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Buy custom Describing Costs Within the Firm

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Topic: Business
Number of pages / Number of words: 4 / 842
Essay's paper body

If a government auditor was to find the time keeping records have been falsified, then the company stands to be sued by the government and have all business taken away or suspended for a very long time.

It is very important in applying direct costs that the same standard be used within the entire company...


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In other words, a direct cost for one program must also be a direct cost for all other programs. For any company that is program based, must have an accounting structure that allows for direct cost to be reported.

Indirect Costs

Indirect costs for the company are various. Administrative salaries are indirect costs as are departmental management salaries...


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