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Allocation of Service Department Costs
Allocation of Service Department Costs to Production departments ,Service departments are those departments that provide support to production departments however do not engage directly in the production of the products as an example of the maintenance department, accounting department, and the legal department. Service departments give services to each other and at the similar time to the production department. These methods of allocating service costs involve:
1. Reciprocal Method
2. Step-wise Method
3. Direct Allocation Method
Flexible budgets provide different information than static budgets. Discuss some of these differences. Is a flexible budget always better? Are there times when you’d recom
WORKED EXAMPLES OF EXPECTED CASH COLLECTIONS PATTERNS
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Example of ABC System Assume an example, such the cost pool for the ordering activity totaled of Ksh.100, 000 and such there were 10,000 orders the cost driver. Therefore all
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