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COST AND REVENUE (USES OF COST DATA (To detect the efficiency of a…

- - - - Selling and distribution overheads
        
        including warehouse, packing and distribution and salaries of sales staff
      - Administration overheads
        
        including office rent and rates, clerical and and executive salaries
      - Production overheads
        
        including factory rent and rates, depreciation of equipment and power
      - Finance overheads
        
        including interest on loans
  - - - Costs that vary with output
      - e.g; the cost of materials used in making a washing machine would be vary depending on the output
    - - Costs that have both a fixed and a variable cost element
      - e.g; A sales person's fixed basic wage plus a commission that varies with sales
    - - Costs that do not vary with output in the short run
      - e.g; the rent of a factory cost remained the same even if the output level change