Analysis Of Production Cost Calculation Using Full Costing And Variable Costing Methods To Determine Selling Prices
Keywords:
COGS, Variable Costing, Pricing, MSMEsAbstract
This study aims to analyze the calculation of production costs and the determination of the selling price of Prestoku Milkfish products at the Dbaloy Shop MSME using the full costing and variable costing methods. The approach employed was a mixed-methods design, incorporating observation, interviews, and documentation techniques. The results showed that the complete costing method yielded a COGS of Rp 25,431 per unit, with a selling price of Rp 38,000, whereas the variable costing method resulted in a COGS of Rp 17,394, with a selling price of Rp 27,000. The actual selling price of Rp 25,000 used by the MSME was proven not to reflect the total production costs as a whole. A sensitivity analysis showed that a 10% increase in raw material prices could increase COGS to Rp 26,960, which risks causing losses if the selling price is not adjusted. This study concluded that the complete costing method is more accurate for sustainable selling price planning. MSMEs are advised to periodically evaluate their pricing based on data to maintain profitability and competitiveness.
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