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Explain Administration cost and Pre production costs
Administration cost:
The cost of formulating policy, directing the organization and controlling the operating of an undertaking which is not related directly to a product or a service constitute administration costs.
Pre production costs:
There are those costs which are incurred on making a trial production run prior to the formal production.
Calculation
Explain Activities uses through activities based costing In order to correctly associate costs with products and services. ABC assigns cost to activities based on their use of
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