Throughput costing
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Throughput costing is method of inventory costing in which only variable direct material costs are included as inventoriable costs. Also called super-variable costing.
Definitions
According to Cost Accounting by Horngren, Datar, Rajan (14th edition),
- Throughput costing. Method of inventory costing in which only variable direct material costs are included as inventoriable costs. Also called super-variable costing.
