Quantitative and qualitative information - cost accounting, Cost Accounting

Quantitative and Qualitative Information in Accounting Systems

The availability of information is the lifeblood of any type of management and cost accounting system. It is vital such input information is appropriately controlled in order such output information is helpful.  That information should be relevant for management's planning, and decision making control reasons.

The information employed in management and costs accounting may be qualitative or quantitative.

Quantitative is that which may be measured in monetary terms or other physical units as like an example of material may be expressed like ok Shs. 1000 or 250 kilos. It is simply objectively expressed.

Qualitative information is that information which cannot be objectively expressed. Therefore it is very difficult to quantify that information and for this purpose, it is largely subjective, as an example: a comment via management to the improved staff's morale resulting in raised profits- it is not easy to express the improved staff morale in monetary quantified terms.  It is impossible or not easy to objectively quantify qualitative information.

Cost accounting mainly employs quantitative information whereas financial accounting employs purely quantitative information. Management accounting employs a mixture of the two however the information is at rest most quantitative. Managers employ both quantitative and qualitative information.  However the accounting system is the major source of qualitative information.

Posted Date: 2/5/2013 2:27:09 AM | Location : United States







Related Discussions:- Quantitative and qualitative information - cost accounting, Assignment Help, Ask Question on Quantitative and qualitative information - cost accounting, Get Answer, Expert's Help, Quantitative and qualitative information - cost accounting Discussions

Write discussion on Quantitative and qualitative information - cost accounting
Your posts are moderated
Related Questions
what is labour

Overhead Costs Introduction Overhead costs may be defined like the net cost of indirect materials, indirect expenses and indirect labour. They may happen or be charged to

Outdoors R Us owns several membership-based campground resorts throughout the Southwest. The company sells campground sites to new members, usually during a get-acquainted visit an

Flying High Company manufactures model airplanes. During the month, it manufactured 10,000 airplanes. Each one used an average of 6.5 direct labor hours and an average of 1.5 sheet

This is the income received but not earned throughout the accounting period. Conversely, this is the income for those services are to be rendered in future. Such income is deducted

Sales: $168,042 Variable Costs: $63,987 Total fixed expenses:$ 75,794 Number units sold per year: 6367 1. What is the contribution margin per unit of your product or service? 2.

1.  Prepare a cash flow forecast for the proposal to launch SafeCus in 2010 for a three-year period from 1 January 2010 using the data in the body of the Case Study and discount at

The Smiths have two children who live with them: Sandy and Judy. Both are full-time students. Sandy is an accomplished singer and made $4,200 during the year performing at special

The following standard costs were developed for one of the products of Ferrars Company: Standard Cost Card Per Unit Materials: 4 feet x $14.25 per foot $ 57.00 Direct labor: 8 hour

Generally Accepted Accounting Principles (GAAP) -Rules, conventions and procedures essential to define accepted accounting practice at a specific time. The highest level of such pr