production and non-production.
non-production is classified under selling and administrative expenses
production is classified as direct material, direct labor and manufacturing overhead
Following are major categories of accounting: 1 - Cost accounting 2- Financial accounting 3 - management accounting
The major problem in cost accounting is allocation of common and joint costs to individual products.
they force the manager to compare actual costs at one level of activity to budgeted costs at a different level of activity.
One similarity between standards and budgets is they are both predetermined costs. A major difference is that companies can report inventories using standard costs but not budget costs.
Greetings. Your questions does not tell about the existing costing system but I assume that you are using the 'traditional' way of costing as standard costing. The major deficiency is that when we talk about costing, we are always assuming that is 'Product Costing'. By doing this we take all the costs to the product. This is not necessarily true. There are various reasons that cause costs in your organization. These could be Products, Customers, Channels, Capacity built, to sustain business (typically called as 'cost object' in ABC) etc. Another major difference is that ABC first calculates the cost of various activities and then it takes to the cost objects. This helps in understanding the root causes for the costs and can help in improving the costs. It gives insight into the performance of the processes in the organization as to how much of the process is really 'value adding' to the organization. The 'non value adding' part of the processes can be eliminated or reduced. Typically the functional managers are informed about the actual expenses v/s budgeted expenses. With this information the managers can be either happy or sad. They cannot be smarter. ABC can tell the functional managers how they have utilised their resources. I hope I have provided some information to you. You can visit my blog on the subject at www.activitybasedmgmt.blogpsot.com or write to me at rajendra@appsconsulting.in. Rajendra Patil
25 major categories
The major functional region for Ohio is the Bluegrass region. There is also the military region which is considered to functional in Ohio.
The three major categories of funds are equity funds (investing in stocks), fixed-income funds (investing in bonds), and money market funds (investing in short-term, low-risk securities).
The major desert of northern Africa is the Sahara which is subdivided into smaller, regional deserts.
There are four major categories of life insurance: ordinary, group, industrial, and credit
major and trace
The three major categories of science in sociology are social organization (study of social structures and institutions), social interaction (study of how individuals and groups interact), and social change (study of how societies evolve and transform over time).
do not have functional group
The major categories of freshwater ecosystems are rivers and streams, lakes and ponds, and freshwater wetalnds Hope this helps
Following are major categories of accounting: 1 - Cost accounting 2- Financial accounting 3 - management accounting
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there are 19 major world religions which are subdivided into a total of 270 large religious groups.