ASHFORD ACC 310 Week 2 DQ 2 Fundamentals of Product and Service Costing

May 8th, 2015
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ASHFORD ACC 310 Week 2 DQ 2 Fundamentals of Product and Service Costing

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Fundamentals of Product and Service CostingComplete Question 6-8 and 6-14. Respond to at least two of your classmates' postings.6-8Cost allocation assigns a common cost to two or more cost objects. The objective of a cost allocation system is to determine a more accurate cost of an item. Direct costs, such as direct materials and direct labor, while part of the cost of producing a product, are not the only costs associated with that product. Take, for instance, the electricity to run the machines; a portion of that cost should be allocated to the cost of the item; without that

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