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Absorption of overheads

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Querist : Anonymous

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Querist : Anonymous (Querist)
25 December 2013 Sir / Madam

What is the policy and procedure followed for absorption of overheads.
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CMA Ramesh Krishnan

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CMA Ramesh Krishnan (Expert)
25 December 2013 It depends on the nature of industry & company. it will vary. based on the sales/direct cost/capacity/production units etc. can be considered for absorption

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