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N. K. Gupta posted an Question
April 06, 2021 • 18:49 pm 30 points
  • UGC NET
  • Commerce

Common cost, batch cost, operation cost and joint cost explain simple

common cost, batch cost, operation cost and joint cost explain simple

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  • Rucha rajesh shingvekar Best Answer

    In accounting, a joint cost is a cost incurred in a joint process. Joint costs may include direct material, direct labor, and overhead costs incurred during a joint production process. A joint process is a production process in which one input yields multiple outputs.

  • Rucha rajesh shingvekar best-answer

    Operating costs are the ongoing expenses incurred from the normal day-to-day of running a business that include both costs of goods sold (COGS) and other operating expenses—often called selling, general, and administrative (SG&A) expenses.

  • Rucha rajesh shingvekar

    Batch cost is the cluster of costs incurred when a group of products or services are produced, and which cannot be identified to specific products or services within the group. For cost accounting purposes, it may be considered necessary to assign the batch cost to individual units within a batch.

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    sorry but not understand batch cost

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    see this

  • Rucha rajesh shingvekar best-answer

    A common cost is a cost that is not attributable to a specific cost object, such as a product or process. When a common cost is associated with the manufacturing process, it is included in factory overhead and allocated to the units produced.

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    Gaurav soin

    A common cost is a cost that is not attributable to a specific cost object, such as a product or process. When a common cost is associated with the manufacturing process, it is included in factory overhead and allocated to the units produced. Batch cost is the cluster of costs incurred when a group of products or services are produced, and which cannot be identified to specific products or services within the group. For cost accounting purposes, it may be considered necessary to assign the batch cost to individual units within a batch. Operating Cost is calculated by Cost of goods sold +Operating Expenses. Operating Expenses consist of : Administrative and office expenses like rent, salaries, to staff, insurance, directors fees etc. Selling and distribution expenses like advertisement, salaries of salesmen. In accounting, a joint cost is a cost incurred in a joint process. Joint costs may include direct material, direct labor, and overhead costs incurred during a joint production process. A joint process is a production process in which one input yields multiple outputs.

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