Cost Unit

Question

Cost Unit

26 Apr 2025

Answer :

Word Count : 251

A cost unit is a unit of product, service, or time in relation to which costs are ascertained or expressed. It is a standard or basic measure of the output or service for which costs are accumulated. In cost accounting, the selection of a cost unit depends on the nature ________ _________ _______ _________ _________ ____ ___.
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	A	B
Number of buses	4	5
Days operated in a month	30	25
Trip made by each bus	4	4
Distance of route (one way)	30 kilometers	25 kilometers
Capacity of bus	60 passengers	50 passengers
Normal passengers travelling	80% of capacity	90% of capacity