Categories of costs involved in their business process

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Reference no: EM131714799

Please rephrases- Financial reports of different firms vary according to the dissimilar categories of costs involved in their business process. Financial report of firm A should ensure that firm A account for their material costs in a persistent manner, since it is a major component of cost of goods sold. If management of firm A focuses on their overall productivity ratios, the comparison could be stronger. Overall productivity of Firm A is higher in comparison to firm B. However, they should focus on their labor productivity.

Reference no: EM131714799

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