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State (or select) the dependent variable (Y)
Will the CER be employed to estimate price, labor hours, cost, material cost, or some other measure of cost? Will the CER be employed to estimate net product cost or estimate the cost of one or more components? The improved the definition of the dependent variable, the simpler it will be to collect comparable data for the CER development.
The dependent variable is the cost to be estimated and it is choice based on the aim of the cost function. It might also be termed to as response variable.
Explain with examples five areas where linear programming can be applied in Managerial accounting
#labour costing techniques
Adjacent extreme points differ in only one variable The first observation indicates that we can identify the extreme points of the solution space algebraically by setting zero as
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x+2y+3z=6 2x+4y+z=7 3x+2y+9z=14
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What nonfinancial factors should management consider in making its decision on whether to accept or reject a special order?
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