COST ACCOUNTING
INTRODUCTION TO COST ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Assigning costs
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involves the way that a cost is linked to some cost object.
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tells the company why the money was spent.
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to a cost object using a reasonable and convenient method is allocation.
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all of these.
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Explanation:
Detailed explanation-1: -Example of a Cost Assignment A university operates its own maintenance department; the cost of the department is assigned to the various other departments of the university based on their consumption of the department’s maintenance services.
Detailed explanation-2: -Costs are broadly classified into four types: fixed cost, variable cost, direct cost, and indirect cost.
Detailed explanation-3: -Cost allocation is the process of identifying and assigning costs to the cost objects in your business, such as products, a project, or even an entire department or individual company branch.
There is 1 question to complete.