Difference between revisions of "Absorption costing"
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According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | ||
:[[Abnormal spoilage]]. Spoilage that would not arise under efficient operating conditions; it is not inherent in a particular production process. | :[[Abnormal spoilage]]. Spoilage that would not arise under efficient operating conditions; it is not inherent in a particular production process. | ||
| + | According to [[Managerial Accounting by Braun, Tietz (5th edition)]], | ||
| + | :[[Absorption costing]]. The costing method where products "absorb" both fixed and variable manufacturing costs. | ||
[[Category: Accounting]][[Category:Articles]] | [[Category: Accounting]][[Category:Articles]] | ||
Revision as of 15:45, 10 July 2020
Abnormal spoilage is spoilage that would not arise under efficient operating conditions; it is not inherent in a particular production process.
Definitions
According to Cost Accounting by Horngren, Datar, Rajan (14th edition),
- Abnormal spoilage. Spoilage that would not arise under efficient operating conditions; it is not inherent in a particular production process.
According to Managerial Accounting by Braun, Tietz (5th edition),
- Absorption costing. The costing method where products "absorb" both fixed and variable manufacturing costs.
