A helpful technique, for accurate forecasts about costs to be incurred in future is a part of ___________?

Correct answer: C. cost estimation

  • A. unit estimation
  • B. production estimation
  • C. cost estimation
  • D. price estimation

Explanation

Cost estimation uses historical and analytical techniques to forecast the costs likely to be incurred in the future. Unit, production, and price estimates may support it, but the broader technique is cost estimation.

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About Cost Accounting

Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.

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