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Throughput accounting :They are not normally treated as variable costs.
Traditional product costing :Inventory is valued in the income statement and balance sheet at total production cost.
Throughput accounting :It is valued at material cost only.
Traditional product costing :Variance analysis is employed to determine whether standards were achieved.
Throughput accounting : It is used to determine why the planned product mix was not produced.
Traditional product costing : Efficiency is based on labor and machines working to full capacity.
Throughput accounting : Efficiency requires schedule adherence and meeting delivery dates.
Traditional product costing : Value is added when an item is produced.
Throughput accounting : It is added when an item is sold.
