The collection of accounting data in some organised way is:
A)cost tracing.
B)conversion costing.
C)cost accumulation.
D)cost assignment.

Question

Quizplus · Accepted Answer

Cost accumulation refers to the process of collecting and organizing accounting data in a systematic manner. This includes the recording of all costs incurred by a business, such as direct and indirect costs, fixed and variable costs, and overhead costs. Cost accumulation is a critical step in the cost accounting process as it provides the necessary information for calculating the cost of goods sold and other financial statements. Cost tracing refers to the process of identifying and recording the actual costs of a specific product or service, while cost assignment involves assigning costs to specific cost objects based on some predefined criteria. Conversion costing refers to the process of accumulating and allocating production costs to finished goods.

The Collection of Accounting Data in Some Organised Way Is