Acca f5 - Study guides, Class notes & Summaries
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ACCA - F5 Study Questions With Complete Solutions SPRING FALL-2023/24 EDITION GUARANTEED GRADE A+
- Exam (elaborations) • 36 pages • 2023
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What are the 3+1 stages of absorption costing? 
1. Allocation 
2. Apportionment 
3. Absorption = Production Cost 
4. Under/over = Non prod OH 
Why would you use Absorption Costing? 
Valuing Inventory 
Pricing Decisions 
Establishing profitability 
What are pros and cons of absorption and marginal costing? 
Absorption 
-Avoids varying profits if sales are seasonal 
-Consistent with accounting standards 
-Recognises Long Run variable costs 
 
-Implies OH related to production 
= Manipulate profit ...
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Performance Management F5 ACCA
- Summary • 20 pages • 2022
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content covered from the syllabus from 2021 to 2022
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