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1. Increasing the number of indirect-cost pools is guaranteed to sizably increase the accuracy of product or service costs.do you agree? Support your anser using examples
2. The application of activity based costing doesn't apply in service industries. Service industries don'tmaintain any inventory and therefore ABC will not add any value to the organisation. Do you agree? Support your answer using examples.
3. FrancescaLorie. a production manager, states that "instead of allocating budgeted manufacturing overheads to jobs, we should straight away charge actual overheads. This would avoid the constant problem of under applied and over applied overheads and therefore no adjustment would be necessary. Plus instead of consuming our valuable resources for this activity we can utilise them else here. This would definitely improve profitability in the long run" write a memo to Francesca to clarify her concerns
4. Why might an analyst examining variances in the production area look beyond that business function for explanation of those variances? Support your answer using examples.
Net Income approach says that a raise in the proportion of debt financing in capital structure results in an increase in the proportion of a cheaper source of funds. This in turn r
What are financial markets? Why do they exist? Ans: Financial markets are in which financial securities are bought and sold. They be present primarily to bring deficit economi
SCOPE OF FINANCE FUNCTIONS The functions of Financial Manager can generally be sub-divided into two: The Routine functions and the Managerial Functions. Managerial Finance F
what is future value
Monetary Policy The Federal Reserve's goal is to regulate the growth of the monetary aggregates to ensure sufficient credit expansion to foster economic growth, without inflati
I need a report on the topic Factors affecting Composition of Working Capital. Can you please assist me?
Debt holders versus Shareholders A second agency problem arises because of potential conflict between stockholders and creditors. Creditors lend finances to the firm at rates w
Why do firms enter an industry when they know that in the long run economic profit will be zero? Firms enter an industry while they suppose to earn economic profit. These shor
What is the Modigliani and Miller theory of dividends? Explain. The Modigliani-Miller theory of dividends says so as dividend theory is irrelevant. They claim so as to it is
a) Ltd. stands for ‘private limited company', i.e. a business with limited liability with shares being issued only to friends and family with the approval of the board of directors
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