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Is cost driver has direct cause-effect relationship to a cost?
LynlieEswanMiranda
Yes cost drivers are the main elements causing specific cost to be happend that's why it has direct relationship with cause-effect.
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∙ 9y ago
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When would you use direct labor as cost driver?
In labor intensive industry direct labor cost is used as cost driver.
Is Gross Receipt Tax a direct cost?
No gross receipt tax does not has any relationship with production of goods that's why not a direct cost.
What is the definition of labor ratios?
cost relationship between direct and indirect.
What is other direct cost?
Other direct cost is direct cost other than direct material and direct labor which is prime cost of production.
Distinguish between volume based and non-volume based cost drivers?
Volume based drivers are cost drivers which relates to the things like no. of units made, direct labout cost and number of direct labour costs etc and is similar to the tpe of cost driver for unit-related activities
What is the sum of direct labor and direct materials called?
prime cost = direct labour cost + direct material cost + direct expenses
What is difference between Direct Cost and Direct Costing?
Direct cost is cost of product while direct costing is the process which study or accounts the direct cost allocation to products.
What is a cost driver?
A cost driver is a factor that causes variations in a cost.
What is the relationship between direct and indirect costs?
Direct costs: Those costs that are linkedto a specific cost objective like product/service. Indirect costs: Those costs that CANNOT be directly linked to a particular cost objective and incurred for multiple cost objectives. Can also be called Common Cost.
Example of cost driver?
cost driver examples
What is the average direct labor cost in manufacturing?
Average direct labor cost is the opening direct labor cost + closing direct labor cost / 2
Is direct material a selling cost?
is direct cost a? Selling cost, manufacturing costs, direct, manufacturing cost indirect, general and administrative cost, fixed cost , variable cost, is direct cost a? Selling cost, manufacturing costs, direct, manufacturing cost indirect, general and administrative cost, fixed cost , variable cost,
