Y = C + I + G
Y = gross domestic product
C = consumer spending
I = consumer + government savings
G = government spending
There are three components of a cost sheet. These components are the prime cost, the factory cost, and the total cost.
Extraction, Production, Distribution, Consumption, and Disposal. Those are the five components of the materials economy.
Consumption is largest spending components of GDP.It consists of private(household final consumption expenditure) in the economy.
The consumption of bear is not recommended.
Consumption and Savings
Direct labor and direct materials are the two main components of prime cost. Another component of prime cost is direct expense.
The principal components taken into account to calculate the cost of capital are the following: The dollar cost of debt, the dollar cost of preferred stock, and the dollar cost of common stock.
eoq =economic ordering cost is constant
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.
Regulates daily consumption of resources.
Regulates the daily consumption of resources
Performance Cost