Purchase cost and ordering cost, Cost Accounting

Ordering cost is incurred whenever the inventory is replenished. It includes costs associated with the processing and chasing of the purchase order transportation, inspection for quality expediting overdue orders and so on it is also known as the procurement cost.

The parallel of the ordering cost when units are produced within the organization is the set up cost. It refers to the cost incurred relation to developing the production schedules the resources employed in making the production systems ready and so on.

Posted Date: 3/26/2013 2:46:14 AM | Location : United States







Related Discussions:- Purchase cost and ordering cost, Assignment Help, Ask Question on Purchase cost and ordering cost, Get Answer, Expert's Help, Purchase cost and ordering cost Discussions

Write discussion on Purchase cost and ordering cost
Your posts are moderated
Related Questions
distinguish between bin card and store ledgre

Master Designs Company has cash flows for operating activities of $350,000. Cash flows used for investments in property, plant, and equipment totaled $65,000, of which 70% of this



Relationship among Financial Accounting and Cost Accounting The difference among management and cost accounting may be highlighted by using a number of questions namely as;

A provision must be made in advance for those debts whose recovery is uncertain and to writing off bad debts. Each enterprise, depends on their past experience, make a provision fo

For your assignment, discuss when the government and nonprofit organizations would use each of the following funds: Capital projects fund Debt service fund Special r

manufacturing costs will not include a. indirect material used b. sales salaries expense c. indirect labor costs d. depreciation of factory equipment


What is a standard and acceptable variance