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Activity-Based Costing (ABC)
An accounting method that assigns identifiable costs and allocates common costs to definite product lines or business fragments Also known as product-line costing. By using this method, an organization can determine the profitability or income contribution that each motion, fragment, and product line brings to the organization as a whole.
definition of historical cost accounting
How can a person tell whether an entry to an expense account is payment for a legitimate expenditure or a means of concealing a theft of cash?
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