Cost accounting systems accumulate manufacturing costs and then assign them to products and services.

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Cost accounting systems are designed to track and allocate manufacturing costs to specific products or services. This helps managers understand the true cost of producing each item and make informed decisions about pricing, production volumes, and other aspects of their business. By accurately capturing these costs, companies can also identify areas for improvement and optimize their operations for greater efficiency and profitability.

Cost Accounting Systems Accumulate Manufacturing Costs and Then Assign Them