Define Just-In-Time (JIT)inventory Methods

question 1

Essay

Define just-in-time (JIT)inventory methods.

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Definitions:

High-Low Method

A technique used in cost accounting to estimate fixed and variable costs associated with production or operations.

Variable Cost

Costs that change directly and proportionally with the level of output or production volume, such as raw materials and direct labor.

Electrical Cost

The expense associated with the consumption of electricity in a business or home.

Comparative Income Statement

A financial statement that presents the revenues, expenses, and net income for multiple periods side by side for comparison.