Fixed and per unit,,

This topic has 1 reply, 2 voices, and was last updated 9 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
December 2, 2016 at 7:29 am #353050
foque
Member
- Topics: 5
- Replies: 5
Dear Sir,
Fixed Cost Per Unit is dependent on which of the following..

A” Production Unit
B” Sales Unit
C” Both

Either answer varies with period Short and Long Run??
Glad to know about this ..
Thanks In Advance
December 2, 2016 at 8:26 am #353082
John Moffat
Keymaster
- Topics: 57
- Replies: 54851
It really depends on the context of the question.

For inventory valuation (assuming of course they are using absorption costing) then it is only the production cost (and therefore the production units) that we are interested in.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.