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Behavioral Classification of Costs
Definition
Cost behavior refers to the change in costs as increase or may decrease like the output level changes that are like we rising output, are the costs increasing, remaining or dropping the similar.
Cost Behavior can be utilized to produce different classifications of costs like:
a) Variable Costs Vs. Fixed Costs
b) Direct Vs. Indirect costs
c) Controllable Vs. Non Controllable costs
Material Price Variance (MPV) This may be described as the difference amoung the actual price and the standard price of the materials consumed. MPV = Actual quantity used (S
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ESSAY
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