top button
Flag Notify
    Connect to us
      Facebook Login
      Site Registration

Facebook Login
Site Registration

What is the role of Cost Accounting in Price Determination ?

+1 vote
What is the role of Cost Accounting in Price Determination ?
posted Jul 7, 2017 by Sherlyn Mishra

Share this question
Facebook Share Button Twitter Share Button LinkedIn Share Button

1 Answer

0 votes

Cost Accounting helps management in making revenue decisions like pricing new products or reducing or increasing the price of a product. It also helps the management in taking short-term and long-term product mix decisions. Cost data also helps the management in achieving the best combination of factors being used in the business enterprises.

Cost data assists the management in making sound decisions like reducing price, increasing the volume of sales, increasing the price or improving turnover. In fact, the problem of properly regulating prices and output is largely dependent upon a knowledge of production, distribution and administrative costs per unit of product or of service.

answer Jul 8, 2017 by Shubham Rajput
Contact Us
+91 9880187415
#280, 3rd floor, 5th Main
6th Sector, HSR Layout
Karnataka INDIA.