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Operating Income
1. Operating Income is derived from two sources, Rental Income from businesses operating in the warehouse complex and Interest Income of the project operating account (when in positive balance)
Operating Expenses
1. Advertising is calculated as a percentage of Gross Rental Revenue.
2. Council Rates are calculated as a percentage of the value of the land used in the project. The amount paid for Rates is expected to increase by the inflation rate each year after the initial year of the investment.
3. Light & power (for security lighting and airconditions plant) is a fixed amount per annum projected to increase by the inflation rate each year after the initial year of the investment. Tenants pay for their own power usage.
4. Telephone costs for the administration office are determined from the following;
what is the meaning of classification of cost in relation to variability?
sales to profit volume ratio for three year
format of contractee account and an example
(a) Calculate Mexico's producer surplus and consumer surplus in autarky. (b) Calculate the number of Mexican imports with as well as without the Tarriff. (c) Calculate Mexico
cost accounting is said to three different phases ?? name them.
Process of Setting Standards in Standard Costing Establishing correct a standard is extremely important due to the accuracy of the standards usually finds out the success of t
Identify and explain many classification of costs for planning, control, performance evaluation and decision making.
Development and Research Cost Budget These are costs that are discretional in nature such as they are determined on need basis via the managers concerned. Research cost is the
Standard Costs Establish the Minimum Desirable Costs When actual costs incurred exceed or else are below the standard costs, we after that investigate the variances along with
Limitations of Budgeting 1. Too mush reliance may reason resistance or inflexibility to change. 2. Difficult to set levels of attainment. It may result into too tight budg
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