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!
Cost driver analysis
Cost drivers are factors, which determine the costs of an activity i.e. a change in the cost driver will cause a change in the level of total cost related cost object. The cost drivers can either be volume based or transaction based. The company must therefore understand its cost drivers so as to control costs.Target costing
This is another contribution to strategic management accounting. This is an approach to product pricing widely applied by Japanese companies and now being given a lot of attention in the USA and Europe. It is determined by exterior market factors.
A target market price is recognized by marketing management former to designing and introducing a latest product. This target price is put at a level which will allow the company to attain a desired market share and sales volume. A preferred profit margin (target profit) is then deducted to determine the target maximum allowable product cost (target cost).
Product costs are computed based on design specification and compared with the target cost. If the projected product cost is above the target cost then product designer’s focus on it becomes cheaper to produce. Manufacturing engineers also focus on methods of improving production efficiency so that the target cost can be achieved even after a period of one to two years. A team of designers, engineers, marketing and production personnel, together with the management accountant, concentrate on producing a product that meets the target cost requirement. The role of the management accountant is to produce cost estimates for the various projected product designs, measure and monitor product costs once the production process begins.
I am part of a marketing group, and we are working on a project for a local cable company,they currently serve 3,200 customers and sell 50 wireless boxes a month,what I need to do
1. Common-size analysis of company''s income statement, Balance sheet 2. Horizontal analysis of company''s income and balance sheet : for the last two years for both 3.perform rati
Customer oriented or perceived value pricing There is an increasing trend to price the product on the basis of the customer's perception of its value. This method takes into ac
Exact management of receivables acquires a suitable collection policy that outlines the collection procedures. Collection policy consider as the procedure adopted through a firm to
Illustration: ABC analysis Combine items on the basis of their relative value to form three categories—A, B and C. The data in the table below illustrates the ABC analysis.
Going rate or follow the crowd pricing:- In this method the firm price its products at the similar level as that of the competition. This method supposes that there will be no
Determine the tyoes of Cost centre Cost centre can be of two kinds: 1. Impersonal cost centre: consisting of a location or item of equipment (or group of these) like machi
Determine the The tools and techniques used in management accounting 1. Financial policy and accounting : every concern has to take a decision about the sources of raising fun
Selling product for 31.00 and Variable expenses are 26.00. In order to cover the fixed expenses 31,500 hats must be sold what is the Total fixed cost in dollars?
Working capital is a necessary requirement for any type of business activity. Banks in India nowadays constitute the main suppliers of working capital credit to any type of busines
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