Cost terms concepts and classifications
Cost terms concepts and classifications are cost is defined as price of any object. Cost terms include direct & indirect cost, fixed & variable costs. Cost is classified as direct & indirect material, direct & indirect labor which also includes factory overhead.
Cost Terms, Concepts, and Classifications: After Studying this chapter you should be able to: Identify and give examples of each of the three basic manufacturing cost categories. Distinguish between product costs and period costs and give examples of each. Prepare an income statement including
Administrative Cost Definition Administrative costs are all executive, organizational, and clerical costs associated with the general management of an organization rather than with manufacturing, marketing, or selling. Recommended Books ! Or Download E accounting book in MS-word format for just 20 $ - Click
Cost Classifications on Financial Statements: Learning Objectives of this Article: Prepare a schedule of cost of goods manufactured. Prepare income statement including a schedule of cost of goods sold. Merchandising and manufacturing firms, both prepare financial statement reports for creditors, stockholders, and others to
Further Classification of Labor Costs: Learning Objective of the Article: Properly classify labor costs associated with idle time, overtime and fringe benefits. Idle time, overtime, and fringe benefits associated with direct labor workers pose particular problems in accounting for labor costs. Are these costs