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ALGEBRAIC ANALYSIS
The supposition of linear cost behavior allows use of straight-line graphs and simple linear algebra in cost-volume study.The net cost is a semi-variable cost—few of the costs are fixed, a number of costs are variable, and others are semi-variable. In study, the fixed component of a semi-variable cost can be treated similar to any other fixed cost. The variable component can be treated similar to any other variable cost. As an outcome, we can state that:Total Cost = Fixed Cost + Variable Cost By using symbols: C = F + VHere:C = Total costF = Fixed costV = Variable costNet variable cost based on two elements:Variable Cost = Variable Cost per Unit x Volume Produced By using symbols:V = Vu (Q)Here:VU = Variable cost per unitQ = Quantity (volume) producedReplacing this variable cost information into the fundamental total cost equation, we have the equation employed in cost-volume study:C = F + VU (Q)
Explain the cost According to controllability: Controllable cost: this is a cost which can be inclined by the action of a specified member of an undertaking. The organization
Negotiated prices Where market based prices are not applicable, it has been argued that allowing managers to bargain with each other in order to establish transfer prices devel
solution to problem 2-23,T-Accounts;applied overhead of Kleinman Company is a manufacturing firm and employess a job-order costing system.
SK 2 Chapter 10: Master budgeting Objective How organisations strive to achieve their financial goals by preparing a number of budgets that together form an integrated business pla
What are the factors which led to the development of ABC: 1) Traditional costing fails to capture cause and effect relationship 2) Traditional costing often fails to highlig
advantage and disadvantage of incremental budget
Question 1: Assuming that you are appointed consultant on economic matters for a company and you are asked to analyse the market structures in various sectors of the economy.
The working capital needs of a firm are influenced by many factors. The important ones are as follows: Nature of business: The working capital necessity of a firm is closely l
Ask question #Miwhy is the activity based costing unaccepable for external financial reportnimum 100 words accepted#
A company manufactures a one product. Estimated cost data regarding this product and other information for the product and the company are as follows: Sales price per unit Rs.2000
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