Improving the Methodology for Applying Process Costing in Uzbekistan

This article examines the theoretical and methodological aspects of applying process costing to determine product cost in continuous and sequential production processes. It systematizes the calculation of product-unit flows, equivalent units, conversion costs, work in progress, and costs transferred between processes. Based on a comparative review of international and local academic approaches, together with the requirements of IAS 2 Inventories, the article proposes a process-costing report and a system of accounts for accumulating costs by production stage. The proposed methodology supports a reasoned measurement of finished goods and work in progress, strengthens control over cost flows, and improves the reliability of financial reporting information.