Article ID: | iaor199127 |
Country: | South Korea |
Volume: | 2 |
Issue: | 2 |
Start Page Number: | 25 |
End Page Number: | 32 |
Publication Date: | Oct 1989 |
Journal: | IE Interfaces |
Authors: | Lee K. |
The paper studies the joint cost allocation based on the book profit producing power of the output through the A-S price mechanism. It shows what part of the A-S book profit is allocated to the joint cost and what part is allocated to the variable total book profit of the short-run book profit function. Also the paper compares some other classical joint cost allocation methods with this A-S price method.