In the short run, all the overhead costs for an activity vary with the amount of the cost driver for the activity.
i didnt get the meaning what does this mean?
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PMABC costing
6y ago#1Can I suggest that you watch my free lectures on ABC where this is explained :-)
I had watched youre lectures !
bt i didnt get ?
6y ago#3If, for example, one of the cost drivers is the cost of the workers who set-up the machines, then if they have fewer set-ups to do we will need fewer workers and the total cost of the activity will be lower.
ok got it !
6y ago#5You are welcome :-)
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