I WANT TO KNOW.... WHY FIXED COST IS ALWAYS APPORTIONED AT FULL CAPACITY??
1 Replies
Harish Chandra Sahoo
(Dy. Manger Accounts)
(66 Points)
Replied 11 August 2012
Because fixed costs are based on utilized capacity. In detail fixed cost is depends on certain capacity say Rs.50000/- for 90 % capacity utilization. Beyond that it wil increase to 80000/-
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