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Incremental Costs as Relevant Costs
An incremental cost is specifically incurred with the following a course of action and ignorable if such action is not implemented. It contrasts along with sunk costs that have already been incurred and cannot be ignored whether the future course of action is taken. Incremental costs are relevant in decision-making situations as like
a) Whether to buy in a component or service or manufacture it utilize the company's own resources.
b) Whether to further process one of the joint products that emerge from a process before it is sell or sold it in its existing form with no further processing.
Expenses paid in previous of their use or consumption is termed as prepaid expenses. At the ending of the year, a portion of the payment keeps unconsumed and is treated like an ass
An industrial drill costs $60.000 to purchase and $10,000 to install seven years ago. The market value now is $33.000 and this will decline by 12% of current value each year for th
Three oligopolists, A, B and C, produce an identical product, Q. Q is produced under conditions of constant costs, that is, AC = MC = $100. The market demand schedule for Q is:
what could it cost the fezas to launder?show your detailed culculation
Manufacturing Concern to Organization There are three manufacturing centres as Making, Packing and Finishing. These are supported through five support departments, namely Mai
describe the procedures involved in payroll labour cost accounting
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You sell a machine for $600,000. You allow the client to pay 1/3 at the time of the sale and 1/3 at the end of year one and 1/3 at the end of year two. The company earns 10% on ass
what is the scope of cost accounting?
on june 2005 20 units of the product in stock the following is extracted from the companys books direct material-200 per unit,direct labour 150 per unit, variable production overhe
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