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Target costing is difficult to be used in service industries right. Is it only due to Heterogeneity and Intangibility or other things like simultaneity and perishability also.. ? I cant relate why target costing will be difficult due to simultaneity and perishability
Although you are expected to know the five major characteristics that distinguish service business from manufacturing industries, if the exam asks you why it is difficult to use target costing in a service business then that is due to heterogeneity and intangibility.
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