Skip to content
ACCA exam results — Are you ready?Chat about it >>

Ask the Tutor ACCA MA

Absorption Costing

BBekzod8y ago
Hello Sir, I have one question relating Absorption costing. Can we use absorption costing in service industry, or absorption costing is only used in manufacturing industry? Thank you!
John MoffatJohn MoffatTutor8y ago#1
Absorption costing can be used in service industries. For example, firms of accountants use it by absorbing their fixed costs on an hourly basis.
This topic is locked — no new replies.