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Analysis
Various business decisions have recurrent themes: whether to the outsource production or to the support functions, what level of production and pricing to establish, whether to accept the special orders with the private label of branding or the special pricing, and many more
Managerial accounting gives us the theoretical models of calculations which are required to support these types of decisions. Though such models are not perfect in every case, they surely are effective in stimulating correct thought. The apparently obvious answer may not always yield truly correct or best decision. Therefore, subsequent chapters will provide insight into the logic and methods/technologies that need to be employed to manage these types of the business decisions.
reasons for favourable or adverse variances i.e. prise usage, mix, yeild
Explain Profitability ratios in relation to sales a) Gross profit ratio b) Net profit ratio c) Operating ratio d) Operating profit ratio e) Expenses ratio
how much is this service?
Why might managers favour this ABC system instead of the older system that allocated all MOH costs on the basis of direct? labour?
Current ratio Meaning: this ratio establishes a relationship among current assets and current liabilities. Objective: the objective of computing these ratios is to calcu
Gather data concerning the relationship among the dependent and independent variables Collecting data is generally the most hard and time-consuming element of CER development.
Gardner Manufacturing Company produces a product that sells for $120. A selling commission of 10% of the selling price is paid on each unit sold. Variable manufacturing costs are $
C-V-P ANALYSIS – MULTIPLE PRODUCTS The simple product CVP analysis can be extended to handle the more realistic situations where the firm produces more than one product. The o
what is the not differential cost
THEORY OF METAGAMES This theory appears to describe how most people play non-zero sum games involving any number of persons. Prisoner's dilemma is an example of this; the ai
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