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Forums › FIA Forums › MA1 Management Information Forums › cost object and cost unit
Respected sir,
i am totally confused for cost object and cost unit. cost unit is totally irritating for me even my tutor cannot explain it well. In a question, which of the following will be cost unit and options are available like, cost per cake, cost per batch, cost per kg, and my tutor told that answer is cost per batch, but what is the exactly criteria for this?
waiting for your kind reply
cost unit is the criteria in which we use its small measurement units , like meter , seconds , centi-meter etc
and cost object is a thing which we use for costing purpose like , milk , leather , wood etc…