Accountancy, asked by paultapak7686, 1 year ago

Difference between specific cost and composite cost

Answers

Answered by sachinarora2001
5
Specific cost is refers to the cost associated with the particular source of capital...

For e. g. Cost of equity.

Composite cost refers to the combinied cost of different sources of capital taken together.
for e. g. cost of debt, cost of equity etc..


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Answered by Manjula29
1

Answer:

Specific cost is the cost of a specific item of business that regulates the organization's capital structure.

Eg:- Cost of Equity

Composite Cost is the cost of the overall items of business and assets that serve as a purpose for the regulation of the organization's financial structure.

Eg:- Cost of Fixed Assets, Cost of Current Liabilities, etc.

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