by pay@crispino.us | Feb 25, 2026 | Cost & Managerial Accounting, Terminologies
Indirect costs that cannot be directly traced to products or services, such as utilities or administrative salaries. Overhead is allocated to ensure accurate costing. Helps in determining product profitability.
by pay@crispino.us | Feb 24, 2026 | Cost & Managerial Accounting, Terminologies
Expenses that change in direct proportion to sales or production, such as raw materials or commissions. Key for understanding contribution margins. Helps in pricing decisions.
by pay@crispino.us | Nov 2, 2025 | Cost & Managerial Accounting, Terminologies
The sales level at which total revenues equal total costs, resulting in no profit or loss. A key tool in business planning. Helps determine minimum sales targets.
by pay@crispino.us | Oct 30, 2025 | Cost & Managerial Accounting, Terminologies
A system that assigns expected costs to production for budgeting and performance evaluation. Differences between standard and actual costs create variances. Useful for control and planning.
by pay@crispino.us | Oct 12, 2025 | Cost & Managerial Accounting, Terminologies
Expenses directly tied to producing goods or services, such as raw materials or direct labor. Easily traceable to a specific product or job. Essential in job costing.
by pay@crispino.us | Oct 7, 2025 | Cost & Managerial Accounting, Terminologies
Expenses that remain constant regardless of production volume, such as rent or salaries. They do not vary with activity levels. Important for break-even analysis.
