Doel Mehra
asked almost 2 years ago
Can anyone tell me about Relevant Cost Analysis for CIMA C01 Fundamentals of Management Accounting ?
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Soundray Kumar
answered almost 2 years ago
Managerial accounting information is used by company management to determine what should be sold and how to sell it. For example, a small business owner may be unsure where he should focus his marketing efforts. To evaluate this decision, an accounting manager could examine the costs that differ between advertising alternatives for each product, ignoring common costs. This process is known as relevant cost analysis and is a technique that is taught in basic managerial accounting courses.
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