Electricity cost not a controllable cost. The manager cannot influence this type of expense.
To the extent where a cost cannot be managed it is indeed a non controllable, now for electricity, to the extent where consumption can be raised or lowered it becomes a controllable cost. If the consumption can be optimized through processes or equipments it then is a controllable cost.
payroll is not controllable cost.
controllable cost
Discretionary cost is that amount which is at somebody's discretion like manager etc. Controllable cost is that amount which is in the hands of management to be controlled or not like advertisement expenses etc.
Controllable costs are costs that a manager or department has authority and responsibility over, such as direct material cost. With uncontrollable costs, management has no control over the cost or when they must be paid, such as liability insurance.
No. Depreciation would be considered an uncontrollable cost because it is fixed
payroll is not controllable cost.
A controlable cost is a cost a manager can control. For example, if I am in charge of HR at a company, the dollars I spend on advertising open positions is a controlable cost. An uncontrollable cost, would be, the price my business pays for electricity.
controllable cost
Discretionary cost is that amount which is at somebody's discretion like manager etc. Controllable cost is that amount which is in the hands of management to be controlled or not like advertisement expenses etc.
Controllable costs are costs that a manager or department has authority and responsibility over, such as direct material cost. With uncontrollable costs, management has no control over the cost or when they must be paid, such as liability insurance.
No. Depreciation would be considered an uncontrollable cost because it is fixed
Non controllable costs are those things over which the manager has no control. One example is the need to replace a major piece of equipment due to breakage.
Controllable margin is most useful for assessing the efficiency of a company's operations management in controlling variable and semi-variable costs. It helps identify the portion of operating income that can be directly influenced by management decisions and actions. This metric is particularly valuable for evaluating the effectiveness of cost control measures and improving profitability.
time saving cost effective cost saving its easily controllable
volume variance relates to Fixed cost absorption, where as controllable variances arise due difference in actual variable spending per activity measure.
electricity
By reduction in operating items and using recycle items then we can control cost by using those resources which we already used it example if the guest used half shampoo, and he threw it but at the same time if we collect it in large quantity and we refill it it reduce the cost.