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Input or exogenous variables
These are variables of two types:
1) Controlled variables:
These are variables that can be controlled by management. By changing the input values of the controlled values, and observing the change in the output answers is the main activity of simulation. E.g. rearrange level and rearrange quantity.
2) Non-Controlled Variables:
These are the input variables that are not under management control. Usually these are probabilistic or stochastic variables. E.g. in pdn simulation the no. of breakdowns, in inventory-demand and lead-time.
Significance points of Variance The following significant points must be kept in mind: Controllability: Controllability should also influence the decision whether t
Determine the Functions of management accounting: 1. Planning and forecasting: management fixes various targets to be achieved by the business in near future. Planning and fo
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what is cost bookkeeping
Correlation coefficient (r) Correlation coefficient measures the degree of association between two variables such as the cost and the activity level. r = nΣxy - Σx Σy
Important steps of budgetary control There are certain steps which are essential for the successful implementation of a budgetary control system. They are as follows: 1) Or
Gather data concerning the relationship among the dependent and independent variables Collecting data is generally the most hard and time-consuming element of CER development.
Budget Preparation The organization's budget is ready following the acceptance and sanction of the decision packages. Once the budget of organization has been accepted manager
Hoe to find the cost of goods transferred under weighted average method
The standard cost of chemical mixture ~ PQ’ is as follows: 40% of material P @ Rs. 400 per kg. 60% of material Q @ Rs. 600 per kg. A standard loss of 10% is normally anticipated in
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