Management Accounting
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Title: Management Accounting

Essay Details:

Subject: Business
Author: Ernest R
Date: December 14, 2011
Level: University
Grade: A
Length: 1 / 275

Essay text:

Variable Costing System Pros: ? Eliminates time consuming efforts of allocating fixed overhead to individual products. ? Management's cost control efforts would be enhanced. ? Useful in comparing the profitability of individual product. ? Avoids the complexities associated with manufacturing overhead. ? Removes fixed manufacturing overhead and teats it as a period cost and not as a product cost. ? Helps managers understand h manufacturing costs are being incurred ? Very valuable tool for management in making decision and often use for internal reports. ? Income figure is not affected by production thus overproduction can be prevented...

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