Data Accumulation

To facilitate periodic comparisons with the various budgetary plans, the accumulation of actual income and expense items must necessarily follow the responsibility network pattern.

this requires a three-dimensional classifications of cost and revenue during the data accumulation process. Cost are classified first by responsibility centers, secondly, within, each center, by wheter they are controllable or noncontrollable; and third, by cost types, or by line items, such as salaries, supplies, materials, and rent