THE ADAPTABILITY OF MATIX THEORY IN COST ALLOCATION AND COST APPOINMENT
Journal Title: International Journal of Physical and Social Sciences (IJPSS) - Year 2012, Vol 2, Issue 7
Abstract
At times, costs cannot be traced to specific units without considerable difficulty or a clerical labour not justified by the result manufacturing overhead represents all costs incurred in the factory over and above direct material cost, and direct labour cost. In other words, it is the aggregate of factory indirect material cost, factory indirect labour cost factory indirect services. The items of overhead, which cannot be identified with specified departments, are prorated or distributed among the related departments and this proration of distribution is technically referred to as apportionment. All items of overhead, which cannot be allocated are apportioned among the production or service departments on some acceptable basis, which is decided after a lot of analysis and careful consideration of factors involved. It should be noted that item of overhead cannot be identified with specific units of production, but it can be identified with specific department for the purpose of allocation. The apportionment of such overhead item can be equitably distributed to production departments through matrix algebra with precision. The use of matrix theory is of eat advantage to management, when carefully applied.
Authors and Affiliations
DR. OMAH I. , Ojo-agbodu ayodele Abraham, Igbokwe Jallath I.
Keywords
Related Articles
- EP ID EP41687
- DOI -
- Views 332
- Downloads 1
Women Empowerment and Inclusive Growth
Women constitute of nearly half of the nation‟s population. It is only from the Fifth Five Year Plan onwards that their role has been explicitly recognized with a marked shift in the approach from women welfare to wome...
Experience of India in Decongesting Courts through Lok Adalats
The Constitution of India pledges to secure to all its citizens justice- social, economic and political. Article 39-A of the Indian Constitution imposes an obligation on the State to ensure that the operation of the le...
A study on purchasing attitude towards Ready-to-eat/cook products by health conscious consumers in Southern India with respect to Tier-I cities
The purpose of this study is to explore and study the purchasing attitude towards Ready-toeat/cook products by health conscious consumers in Southern India. To find out what are all the major factors influences consumer...
Crop Diversification in Murshidabad District, West Bengal: A Spatio-temporal Analysis
Crop Diversification is the multiple cropping system i.e. addition of more crops to the existing cropping system along with use of crop species, that could be refined to manufactured products etc. Region like Murshidab...
PREVENTING OF HIV/AIDS IN INDIA -AN ANALYSIS
Acquired Immune Deficiency Syndrome or acquired immunodeficiency syndrome (AIDS) is a disease of human immune system caused by the human immunodeficiency virus (HIV). AIDS is pandemic is a major challenge to developmen...