Types of Costs

Direct costs fils Those costs directly attributable What cann one non product or product line, or a source of sales revenue, or one business unit or business operation. An example of a direct cost would be the cost of a new car tires.
Costs fils very different and you can not attach a any specific product, unit or activity. The cost of labor, or the benefits of non automaker is definitely non cost, but can not connect any vehicle. Every business has to devise non Which method of allocating indirect costs and different products, sources of sales revenue, business units, etc. Most allocation methods fils less than perfect, and usually end up being arbitrary non degree or another. Business managers and accounts should always keep eye on the non allocation methods used for indirect costs and take the cost figures produced by these methods with a grain of salt.
Le fils de Costs Those costs do remain stable for relatively wide range of non sales volume or production output. They are like an albatross around the neck of business and the company must sell your product with a high enough profit to Côme at least non equilibrium point.
Variable costs can increase or des Diminution in proportion to changes in sales or production level. The des Varian variable costs in proportion to changes in production /
Costs du fils essentially what future costs may be incurred, depending on what strategic course takes non business. If non décider automaker to increase production, but the cost of tires Upload, does the cost needs to be taken into consideration.
That fils the irrelevant costs should be ignored when deciding on non future course of action. Are the costs that could cause you to make a wrong decision. While costs fils What will future costs are irrelevant costs fils Those costs incurred soi do in the past. The money is gone .......