Background Note | HBS Case Collection | August 1997

Accounting for Manufacturing Companies

by Srikant M. Datar


The accounting for a manufacturing company is examined, including the flow of costs from raw materials to work in process to finished goods and the distribution between an inventoriable or product cost and a noninventoriable or period cost.

Keywords: Cost Accounting; Product; Cost; Distribution; Accrual Accounting; Accounting; Manufacturing Industry;


Datar, Srikant M. "Accounting for Manufacturing Companies." Harvard Business School Background Note 198-019, August 1997.