Cost Accounting Assignment代写:生产成本

2016-12-19 09:33



Cost Accounting Assignment代写:生产成本

Generally speaking, the cost of production comprises of two parts,direct costs and indirect costs. Those that can be found in the process of the creation of a production are direct costs. Normally it includes materials and labor costs. While indirect costs involves in factors that cannot be traced in production. In the telecommunication packages, the total spent for the service including money, time and labor. Surely the costs can be divided into direct ones and indirect ones. For Telstra, compared to normal packages without offering a phone, costs of the package of the phone plans are the service cost and the phone provided. The later has a bigger proportion of the total cost. But by offering a phone the company can attract much more customers and make then loyal to them, and consume in regula amounts. In order to make profit, costs must be taken into consideration. For example, the amount and which kind of phone can be provided in particular plans is suitable to increase interests.
Fixed costs do not vary with output or sales as Figure 1 shows. For instance, the rent of outlets is a part of the fixed cost. Whether or not they sign a contact with customer in the plan they will have to pay the rent. So if the management find a plan can bring profit to the company, they should give it up for the fixed costs existed all the time. Whereas variable costs are varying with sales. For example, in a plan the company has to bought a phone at first, the phone may $60. Together with the plan, they will get profit, and the $60 for the phone is variable cost. So to make the variable cost low, Telstra has to bargain with phone manufactures.