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Conditions necessary in a control cycle
There are four necessary conditions that must be satisfied before any system can be said to be controlled. Such are as follows:
(1) Objective of the process being controlled must exist
(2) The output of the procedure should be measurable in terms of the dimensions defined by the objective.
(3) A predictive model of the process being controlled is required so that causes for the non-attainment of objective can be identified and proposed corrective action analyzed.
(4) There should be potential of taking action therefore deviation of attainment from objective can be reduced.
Advantages of Transfer Pricing (a) Transfer pricing is similar to cost apportionment and allocation in that values of one department are passed to another. For cost apportionme
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Under this method, approximated profit is calculated depends on transactions of the ensuing period. Afterward, decrease or increase in working capital is determined adjusting the e
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Working Capital management is affected through two characteristics of current assets that are as follows (i) short life span (ii) swift transformation in the other asset forms.
How to write introduction on strategy plan
Implementation of the Decisions Once alternative courses of action have been chosen, they must be implemented as part of the budgeting procedure. The budget is a financial plan
select any manufacturing company of your choice that produces any product. describe and compare the marginal and absorption costing system used in the selected company
How costs behave as the level of activity/volume changes. Why an understanding of cost behaviour is important ? Types Variable e.g. petrol, direct materials Fixed e.g.
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