Factors Affecting the Decision to Apply the Material Flow Cost Accounting Method in Steel Manufacturing Enterprises in Thai Nguyen Iron and Steel Industrial Park, Vietnam

International Journal of Economics and Management Studies

© 2021 by SSRG - IJEMS Journal

Volume 8 Issue 8

Year of Publication : 2021

Authors : Nguyen Thi Kim Huyen, Nguyen Thi Hoang Oanh

10.14445/23939125/IJEMS-V8I8P112

How to Cite?

Nguyen Thi Kim Huyen, Nguyen Thi Hoang Oanh, "Factors Affecting the Decision to Apply the Material Flow Cost Accounting Method in Steel Manufacturing Enterprises in Thai Nguyen Iron and Steel Industrial Park, Vietnam," SSRG International Journal of Economics and Management Studies, vol. 8,  no. 8, pp. 74-80, 2021. Crossref, https://doi.org/10.14445/23939125/IJEMS-V8I8P112

Abstract:

This study uses the results of surveys and interviews with questionnaires to analyze the factors affecting the decision to apply Material Flow Cost Accounting (MFCA) in steel manufacturing enterprises in Thai Nguyen Iron and Steel Industrial Park of Vietnam. From the research hypotheses and the designed survey, the authors carried out a sociological survey with 90 accountants and managers in 6 Thai Nguyen steel manufacturing enterprises then used SPSS 22.0 software to perform the necessary analysis. The results show that applying MFCA to the manufacturing process in these enterprises depends on the System of legal documents related to the environmental accounting, the Enterprises’ strategies, the Business resources, and the current Accounting system of the enterprises. These are the factors that have a positive and statistically significant influence on the decision to apply MFCA in these enterprises. However, the standardized regression model of the factors explains only 65% of the change of the dependent variable that is the decision to apply the MFCA.

Keywords:

Material Flow Cost Accounting, MFCA, Factors, Steel production enterprises, Decision to apply.

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