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    ALMOSTTHERE's Avatar
    ALMOSTTHERE Posts: 3, Reputation: 1
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    #1

    Jun 1, 2007, 11:09 PM
    NOn Traceable Costs
    If non-traceable costs are not allocated to the various operating units within an organization, who ends up paying these costs?
    omsailogistic's Avatar
    omsailogistic Posts: 39, Reputation: -1
    Junior Member
    		  
    #2

    Jun 3, 2007, 04:43 AM
    I would like to answer your question in the following example

    Particulars... Unit 1... Unit 2... Unit 3... Total
    Sales... 500... 200... 100... 800
    (-) Variable... 300... 100... 50... 450
    Cost... ___... _____... _____... _____
    Contribution... 200... 100... 50... 350
    (-) Traceable... 100... 40... 20... 160
    Cost... ____... ____... _____... _____
    UnitWise Profit. 100... 60... 30... 240
    Non
    Traceable... 100Cost... ______
    Organizational Profit... 140
    ... ______ .
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