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Vol 173
Pages:
207-210
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RUS

Choice of cost carriers at distribution of overhead costs of structural subdivisions of oil and gas production

Authors:
E. V. Shvareva1
D. V. Golubev2
About authors
  • 1 — Postgraduate student G.V. Plekhanov Saint Petersburg Mining Institute
  • 2 — Oil and gas production company Siberian-Texas CJSC Goloil
Date submitted:
2006-11-24
Date accepted:
2007-01-12
Date published:
2007-05-01

Abstract

In a foreign practice three ways of an estimation of an overhead charge proceeding from specificity of the enterprise and a choice of carriers of costs are used. The first method is connected with concept of normative cost. This method is based on an estimation of an expected average level of business which will satisfy average demand from buyers within 3-5 years. Advantage of the given method is that long-term charges can mean more, than short-term fluctuations. In conditions of Russia the estimation for such period can be problematic, therefore this method has not found application. The method most widely used in the West – budgeting of annual volume – is based on an expected level of production next year. Advantage of the given method consists that it is easier to make forecasts for shorter period of time. However it is more subject to annual fluctuations. And, at last, the third method is based on the maximal practical capacity of manufacture. This method yet very much we shall apply in Russia as capacities of many enterprises are poorly loaded.

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