Module 2 Building Blocks of Managerial Accounting
Update: 2024-11-29
Description
This episode from our podcast explains the differences between merchandising, manufacturing, and service organizations, focusing on how each type of business accounts for costs. It then explores various cost behavior patterns (fixed, variable, mixed, stepped), illustrating how these are used for cost control and prediction. Finally, it presents methods for estimating cost equations (scatter graph, high-low method) to forecast future costs at different activity levels.
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