Costs, Prices and Results’ Management: A Study Conducted in Fruit Canning Companies Located in Rio Grande do Sul State, Brazil

  •  Alexandre Vieira Braga    
  •  Marcos Antônio Souza    
  •  Clóvis Kronbauer    
  •  Daniele Gonçalves Braga    


This study aims to examine issues related to the management of inventory, working capital, pricing process and costs in companies operating in the fruit canning segment in the Brazilian state of Rio Grande do Sul. The researched management practices have often been addressed in literature as instruments for achieving greater business efficiency and effectiveness. This empirical study was carried out in 2009 with the eight largest fruit canning companies domiciled in Rio Grande do Sul, those having annual revenues of more than R$12 million. Structured interviews were conducted with the financial managers of the studied companies. Data analysis involved the use of descriptive statistical and correlation techniques between variables. The principal results suggest that: (a) most companies form the stocks of inputs for short-term periods, given the limitations of working capital and debt; (b) most of them use cost system or some form of cost structure, employing traditional techniques for measuring and managing production costs; (c) mark-up, applied to total production cost, is the preferred method for calculating sale prices; (d) the most significant and relevant correlations were observed between the costing methods used and the adoption of the marginal contribution concept, as well as between costing methods and the break-even point technique; (e) many conceptual inconsistencies were identified in the responses, suggesting weaknesses in the professional preparation of those interviewed.

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