Why should a company calculate price and efficiency variance

Assignment Help Cost Accounting
Reference no: EM132610114

You are an assistant to the Management Accountant and Management Accountant has asked you to explain a briefing note and slides to be presented in the Budget Meeting of RC Company. Management Accountant has stated that:

"A standard cost is a carefully determined cost used as a benchmark for judging performance. The purposes of a standard cost are to exclude past inefficiencies and to take into account changes expected to occur in the budget period."

Required:

You must work on these points:

Question 1: Why should a company calculate price and efficiency variance?

Question 2: How do managers use variances?

Reference no: EM132610114

Questions Cloud

Write your response on give scenario based on interview : You're frustrated! Your boss, Shaun Rosen, has scheduled three appointments to interview applicants for the position of project manager.
What are the benefits of a financial report audit : What are the contents of an unmodified auditor's report? Explain each section. What are the benefits of a financial report audit
Conserved proteins between different species : As we know not all conserved proteins between different species are identical
Explain how water cycles through an ecosystem : 1. Choose either the nitrogen cycle or the carbon cycle and explain the role of decomposers.
Why should a company calculate price and efficiency variance : Why should a company calculate price and efficiency variance? You are an assistant to the Management Accountant and Management Accountant
Describe a predator prey graph : Describe a predator prey graph. Be sure to describe what happens when the predator population is high and when the prey population is high.
What amount of goodwill should Hatcher record : On 12/31/X1, Hatcher Corporation paid $9,150,000 to acquire Newman. What amount of goodwill should Hatcher record as a result of this purchase
Cost of strongly coupled components : Explain why a high degree of coupling among components of a software system can make maintenance of the system dif?cult.
Find what is the adjusting entry at december : Determines that uncollectible accounts are expected to be 4% of accounts receivable, what is the adjusting entry at December 31, 2008?

Reviews

Write a Review

Cost Accounting Questions & Answers

  Cost accounting assignment

Evaluate Method of measuring costs associated with production, budgeting process, normal job-order costing system , master budget, cycle time.

  Prepare the journal entries

Prepare the journal entries to record the bond issue and interest expense.

  Advise as to the liability of all the parties

Write a report on given case study and Advise as to the liability of ALL the parties both under common law and the Corporations Law.

  Prepare revenues budget

Prepare Revenues budget and Production budget in units

  Effect of exchange rate changes on cash and cash

Effect of exchange rate changes on cash and cash

  Corporate governance

You are to reflect on how this case of China Sky relates to what the arguments for and against allowing audit firm partners and/or employees to join audit committees.

  Cost-benefit analysis

A cost-benefit analysis of electronic medical records in primary care

  Non-annual interest rates and annuities

Theory of Interest- Non-annual interest rates and annuities

  Job costing in service organizations

How is job costing in service organizations different from job costing in manufacturing environments?

  Accounting for bad debt expense

Accounting for bad debt expense

  Accounting and partnership problems

Accounting and Partnership problems

  Development of relevant cash flows

Development of relevant cash flows - Cost estimating and financial analysis

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