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limitations of standard costing1 it may be very difficult to fix standards for all operations2 incorrect standards
advantages of standard costing1 it offers a yardstick for measurement of performance2 it helps management by
standard costingstandard costing is a method which uses standards for costs and revenues for the idea of control by variance analysis it can be used
utility of break even point in managerial decision making1 it assists in determination of sales mix2 it assists in exploring new markets3 it assists
demerits of break even point1 it pays no attention to considerations like effect of government policy changes changes in the marketing environment
angle of incidence it is an angle that is created when the entire sales line intercepts the entire cost line from below in the breakeven chart it
contribution it is the variation between the marginal cost of sales and sales and it contributes towards fixed profit and expenses it is differ
assumptions of break even analysis1 fixed costs for all time remain constant2 all costs are divided into fixed and variable costs3 selling price will
break even analysisbreak even analysis is a broadly used technique to study cost-volume-profit relationship it can be explained as - a system for
uses of cvp analysis1 it allows preparation of flexible budgets2 it provides help in forecasting accurate profit3 it aids in formulating price
cost profit volume analysiscost profit volume cvp analysis is an essential tool for profit planning it can be explained as - a managerial tool
marginal costing and differential costing1 differential costing can be used both in case of marginal costing and absorption
differential costingmarginal costing is often confused with differential costing the word differential costing means a technique used in the
marginal costing vs direct costingdirect costing is the method where only direct costs are measured while calculating the cost of the product
marginal costingas per the chartered institute of management accountants london the phrase marginal cost means - the amount at every given volume of
cost concepts classification of costs1 according to functionsadministration cost office costselling cost production cost factory cost
elements of costnearly there are three elements of cost - labor material and expenses these are additional divided into indirect and direct material
limitations of cost accountingcost accounting similar to additional branches of accountancy is not an precise science although is an art which was
advantages of cost accounting1 it helps in efficient decision making2 it assists in
objectives of cost accounting1to help in the development of long range plans by provided that cost data that acts as a origin for projecting data for
definition of cost accountingdefinition as said by the institute of cost and works accountants icwa london cost accounting is the method of
uses of cash flow statementsthe main usefulness of cash flow analysis is that it facilitates the finance manager to approximation the cash
cash flow statement vs funds flow statement together the cash flow statement and funds flow statement give approximately comparable picture of
cash flow analysis as per the institute of cost and works accountants of india aicwai a cash flow statement is a declaration setting out the