Examlex
Earnings per share is useful in comparing earnings performance across companies.Earnings per share is useful in comparing earnings performance for the same company over time.Earnings per share cannot be used to compare across companies because of differences in the number of shares outstanding among companies.
Traditional Costing Method
A costing methodology that allocates overhead costs based on a single, volume-based cost driver, such as labor hours or machine hours.
Direct Labor-Hours
The total time workers spend on producing a product, directly correlating to the product itself.
Unit Product Cost
An expression of the total production cost (materials, labor, and overhead) divided by the number of units produced.
Traditional Costing Method
An accounting strategy that allocates overhead costs to products based on a predetermined rate, without considering the actual activities that incur costs.
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