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lesson 1 - Coggle Diagram

- - - - traceable to the cost object
      - cost can be measured exactly
      - e.g raw material cost, assembling cost, labor cost
    - - cost allocation of the cost object
      - cost attribute to more than one cost object
      - difficult to measure the exact cost
      - e.g issuance, utilities, advertisement
  - - - cost do not change with changes in the production level
    - - cost changes with the change in production level
    - - total fixed cost + total variable cost
  - - - costs of resources that have already been incurred and cannot be recovered
    - - costs that the management of an organization has a long-term responsibility to pay