管理会计讲义chap007.pptVIP

* With all of these advantages, why is absorption costing still so prevalent? One reason (in addition to the external reporting issue) relates to the matching principle. Advocates of absorption costing argue that it better matches costs with revenues. They contend that fixed manufacturing costs are just as essential to manufacturing products as are the variable costs. However, advocates of variable costing view fixed manufacturing costs as capacity costs. They argue that fixed manufacturing costs would be incurred even if no units were produced. 7-* * Companies involved in TOC use a form