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Acc 406 chapter 2 -- basic managerial accounting concepts. Cost: is the amount of cash or cash equivalent sacrificed for goods/services tha t are expected to bring a current or future benefit. Expenses: costs that are used up in the production of revenues, ie, that are exp ired costs. Price: is the revenue per unit; for the company, revenue and price are the same; cost is different. Accumulating costs: is the way that costs are measured and recorded (bill arrive s, bookkeeper records and addition to the telephone expense and account payable) Assigning costs: is the way a cost is linked to an object (why the money was spe nt) Cost objects: is any item such as a product, customer, department, project, geog raphic region, plant, etc. for which costs are measured and assigned. Ex, taking a summer course = course is cost object; cost would also inc lude, tuition, books, fees, transportation and opportunit cost (foregone wages)

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