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Unformatted text preview: Relevant range = 20b5889ed2e0381973b553440017bf2536edf9cb.doc PAGE 1 OF 2 ACCT 250 ACCOUNTING FOR DECISION MAKING NOTES CHAPTER 3A SPRING 2008 c) Average cost, total cost & marginal cost As production increases, what happens? Cost type Total Cost Average Cost Marginal Cost Fixed Variable 2) Direct vs. indirect costs A question cost assignmenthow the cost gets to the cost object a) The terminology Cost = Cost driver = Cost pool = Cost object = b) Direct vs. indirect Direct costs = Indirect costs = c) An extension of direct vs. indirect Direct materials = Prime costs Direct labor = Conversion costs Overhead = 20b5889ed2e0381973b553440017bf2536edf9cb.doc PAGE 2 OF 2...
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This note was uploaded on 04/18/2008 for the course ACCTG 250 taught by Professor Rabe during the Spring '08 term at Luther.
- Spring '08
- Decision Making