Input-Output Analysis for Cost Accounting, Planning and Control: A Proof.
The Accounting Review
1973
The article proves that a version of the matrix cost allocation model is equivalent to the input-output model. When the general input-output model is applied to the interdepartmental cost allocation problem, it becomes equivalent to the matrix allocation model known as the gross service model. Moreover, if one of the two models does not have a unique solution for a particular problem, it follows that the other model cannot have a unique solution as well. The cost allocation model should be regarded as a special case of the input-output model. This is mainly because the two models yield equivalent cost allocations, and the input-output model can be used for many various purposes and in different contexts.
- DOI
- 10.2308/tar-4503949
- Volume
- 48 (2)
- Pages
- 377-380
- Language
- en
- Export
- BibTeX
- Sources
- openalex crossref