Advantages of abc analysis, Managerial Accounting

ADVANTAGES OF "ABC ANALYSIS"

The advantages derived from this analysis and its consequent follow up are summarized below:

1) Facilities selective control and thereby save valuable time of busy executives.

2) Eliminates lot of unnecessary paper work involved in various other control procedures. Tangible savings can be affected in this behalf by following Two-Bin System which is very closely related with this technique.

3) Facilitates Inventory Control and control over usage of stores materials which ultimately results in cost control.

Posted Date: 12/6/2012 6:48:59 AM | Location : United States







Related Discussions:- Advantages of abc analysis, Assignment Help, Ask Question on Advantages of abc analysis, Get Answer, Expert's Help, Advantages of abc analysis Discussions

Write discussion on Advantages of abc analysis
Your posts are moderated
Related Questions
Advantages of activity based costing 1) It helps understanding the behavior of overhead costs and their relations ship to products services customers and market segments. 2)

Question: A company has budgeted to produce and sell 10,000 units of a product, the selling price and the variable cost per unit of which is Rs 20 and Rs 12 respectively. Fixe

calculate the net operating income ,  evergreen corp has provided the following data: sales per period 1000 units ,selling price $ 40 per unit , variable manufacturing cost 12 p

Accounting ratios that determine a firm's ability to convert various accounts within their balance sheets into sales or cash. Companies will usually try to shift their productio

Cash to debt service ratio  Cash to debt service ratio also known as debt cash flow coverage ratio is an improvement over the interest coverage ratio and is calculated. The

reasons for favourable or adverse variances i.e. prise usage, mix, yeild

Two types of costs concerned in factoring are as: 1) The service fee or factoring commission 2) The interest on advances granted through the factor to the firm. Factoring

Standard costing in modern environment Standard costing has traditionally been associated with labor-intensive operations, but it can be applied to capital-intensive production

What are the Objectives of Intra company transfer pricing The objectives of Intra company transfer pricing are: 1) Evolution of performance and efficiency of each division.

Explain the practical application of differential costing with examples