Question

“Educational institutions use operating costing.” Comment. Name other two industries/service organisations that use service costing.

Hint:

To select the correct cost unit:
• Use Simple Units when the service consists of a single activity (e.g., cost per kilometer).
• Use Composite Units when the service combines volume and duration (e.g., cost per bed-day occupied for hospitals, or cost per student-year for colleges).

Answer 1