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Alternative performance measures
There are various measures that can be used to measure performance of a decentralized company. The major ones are:
• Return on Investment• Residual income• Discounted cash flow methods like the NPV technique• Value added statements• Bench marking• Balanced score card
What is Direct material cost variance It can be defined as the difference between the standard costs of direct material specified and the actual cost of direct material used.
Characteristics of standard costing 1) Flow of information : in a standard costing system cost information flows in a straight forward manner as material is requisitioned and
what is the computation procedure of accounting rate of return?
advantage and disadvantage of incremental budget
Explain the Break-Even Analysis The study of cost volume profit analysis is often referred to as break-even analysis and the two terms are used interchangeably by many. This i
Pricing decision Price may be defined as the exchange of goods or services in terms of money. Without price firm can survive in the society. If money is not there exchange of g
Which of the following costs is an example of a cost that remains the same in total as the number of units produced changes?
prepare all budgets
INCOME STATEMENTS
Controlling Things hardly go exactly as planned, and management should make a concerted effort to the monitor and adjust for their deviations. The managerial accountant is the
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