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John Moffat.
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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › throuughput accounting
Is it correct that in throughput accounting all the costs are assumed to be fixed except material cost in the short-term decision making. This is the reason why we only take account of material cost only in the throughput accounting??
Yes it is, and that is why I stress this in my free lectures on throughput accounting (and explain why we make this assumption).