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Category: Introduction to costs

Direct Cost vs Indirect Cost

August 20, 2022 Bilal Sarwar, ACCA

Definition – Direct Cost The cost which is directly attributable/traceable/chargeable to a specific product or service is called direct cost.…

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Posted in: Introduction to costs, Management Accounting

List of articles in “Intro to costs” category

June 30, 2022 Khayyam Javaid, ACA

Following articles are included in this category. What is a cost? What is a cost unit? What is a cost…

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Posted in: Introduction to costs, Management Accounting

Step fixed costs

June 22, 2022 Khayyam Javaid, ACA

Step fixed costs are those costs which remain constant or do not change within a certain range of production level/…

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Posted in: Introduction to costs, Management Accounting

Semi variable costs

Khayyam Javaid, ACA

Semi variable costs are a mixture of fixed costs and variable costs. It has two components: One that varies with…

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Posted in: Introduction to costs, Management Accounting

Fixed costs vs. variable costs

Khayyam Javaid, ACA

Fixed costs are costs that are not related to the level of activity and which do not increase or decrease…

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Posted in: Introduction to costs, Management Accounting

What is variable cost?

Khayyam Javaid, ACA

Variable costs are costs that are related to the level of activity and which increase or decrease with the corresponding…

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Posted in: Introduction to costs, Management Accounting

What is fixed cost?

Khayyam Javaid, ACA

Fixed costs are costs that are not related to the level of activity and which do not increase or decrease…

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Posted in: Introduction to costs, Management Accounting

What is factory cost?

June 17, 2022 Khayyam Javaid, ACA

Costs of manufacturing goods is called factory cost. This concept is used for valuation of goods which is needed to…

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Posted in: Introduction to costs, Management Accounting

What is prime cost?

Khayyam Javaid, ACA

Costs that can be directly traced or linked to a specific cost unit are called prime costs. The prime costs…

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Posted in: Introduction to costs, Management Accounting

What is an investment center?

May 26, 2022 Khayyam Javaid, ACA

Investment center is a segment of an organization given the responsibility for its own revenues, costs and capital investments. It…

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Posted in: Introduction to costs, Management Accounting

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    Financiopedia
    • Financial Accounting
      • Basics of accounting
      • Double-entry accounting system
      • Accounting cycle
      • Accounting principles
      • Bookkeeping
      • Accounting of assets
      • Property, plant and equipment
      • Financial instruments
      • Inventory
      • Accounts receivable
      • Accounting of liabilities
      • Accounting of income
      • Accounting of expenses
      • Financial statements
      • Ratio analysis
    • Management Accounting
      • Introduction to management accounting
      • Introduction to costs
      • Material and labour costs
      • Marginal and Absorption Costing
      • Inventory valuation
      • Inventory management
      • Costing systems
      • Budgeting
      • CVP analysis
    • IFRS
      • IFRS 15 – Revenue from contracts with customers
      • IFRS 9 – Financial Instruments
    • About Us