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What is the activity that is thought to cause a cost to be incurred?
Wiki User
∙ 13y ago
The activity that is thought to cause a cost to be incurred is called an
Wiki User
∙ 13y ago
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What are the cost drivers which are used in apportioning overheads cost under activity based budgeting?
Cost drivers are activities due to which cost incurred for expample as many time as machines are setup for production as many time machine setup cost will be incurred so matchine setup is cost driver.
What does cost incurred mean?
The word "incur" means to acquire or sustain a negative benefit as a result of another activity. A cost incurred is a generally undesirable one brought about by a business or financial activity.Example: closing a factory will require expenditures to shut down the site, remediate any hazards, and settle existing employment contracts.
A cost that is previously incurred and irreversible is known as?
opportunity cost historical cost
What is the difference between obsolence cost and deteroration cost?
Obsolence cost is that cost which is incurred by company due to obsolence of any assets of business while deteroration cost is the cost which is incurred by small deteroration of any asset of business.
What is the principles and characteristics of cost accounting management accounting and financial accounting?
Principles of Cost Accounting:- 1. It implies the cause ,and effect in the department in some way or the other to which it has incurred. 2. It takes place after it has incurred. 3. must not be on the determinance of prudence, it must be based on actual facts and figures. 4. past cost should not form the basis of future cost.
How would you define a cost?
A cost is generally understood to be that sacrifice incurred in an economic activity to achieve a specific objective, such as to consume, exchange, or produce.
What are the cost drivers which are used in apportioning overheads cost under activity based budgeting?
Cost drivers are activities due to which cost incurred for expample as many time as machines are setup for production as many time machine setup cost will be incurred so matchine setup is cost driver.
What type of cost is incurred regardless of how much of a good or service is produced?
This type of cost is known as a Fixed Cost: a cost that remains constant, regardless of any change in a company's activity.
What type of costs is incurred regardless of how much of a good or service is produced?
This type of cost is known as a Fixed Cost: a cost that remains constant, regardless of any change in a company's activity.
What are the cost drivers of activity cost budgeting?
Cost drivers are the actual activities due to which costs incurres like machine setup cost. As many time there is machine setup as many times there is machine setup cost to be incurred.
How would you describe a common cost?
Common cost ; joint cost ; indirect cost. A cost incurred to benefit more than one product or activity, such as the cost of rent of a factory building in which the firm makes several different kinds of personal computers
What does cost allocation mean?
a factor that determines the cost of an activity. Cost drivers are analyzed as part of activity based costing and can be used in continuous improvement programs. They are usually assessed together as multiple drivers rather than singly. There are two main types of cost driver: the first is a resource driver, which refers to the contribution of the quantity of resources used to the cost of an activity; the second is an activity driver, which refers to the costs incurred by the activities required to complete a particular task or project.
What does cost incurred mean?
The word "incur" means to acquire or sustain a negative benefit as a result of another activity. A cost incurred is a generally undesirable one brought about by a business or financial activity.Example: closing a factory will require expenditures to shut down the site, remediate any hazards, and settle existing employment contracts.
A cost that is previously incurred and irreversible is known as?
opportunity cost historical cost
Is Standard Cost same as actual cost?
Standard cost is that cost which is budgeted at start of production while actual cost is that cost which actually incurred by business both of them can be same if actual cost incurred is same as allocated or determined in budgeting process using standard cost otherwise there will be difference.
What is the difference between obsolence cost and deteroration cost?
Obsolence cost is that cost which is incurred by company due to obsolence of any assets of business while deteroration cost is the cost which is incurred by small deteroration of any asset of business.
What is the principles and characteristics of cost accounting management accounting and financial accounting?
Principles of Cost Accounting:- 1. It implies the cause ,and effect in the department in some way or the other to which it has incurred. 2. It takes place after it has incurred. 3. must not be on the determinance of prudence, it must be based on actual facts and figures. 4. past cost should not form the basis of future cost.
