Allocation of expenses
This query is : Resolved
11 October 2012
Sir
I am working in a BPO cum software company.We are having different processes which are done by a group of persons. I want to ascertain the profitability for each process. We receive funds from clients individually for different processes. How can I allocate the fixed costs like rent, electricity,etc
I am working in a BPO cum software company.We are having different processes which are done by a group of persons. I want to ascertain the profitability for each process. We receive funds from clients individually for different processes. How can I allocate the fixed costs like rent, electricity,etc
Purushottam
(Expert)
14 October 2012
Activity Based costing is to be used for this purpose... e.g you can maintain hourly working sheet of employees to gather the data of hours worked for particular process.
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