Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Absorption costing is a cost accounting method that tries to charge all direct costs and all production costs of an organization to specific units of production. Managerial decisions cannot be taken with the help of absorption costing.
Marginal costing, also known as variable costing, takes into accounts only variable costs as product cost. By showing the variable cost and contribution for each product, marginal cost helps the management in taking appropriate decisions.
Marginal cost is the cost incurred on producing an additional unit. Contribution is nothing but the difference between the sales value and the marginal or variable cost of the product. This contribution covers the fixed cost and generates profit.
The profitability of the operation of a business can be known with the help of profit/volume ratio. It establishes the relationship between contribution and sales.
A break even point is a point at which a firm earns no profit and does not bear any loss. It is a point at which the total sales are equal to total costs. In other words, contribution is sufficient to cover only fixed cost.
CVP Analysis is useful for taking decisions like fixation of selling price, effect of change in price, alternative methods of production, alternative course of action etc.
The break even chart is primarily drawn to understand the relationship between the costs/sales and profit at various levels of activity. The main feature of the break even chart is that it shows the break even point and the profits and loss at different levels of activities. The profit-volume chart describes the profit and loss of business at different levels of sales. In other words, it is the representation of the facts in the break even chart.
Internal Rate of Return
Q. Define Risk-adjusted discount rates? One technique in this heading is the assignment of investment projects to one of a set of risk classes all of which has a different disc
Loan stock in subsidiary The holding company may also invest in the loan stock of the subsidiary company or part of the loan stock of the subsidiary company. The cost of the loa
A) A portfolio's daily changes have a standard deviation of $15 million. Suppose the daily changes in the portfolio's value have a first order serial correlation of 0.25. Calculat
Wendy is evaluating a capital budgeting project that should last for 4 years. The project requires $ 800,000 of equipment. She is unsure what depreciation method to use in her anal
Mr. Wong currently running a small manufacturing business. The Trial Balance of the business at 31 March 2011 is as follows:
What is asset turnover - Asset turnover is a ratio which is considered as measures the effectiveness with which a business uses its assets in relation to the level of sales or inc
practical problems of chapter one of company accounts
The common stock of the CC Corporation has been trading in a narrow price range of around $50 for months, and you are convinced it is going to stay in that range for the next 3 mon
Explain the term- Not-for-profit organisations There are many organisations that don't exist mainly for the pursuit of profit. Instance include: ?charities ?clubs and ass
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd