(See related pages)
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Describe the relationship between cost and value. |
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Understand how costs affect the three profitability measures. |
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Describe why costs are important in operations. |
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State the dangers of using average costs. |
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Explain why it important to be able to assign operations costs. |
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Explain the concepts of tracing and allocating costs. |
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Define the components of product costs. |
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Describe how cost reduction relates to productivity improvement. |
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Explain the concepts of standards and variances. |
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Compute usage, price, and total variances. |
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Understand the difference between total cost and cost per unit. |
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Conduct a breakeven analysis. |