Standard Costs

Definition Standard costsĀ are those that should be incurred in a particular production process under conditions. It is a predetermined cost of a unit of product, or an operation or department or process. It forms the basis of budgets and sales price determination decisions.

Sales allowance

What is sales allowance? Definition If the seller is informed by the purchaser that some of the goods are defective or damaged or not according to specification, the seller may agree to reduce the price of such goods. This reduction in price is known as sales allowance.


Definition When the goods purchased for selling purpose are sold to customers at a particular price are termed as sales. In simple words goods sold are called sales. Example Cloth sold by a cloth merchant is known as “Sales” Cement sold by a cement dealer is known as “Sales” Cars sold by a car dealer …

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