Improvement of Accounting for the Process of Finished Goods Processing

The article examines the theoretical and methodological foundations of production costs, product cost, and processing cost concepts. The scientific views of national and foreign scholars are analyzed, and the distinctions between these economic categories are substantiated. The study also explores the classification of production costs, the allocation of manufacturing overhead, and the current procedure for cost formation. The mechanism for determining processing costs in accordance with the requirements of IAS 2 “Inventories” is highlighted. As a result of the research, an improved system of indicators for production costs and product cost has been developed, and scientific conclusions have been formulated regarding their proper reflection in accounting.