Quantitative and qualitative information - cost accounting, Cost Accounting

Assignment Help:

Quantitative and Qualitative Information in Accounting Systems

The availability of information is the lifeblood of any type of management and cost accounting system. It is vital such input information is appropriately controlled in order such output information is helpful.  That information should be relevant for management's planning, and decision making control reasons.

The information employed in management and costs accounting may be qualitative or quantitative.

Quantitative is that which may be measured in monetary terms or other physical units as like an example of material may be expressed like ok Shs. 1000 or 250 kilos. It is simply objectively expressed.

Qualitative information is that information which cannot be objectively expressed. Therefore it is very difficult to quantify that information and for this purpose, it is largely subjective, as an example: a comment via management to the improved staff's morale resulting in raised profits- it is not easy to express the improved staff morale in monetary quantified terms.  It is impossible or not easy to objectively quantify qualitative information.

Cost accounting mainly employs quantitative information whereas financial accounting employs purely quantitative information. Management accounting employs a mixture of the two however the information is at rest most quantitative. Managers employ both quantitative and qualitative information.  However the accounting system is the major source of qualitative information.


Related Discussions:- Quantitative and qualitative information - cost accounting

What are variable costs, Variable costs are the cost that are directly prop...

Variable costs are the cost that are directly proportionate with the quantity of manufacture and or directly associated with the service.

Determine the amount of depreciation expense, Waylander Coatings Company pu...

Waylander Coatings Company purchased waterproofing equipment on January 6, 2013, for $320,000.The equipment was expected to have a useful life of four years, or 20,000 operating ho

Profit an economic profit, Johnson Farms owns valuable farm land that permi...

Johnson Farms owns valuable farm land that permits it to make wheat at a lower cost than its competitors. The company reports large profits every year on its accounting statements.

Job order costing, the folloeing job order cost sheets were purchased for t...

the folloeing job order cost sheets were purchased for three jobs that were in production during january job 97 job 98 job 99 material

Calculate direct labour hour, Manson Manufacturing applies manufacturing ov...

Manson Manufacturing applies manufacturing overhead at a rate of $30 per direct labour hour a)when during the year was this rate computed b)Describe briefly how this rate was

Compute the cost of good sold and the ending inventory value, Beginning inv...

Beginning inventory on March 1 consisted of 2,000 units each costing $11.20. During March, the following was purchased for inventory: Date Purchase

Labour Costs and Overhead Costs, Labour Costs and Overhead costs Labo...

Labour Costs and Overhead costs Labour Costs Labour costs can be indirect or direct labour costs. Direct labour cost refers to wages paid to workers who such are directly

Mr., behabioural aspect of standard costing on budget

behabioural aspect of standard costing on budget

Question, mojor elements of cost sheet

mojor elements of cost sheet

Emu Manufacturing produces two popular toys - Blox and Shape, Blox ($) Sha...

Blox ($) Shapez ($) Direct material per unit 10 23 Direct labour per unit 19 32 Manufacturing overhead per unit 7 10 Selling & Admin. expenses per unit 17 31 T

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd