INTRO TO MANAGEMENT ACCOUNTING WEEK 7 Flashcards
1
Q
cost
A
resource sacrificed for an objective
2
Q
direct cost
A
only attributed to production of cost object
3
Q
indirect cost
A
cost that comes from multiple uses to the good
4
Q
manufacturing overhead
A
indirect costs eg indirect labour (maintanence workers)
5
Q
non manufacturing costs
A
needed to deliver the product
6
Q
step fixed costs
A
costs that are constant for different levels of activity
7
Q
break even point
A
neither profit or loss is made
fixed cost/ sales rev-variable costs (contribution)
8
Q
contribution per unit
A
selling price per unit- variable costs per unit
tells us how much each sale of unit contributes to fixed costs
9
Q
total sales rev
A
fixed+ variable costs
