Input-exogenous variables, Managerial Accounting

Input or exogenous variables

These are variables of two types:

1) Controlled variables:

These are variables that can be controlled by management. By changing the input values of the controlled values, and observing the change in the output answers is the main activity of simulation. E.g. rearrange level and rearrange quantity.

2) Non-Controlled Variables:

These are the input variables that are not under management control. Usually these are probabilistic or stochastic variables. E.g. in pdn simulation the no. of breakdowns, in inventory-demand and lead-time.

Posted Date: 12/6/2012 7:49:15 AM | Location : United States







Related Discussions:- Input-exogenous variables, Assignment Help, Ask Question on Input-exogenous variables, Get Answer, Expert's Help, Input-exogenous variables Discussions

Write discussion on Input-exogenous variables
Your posts are moderated
Related Questions
Transfer pricing with third party consequences Transfer prices are used not only for internal record keeping and performance evaluation purposes. There are several settings


What is period cost Period costs are those costs which are reported as expanses of the period in question. These are cost which are not assigned to the product but are charged

a)      Calculate  and  discuss  the  nature  and  role  of accounting  for  business enterprise.  b)      Determine and discuss  the desirable qualities  expected from the prep

Painter Ltd, which manufactures and sells a single product, is currently producing and selling 102,000 units per month, which represents 85% of its full capacity. Total monthly cos

JIT purchasing On the other hand is a purchasing system in which material purchased are contracted so as that the receipt and usage of materials to the maximum extent possible,


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) A company manufactures and sells two products A and B. Presently, it sells 600 units of A and 400 units of B at a price of £24 and £19 respectively. The unit

Debt equity ratio Meaning: this ratio establishes a relationship among long term debts and share holders funds. Objective: the objective of computing this ratio is to me