Reasons for differences in costs and costing practices
The requirement for uniform costing arises since the cost structures and procedures, practices and principles of costing different from firm to firm, business to business and industry to industry. The reasons for such types of differences are as follow:
1. Difference in size of business
(a) Because of the difference in the size of business, the division of work differs. In a small concern, various jobs can be handled through one person, when in a large concern; one job can be completed through various persons. This leads to difference in costing problems.
(b) A large concern can afford to have several departments and therefore there are line and staff positions and there is so division of responsibility between them. But in a small concern, the staff positions seldom present, and the line managers have to carry out all responsibilities.
(c) A large concern can use liberal techniques of remuneration to workers, buy costly materials and acquire heavy overheads when a small concern has various limitations in these respects. Though, it does not mean that in a large concern the cost per unit is extremely high. A large concern creates more and therefore the cost per unit might be rather less than that in a small concern.
2. Difference in nature of business
(a) Some concerns are capital intensive needs heavy machinery for implementation the manufacturing operations when others are labour intensive. Therefore the cost will differ. Furthermore, a large concern can mechanise the production system, where a small concern might not find it easy to do so.
(b) Several types of businesses need dissimilar types and size of machines. Furthermore, for done similar operations, several types of machines may be employed. This results in adoption of different costing techniques.
3. Product differentiation
Even if the size, type and nature of business is similar, product separation may cause difference in costs and costing methods.
(a) The type of business might be similar but the product design and quality may different to satisfy individual needs tastes and conditions.
(b) Costs change due to alternative forms of raw materials may be employed by different firms. Cheaper options are available in the market and some concerns might resort to them in an effort to earn more profits, through deteriorating the quality of the product.
(c) Method of remunerating labour might different from concern to concern.
Latest technology based Cost Accounting Online Tutoring Assistance
Tutors, at the www.tutorsglobe.com, take pledge to provide full satisfaction and assurance in Differences in Costs and Costing Practices homework help via online tutoring. Students are getting 100% satisfaction by online tutors across the globe. Here you can get homework help for Differences in Costs and Costing Practices, project ideas and tutorials. We provide email based Differences in Costs and Costing Practices homework help. You can join us to ask queries 24x7 with live, experienced and qualified online tutors specialized in Differences in Costs and Costing Practices. Through Online Tutoring, you would be able to complete your homework or assignments at your home. Tutors at the TutorsGlobe are committed to provide the best quality online tutoring assistance for Cost Accounting homework help and assignment help services. They use their experience, as they have solved thousands of the cost accounting assignments, which may help you to solve your complex issues of Differences in Costs and Costing Practices. TutorsGlobe assure for the best quality compliance to your homework. Compromise with quality is not in our dictionary. If we feel that we are not able to provide the homework help as per the deadline or given instruction by the student, we refund the money of the student without any delay.
tutorsglobe.com high energy phosphates assignment help-homework help by online energy and enzymes tutors
Types of Compounds Found in Plants tutorial all along with the key concepts of History-Background of Natural Products, Classification of Natural Products, Terpenoids and steroids, Alkaloids, Fatty acid and polyketides
Polarography tutorial all along with the key concepts of Mode of Operation of a Simple Polarograph, Shape of a Polarogram, Applications of Polarography
www.tutorsglobe.com offers Language and Efficiency homework help, assignment help, case study, writing homework help, online tutoring assistance by computer science tutors.
Natural gas treatment processes tutorial all along with the key concepts of Acid Gas Treatment, Physical Absorption, Physical Adsorption, Chemical Absorption, Natural Gas Liquid, Liquefied Natural Gas, Properties of Natural Gas and Gas Hydrates
We have seen that, in the early days of financial reporting, stewardship was the key issue. The main aim was to recount what had happened so as to make stewards (managers) accountable and perhaps, therefore, more careful in deploying the assets of the owner.
while the finishing end of the first coil is connected to the starting end of the next coil that starts from similar pole
tutorsglobe.com types of seed germination assignment help-homework help by online process of seed germination tutors
Field Effect Transistors tutorial all along with the key concepts of Field effect transistor operation, Terminals of the field effect transistor, Kinds of field effect transistors
www.tutorsglobe.com offers energetics homework help, energetics assignment help, online tutoring assistance, physical chemistry solutions by online qualified tutor's help.
tutorsglobe.com characteristics of an isoquant assignment help-homework help by online isoquants tutors
Theory and lecture notes of Money Stock, Money Market and LM Curve all along with the key concepts of Money demand, nominal interest rate, demand for money. Tutorsglobe offers homework help, assignment help and tutor’s assistance on Money Stock, Money Market and LM Curve.
Reduction of functional groups tutorial all along with the key concepts of Reduction of Alkenes, Reduction of Alkynes, Reduction of Aromatic Compounds, Reduction of Aldehydes and ketones, Clemmensen Reduction and Wolff-Kishner Reaction
Biology of Major Economically Important Mites tutorial all along with the key concepts of Body Structure of Mites, Biology of the Itch Mite, Morphology of mite and Lifecycle of mite
Put a full stop to deadline pressure and have your work completed by PhD tutors of Children Law Assignment Help service!
1937324
Questions Asked
3689
Tutors
1482604
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!