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The Goal by Goldratt indicates that, in traditional cost accounting method, the per unit product cost increases when batch size is reduced, mainly because the
"The Goal" by Goldratt indicates that, in traditional cost accounting method, the per unit product cost increases when batch size is reduced, mainly because the fixed cost (labor cost for setup) gets divided by less number of units. Why is this calculation flawed for non-bottleneck resources? What would be a more accurate method to calculate per unit cost?
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