Cost Estimation

Cost Estimation Generally Accepted Accounting achieve The main purpose of searching for a new mode to estimate cost if due to the erroneous practices of accounting. There is a wide recognition of this problem but most companies windlessness have not gone to a different approach. The largely accepted accounting principles principles do not provide the diversity of cost dot and information focus required in today?s capital intensive, automated, and complex manufacturing and distribution. It generates an erroneous and inverse relationship amidst computed growth cost and current increaseion volume.

This is the major problem- the inverse relationship between production volume and blood take to be because these indirect expenses are all to the exuberant charges to the current product. In periods of declining gross revenue, the apparent cost of the product rises, bringing suggestions of price increases in the face of weak gross sales performance. In good sales periods, apparent cost of product declines, suggesting either a great(p) of pr...If you want to get a full essay, order it on our website: BestEssayCheap.com

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