing in mind the following parameters:

• The collaborators and/or operators must work 8 hours a day, 48 hours a week
and 240 hours a month, each of the collaborators required and/or necessary for
the production process must fulfill these hours.
• A monthly salary allowance of $1,000,000 (transportation allowance included
in the same amount). To produce one carafe of yogurt of the desired flavor of
1,600 grams, it takes 13.90 minutes to produce one carafe.
• It should determine the entire benefit burden, taking into account that our
organization is covered by the benefit of not paying the corresponding
percentage of the EPS of 8.5%, the ICBF of 3% and the SENA of 2%.

Where the following is understood as benefit burden:

• Salary: accrued salary + transportation allowance + overtime, if any, and

everything related to labor payment.
• For parafiscal: ARL according to the percentage and/or risk that you as an
organization decide to affiliate the employee or operator + pension 12% +
the family compensation fund of 4%.
• Social benefits = severance pay of 8.33% + interest on severance pay of 1% +
service bonus of 8.33% + vacation of 4.17%.

Therefore, the payroll would be as follows, applying the aforementioned parameters.

The following chart shows the payroll with a payment of $15,803,925, a total of
$4,205,520 for parafiscal taxes, and $3,506,292 for social benefits for a total of
$23,515,737 in benefits.

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 Employee payroll Lácteos Bertolini

PERIOD FROM AUGUST 1, 2020 TO AUGUST 31, 2020

PAYROLL: LACTEOS
AUGUST 2020
BARTOLINI SAS

HOLIDAY AND SUNDAY SOCIAL SECURITY CONTRIBUTIONS EMPLOYEE -

Value of hours worked

OVERTIME COMPANY PROVISION FOR SOCIAL BENEFITS
-69

2,436% ARL 2,436

I %gfa i I
eseudun
7
39

ARL 2,436% ARL

payments 8.33%.
HAVE

8.33% premium
CEDULA

COMMISSIONS

vacation 4.17%
severance pay
worked

worked

employee 4%
Salary

Salary
0 p 3 TOTAL
NAME

Sunday jobs
I Í(

2,436% ARL
Transportation

contributes
,S

severance
TO 2y Z 0 0 PAYABLE

Overtime

compensates
Pension

Pension

em1p2r%esa
u

Hourly value
I d Q.

health
SURNAMES

3 S6o
22* z
m A 0 IL

4.17
BIRTHDAY

1%
INGR L

nocturnal
"
"8

Pension
I Q.

accrued

accrued

pension
9
- E

i
16/08/ Operator 20- O+ 10123 BENAVIDE LINA $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ SURA $ $ 107. $ PORVE 928. $ $ $ $ $ $ N/A
2016
1/09/2 Operator May 654788036 SGOMEZ
AVILA 1.000.00 35.886 57 112.143 FAMISANA 35.886 658 143.54 NIR
PORVE 228
17-Jun A+ ALFREDO $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
015
12/02/ 5887 GAMEZ 1.000.00 $
35.886 57 112.143 TOTALR 35.886 658 143.54 PROTEC
NIR 228
Operator 14-Jul O- 80569723 GAVIRIA JUAN $ 30 $ $ $ $ $ $ - $ - $ - $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
2018
12/03/ Operator Sep 17 O+ 10103 ORTIZ
ALBARRAC MANUEL
SANDRA $ $ $ $ $ $ 1.000.00 35.886 57 112.143 FAMISANA
HEALTH 35.886 658 143.54 TION
PORVE 228
30 $ - $ - $ - $ $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
2018
16/07/ Seller 35662
10135 CORNER PATRICIA $ 1.000.00 35.886 57 112.143 FAMISANA
R 35.886 658 143.54 NIR
PROTEC 228
Oct 13 O+ VELANDIA JULIAN 30 $ $ $ $ - $ $ - $ - $ $ - $ $ $ 37.3 $ $ $ 52.6 $ 403. $ $ $ $ $ $ N/A
2018
16/05/ Mar 874563566 LOPEZ HERNAND $
MARTA $ $ $ $ $ 17.556 07 R 17.556 68 TION 789
Secretary A- 30 $ - $ - $ - $ $ $ 111. $ FAMISANA $ $ 158. $ PROTEC 1.314.222 $ $ $ $ $ $ N/A
2016
16/05/ Administrat 30
Dec O+ 5239 10146 DIAZ
BALLEN CECILIA
JUAN 1.316.70
$ $ $ $ 1.419.55 52.668 920 164.588 COLSANITA
R 52.668 004 210.67 TION
30 $ - $ $ - $ - $ - $ $ $ 186. $ $ $ 263. $ PROTEC 2.018.946 $ $ $ $ $ $ N/A
2016
16/05/ or 20 325985369 RUIZ
DUARTE ANTONIO 2.194.50 2.194.50 87.780 533 274.313 COLSANITA
S 87.780 341 351.12 TION
Operator Sep 12 O+ ROBERT $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ $ $ 107. $ PROTEC 928. $ $ $ $ $ $ N/A
2016
16/05/ 8742 4198 BENAVIDE
CASTRO ALBERTO $ $ $ $ $ $ 1.000.00 $
35.886 57 112.143 COLSANITA
S 35.886 658 143.54 COLPEN
TION 228
Operator Feb 2 O+ 30 $ - $ - $ - $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
16/05/ Operator 8-Aug A- 7524 1471 SRODRIGUE MIGUEL
ANA $ $ $ $ $ $ 1.000.00 35.886 57 112.143 S 35.886 658 143.54 SIONES
COLPEN 228
30 $ - $ - $ - $ $ $ 76.2 $ NEW EPS $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
16/05/ Operator 28-Jun A+ 2325 3956 ZLOPEZBELLO MARIA 1.000.00 35.886 57 112.143 35.886 658 143.54 SIONES
COLPEN 228
SERGIO $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ NEW EPS $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
16/05/ 4287 1421 DUARTE 1.000.00 $
35.886 57 112.143 35.886 658 143.54 PORVE
SIONES 228
Operator 13- A+ JOSE $ 30 $ $ $ $ $ $ - $ - $ - $ $ 76.2 $ NEW EPS $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
16/05/ Operator Feb 5102
10001 MARTINEZ 1.000.00 35.886 57 112.143 35.886 658 143.54 NIR
PORVE 228
Oct 26 O- QUIJANO EZEQUIEL $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ NEW EPS $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
16/05/ Operator Oct 25 O+ 623692369 DIAZ DIAZ NATALIA $ $ $ $ $ $ 1.000.00 35.886 57 112.143 TOTAL 35.886 658 143.54 NIR
PORVE 228
30 $ - $ - $ - $ $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
2016
1/03/2 8542 5269 1.000.00 $
35.886 57 112.143 COMPENS
HEALTH $ 35.886 658 143.54 COLPEN
NIR 228
Operator Nov O+ GONZALEZ ALEJANDR $ 30 $ $ $ $ $ $ - $ - $ - $ $ 76.2 $ $ 107. $ 928. $ $ $ $ $ $ N/A
016
1/03/2 Operator 11 Dec O+ 8745 10235 GALLEGO A 1.000.00 35.886 57 112.143 COMPENS
ATE 35.886 658 143.54 SIONES
COLPEN 228
ARTURO $ 30 $ $ $ $ $ $ - $ - $ - $ $ $ 76.2 $ $ $ 107. $ 928. $ $ $ $ $ $ N/A
016 31 47895 LEAL 1.000.00 35.886 57 112.143 ATE 35.886 658 143.54 SIONES 228
DEVENDED DEDUCTIONS
APPROPRIATIONS
TOTAL PAYABLE $
1.327.106

$ $ $ 380.333 $ 1.420.512 $ 624.520 $ $

1.873.561 14.205 $ 651.063 $ 1.420.512
15.803.925 3.090.633
 Direct labor costs

To produce one carafe of yogurt in 13.90 minutes requires 13 operators with their
respective transportation allowance, applying the respective deductions and paying
$928,228, applying all the legal requirements.

DIRECT LABOR OR (M.O.D.)

WORKER'S SALARY $ 897.146

AUXI TRANSPORT $ 102.854
TOTAL ACCRUED $1.000.000
LESS DEDUCTIONS ARE PAID $ 928.228

Therefore, for the production of a 1600 g carafe in 13.90 minutes, the following number
of personnel is required.

ESTIMATED PERSONNEL TO DRAW A CARAFE

AT 13.90

GARRAFA 1600
CARAFE TIME 13,90
PERSONAL AMOUNT 13

Therefore, if we do the operation in this way, these 13 people a day would be producing
180 carafes of 1600 grams, for which we can conclude that for direct labor would be
spent only in the production area $12.066,964 this is the payroll of the production area
alone plus $5,133,600 for the milk which is the raw material for a total of $17,200,564.

Indirect manufacturing costs or C.I.F.

Cost of production

Product Value
Vanilla essence $100.000
Peach flavoring $200.000
Sugar $400.000
Total $700.000
The indirect manufacturing cost has a value of $700,000 for the 1480 carafes, not
including administrative and facility costs, which are included below:

SALES AND ADMINISTRATIVE STAFF

CONCEPT VALUE

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 VENDOR $ 438.901
SELLER'S COMMISSION 1%. $ 61.308
ADMINISTRATOR $ 2.194.507
SECRETARY $ 1.316.704
TOTAL $ 4.011.420

These are a total expense of $4,011,420 in complementary personnel for the production
of our yogurt, where the salesperson has only 0.5 SMLV with a sales commission of 1%
without transportation allowance, the administrator earns 2.5 SMLV and the secretary
m1.5 SMLV, this only in complementary personnel for our operation.

EXPENSES

The following expenses apply for the cost of the lease, the accountant's fees and the
cameras and satellite alarm:

ANNEX PAYMENTS
T-SHIRT SELLER $ 69.000
LEASING $ 3.500.000
70% PLANT PRODUCTION $ 2.450.000
30% ADMINISTRATIVE PART $ 1.050.000
ACCOUNTANT FEES $ 850.000
SATELITE CAMERA AND ALARM $ 289.000
WITHOUT
VAT CAMERAVATAND ALARM $ 54.910
TOTAL EXPENSES $ 8.262.910

This table shows the salesperson's T-shirt for $69,000, the lease of the main plant where
70% corresponds to the production area and 30% to the administrative area, the
accountant's fees and the value of the camera service and the satellite alarms together
with their VAT.

Depreciation:

Therefore, when a plant has a useful life of 10 years of production, depreciation is

applied to the plant as follows:

1
0
 Annual depreciation $ 80.000.000,00 D.A
useful life of the year 10$ 8.000.000
Monthly depreciation $ 8.000.000 D.M
BUILDINGS LIFE 10 YEARS
life of the month 12$ 666.667
Daily depreciation $ 666.667 D.D
day life 30$ 22.222
Annual depreciation $ 60.000.000 D.A
useful life of the year 10$ 6.000.000
PRODUCTION EQUIPMENT Monthly depreciation $ 6.000.000 D.M
LIFE 10 YEARS life of the month 12$ 500.000
Daily depreciation $ 500.000 D.D
day life 30$ 16.667
Annual depreciation $ 15.000.000 D.A
useful life of the year 5$ 3.000.000
OFFICE EQUIPMENT Monthly depreciation $ 3.000.000 D.M
USEFUL LIFE 5 YEARS life of the month 12$ 250.000
Daily depreciation $ 250.000 D.D
day life 30$ 8.333

Depreciation of plant, office and building equipment totaling $17,000,000 on a straight-

line basis, the company decided not to manage a salvage quota on its fixed assets.

Depreciation by the straight-line method, the value of each

depreciation is zero, there is no salvage value.
ACCOUNT ASSET VALUE D ANNUAL
BUILDING $ 80.000.000 $ 8.000.000
PRODUCTION EQUIPMENT $ 60.000.000 $ 6.000.000
OFFICE EQUIPMENT $ 15.000.000 $ 3.000.000
TOTAL$ 17.000.000

Utilities

Everything in our production process has an influence, so here we must take into
account utility expenses, which are allocated to the production process as follows:

PUBLIC SERVICES
total public services $ 1.000.000
aqueduct and sewerage $ 500.000
electric power 35 $ 350.000
telephony 15% of the total $ 150.000

As the companies are affiliated for greater security in case of any event, the company
decides to pay an insurance against everything for $14,000,000 without VAT, which is
worth $2,660,000 for a total of $16,660,000.

1
1
Total labor cost

Which if we determine it in the following way our direct labor costs are as follows:

DIRECT LABOR
PARAFISCALS $ 4.205.520
LABOR $ 12.066.964
SOCIAL BENEFITS $ 3.506.292
RAW MATERIALS $ 5.133.600
TOTAL $ 24.912.376

The following accounts are assumed in indirect manufacturing costs:

INDIRECT MANUFACTURING COSTS

SALES AND ADMINISTRATIVE PERSONNEL $ 4.011.420
ANNEX PAYMENTS $ 8.262.910
DEPRECIATION $ 17.000.000
PUBLIC SERVICES $ 1.000.000
TOTAL $ 30.274.330

For which the total amount is $55,186,706

Where we apply an additional 10% corresponding to the prime cost value for a total of
$27,403,613, which is equivalent to the cost of raw materials plus the value of direct
labor,

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2
 Bibliographies

1. Industrial yogurt production:

(food industries, 2020) http://inds-
alimentarias.blogspot.com/2017/07/07/proceso-de-produceso-de-produccion-
de-yogurt- level.html

2. Preparation of alpine type yogurt:

(Mejor con salud, 2020) https://mejorconsalud.com/receta-preparar-yogur-
tipo-alpin

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