THE ADAPTABILITY OF MATIX THEORY IN COST ALLOCATION AND COST APPOINMENT
Journal Title: International Journal of Physical and Social Sciences (IJPSS) - Year 2012, Vol 2, Issue 7
Abstract
At times, costs cannot be traced to specific units without considerable difficulty or a clerical labour not justified by the result manufacturing overhead represents all costs incurred in the factory over and above direct material cost, and direct labour cost. In other words, it is the aggregate of factory indirect material cost, factory indirect labour cost factory indirect services. The items of overhead, which cannot be identified with specified departments, are prorated or distributed among the related departments and this proration of distribution is technically referred to as apportionment. All items of overhead, which cannot be allocated are apportioned among the production or service departments on some acceptable basis, which is decided after a lot of analysis and careful consideration of factors involved. It should be noted that item of overhead cannot be identified with specific units of production, but it can be identified with specific department for the purpose of allocation. The apportionment of such overhead item can be equitably distributed to production departments through matrix algebra with precision. The use of matrix theory is of eat advantage to management, when carefully applied.
Authors and Affiliations
DR. OMAH I. , Ojo-agbodu ayodele Abraham, Igbokwe Jallath I.
Keywords
Related Articles
- EP ID EP41687
- DOI -
- Views 284
- Downloads 0
Terrorism - Social Causes, Economic Impact in India and Possible Control Measures with Special Reference to Technology–driven Avenues
Terrorism is one of the major threats faced by many a nation across the world, big or small, rich or poor and developed or developing. The term terrorism is linked directly or indirectly to the socio-economic set-up of...
RESPIRATORY HEALTH IN BRICK KILN WORKERS
The objective of this cross-sectional study was to investigate the prevalence and determinants of respiratory symptoms and their association with occupational dust exposure among the brick kiln workers. Brick kiln work...
LEADERSHIP: A New Synthesis
The issue of leadership in human society and its various terrains has attracted series of scholastic and intellectual attentions. These attentions have deep-seated historical pedigree. The concept has become a key conc...
Luminescence study on Tm+3 and Tb+ doped LaVO4 :Eu nano-crystal materials
Tm+3 and Tb+ doped LaVO4 :Eu nano-crystal materials were synthesized using chemical coprecipitation method in water medium. The materials were annealed at 600 ̊ C for 3 hours and then grained into powder form. The mater...
Surplus-sharing practices in takaful operations:Sharīʿah perspective and their current implementation
One of the arguable issues within the takaful industry is the underwriting surplus on the end of financial year of the takaful operator. In reality, the exercise of handling, allocating and sharing the underwriting sur...