Important aspect regarding to service cost centres, Cost Accounting

Assignment Help:

Important Aspect Regarding to Service Cost Centres

The basis selected should be one that is judged to be the mainly equitable way of sharing the service costs of department over the departments that use the service. Because that a particular and unique basis of apportionment may have to be derived.  This must reflect the employ made of the services provided.

Where possible, service department costs must be charged directly that is allocated.  As an example for, this would be maintenance wages and materials.  While a maintenance job is done for a department, the materials and wages employed would be charged directly to the department concerned.  In this way merely unallocated service department costs require to be apportioned.


Related Discussions:- Important aspect regarding to service cost centres

Cost classifications and estimation, Cost Classifications and Estimation ...

Cost Classifications and Estimation Cost classification may be defined like 'the arrangement of cost items in a logical sequence having concern to their nature and reason to b

Modified accelerated cost recovery system, Assume new instruments for a fir...

Assume new instruments for a firm cost $18,000 with an additional installation fee of $2,000, both of which are depreciable. Finish the depreciation schedule shown below using the

Fcff and fcfe, Show the effect of an increase in each of the items listed b...

Show the effect of an increase in each of the items listed below on the FCFF and FCFE. Suppose a $100 increase in every case and a 40 percent tax rate a.    Net income b.    Cas

Operating cycle of a merchandiser, Explain and illustrate with your own exa...

Explain and illustrate with your own example the operating cycle of a merchandiser.   Explain and  illustrate the differences between a multiple-step income statement and a single

Compute prevention costs-appraisal costs-internal failure , Question: A...

Question: At the beginning of the year, Asquith Company Ltd initiated a quality improvement program. The program was successful in reducing scrap and rework costs. To help asse

Regression analysis method of cost estimation, Regression Analysis Method o...

Regression Analysis Method of Cost Estimation It includes estimating the cost function by utilizing past data or the dependent and the independent variables. Hence the cost fu

The cost cycle - double entry system, entries to be entered into a ledger a...

entries to be entered into a ledger account for the month of July 2009 & prepare an incoem statement. balances at 1/7/2009 Materials control $6150 Labour control (accrued wages)

Example of batch costing, Example of Batch Costing The budgeted variab...

Example of Batch Costing The budgeted variable overheads of a company for the year of 2001 are as given as: Department                Overhead (shs.)

Explanation of sales revenue line, The sales revenue line demonstrates the ...

The sales revenue line demonstrates the amount of sales earned throughout the different level of activities. It can be observed that between zero and somewhere between activity B a

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd