Activity Based Costing

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Issue:

Miscellaneous

 

Written by:

Mike S

 

Date added:

February 8, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

10 / 2565

 

Was viewed:

5381 times

 

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Essay content:

When using Traditional Cost Accounting, the sum of a company's overhead is allocated among products based on some sort of volume measure. The most commonly used volume measures are labor hours and machine hours. The assumption in TCA is that there is a direct relationship between overhead and the volume of output based on the volume measure (Value Based Management, 2005)...
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When using Traditional Cost Accounting, the sum of a company's overhead is allocated among products based on some sort of volume measure. The most commonly used volume measures are labor hours and machine hours. The assumption in TCA is that there is a direct relationship between overhead and the volume of output based on the volume measure (Value Based Management, 2005)...
displayed 300 characters

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