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These are losses on account of uncollectable debts. While the amount due from debtors is irrecoverable, it is termed as bad debts. Bad debts, being loss are closed through transferring them to the debit side of the loss and profit account. The amount of bad debts is also deducted from debtors in the balance sheet. If similar appears in the trial balance, no adjustment entry is required. In this case, debtors show at their adjusted figure.
list and discus the problem encountered in adopting profit as a yardstick in measuring performance
critically explain cost accounting as 1. a service activity 2. a descriptive/analytical discipline 3. an information system
Alternative to Total Overhead Variances There is an easier approach to overhead variances. In this approach, the overheads are NOT sub-divided into their fixed and variable e
prepare cost accounting 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
Goal Congruence - Behavioural Aspects of Standards A perfect variance analysis and standard costing system must enhance goal congruence between as: i. The goal of individua
Denair Fine Wines, Inc., is planning to bring out a higher-quality wine product than any currently available in Stanislaus county. They've decided on selling the blended, fortified
There are different activities undertaken through a business that prove to be either source or use of cash. These can be categorizes under three broad categories that are: investin
Material Usage Variance (MUV): This is the variation between the actual quantity of material consumed and standard quantity which should have been consumed, expressed in terms
Three of the cost items that are included in the production overhead for a factory for a period are: Machine maintenance labour $33,600 Power
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