How to Use Total, Unit, and Average Costs PREMIUM
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Learning SummaryDescription:
This training module explains how to use total, unit, and average costs for analyzing business situations. It defines the nature of total, unit, and average costs, and shows when and how to use these costs for decision making. It also explains the dangers inherent in the use of average costs when there is significant variability in the underlying data and how the use of the median may be a better cost approximation in these situations.
Prerequisites:
Who should complete this module:
Managers, supervisors, entrepreneurs, and professionals in any discipline who work in service or manufacturing operations; CPA, CMA, CGMA, and other accounting professionals; educators and students in cost accounting and operations management.
Learning Objectives:
In this module, you will learn to:
1. Define total, unit, and average costs.
2. Calculate total, unit, and average costs.
3. Differentiate when and how to use these costs for decision making.
4. Identify how variability affects average costs.
1. Define total, unit, and average costs.
2. Calculate total, unit, and average costs.
3. Differentiate when and how to use these costs for decision making.
4. Identify how variability affects average costs.
Competencies Acquired:
Use total, unit, and average costs to analyze business situations and identify cost improvement opportunities.
Program Level:
Intermediate
Duration of Video:
9:57
CPE Credit:
0.5
Delivery Method:
QAS Self Study
Field of Study:
Finance
Additional Info:
For general information regarding our training modules, including practice exercises and assessments, or information on refunds, concerns and program cancellation policies, please see our Help section under the Resources menu.
Last Revision Date:
1 Aug 2019
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