Explain support activities and production process activity, Managerial Accounting

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Explain Support activitiesand production process activity

Support activities are for example schedule production set up machine purchase materials inspect item customer order supplier records etc.

under the production process activity machine production and assembled products are included within this production process activity cost centres are sometime similar to cost centers used under traditional costing system. In case the purchasing department and purchase activity both the treated as cost centres the support activity cost centre also becomes identical to cost centre taken under traditional costing system.

 


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