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Important Points Regarding to the Variance Analysis
Variance reporting concentrates on both with favourable and unfavourable variances. Normally unfavourable variances are punished on the responsible persons whereas favourable variances are rewarded. Conversely, it is a rule of thumb but not usually the case. Keep in mind that an unfavourable variance might arise because of factors beyond the employee's or manager's control, whether in case you can't punish that person: quite, you have to explain the unfavourable variance in terms of the uncontrollable factor of alternatively adjust the standard to incorporate the changed circumstances. The similar case can be argued for favourable variances.
Production of a particular product costs $50 per material, $80 per labour and variable overhead is 75% of labour cost. If the selling price per unit is $230 and fixed cost amounts
Purpose of Cost Accounting Information Cost accounting is employed for a number of reasons, some of that are briefly described in the given points as: a) Accounting for co
A company manufactures two products, Product A manufactured in Process Y and Product B manufactured in Process Z. The following information is available for a period:
advantages and disadvantages of uniform costing
A corporation acquired a truck on July 1, 2012, at a cost of $162,000. The truck has a six-year useful life and an estimated salvage value of $18,000. The straight-line method of d
Prepare a spreadsheet of an overhead budget for the company in Problem 5 on page 216 of the textbook. You have been running a construction company out of your home with your spouse
The follow data relates to year 20XX for Plano Manufacturing Company: Units produced - 2,000 Units sold - 1,800 Selling price - $200 / per unit Direct material costs - $80,000 Dire
what is classification of cost?
Surplus Stores Ltd is a company which frequently buy goods in large quantities and makes alterations to the goods before selling. At 31 Dec 2000 the following items were included i
CVP Analysis in Situations Subject To Change Revenue and Cost will change and also sales volume because of a number of factors involving: a) Increased competition may need
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