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Definition of Cost reduction
Cost reduction is planned positive approach to reducing expenditure. Cost reduction exercises are planned campaigns to cut expenditure. It is a continuous process with the object of getting a more or less permanent benefit.
Construction is defied by CIMA London as the achievement of real and permanent reduction in the unit cost of good manufactured or services rendered without impairing their suitability for use intended.
Thus the cost reduction is therefore the term used for planned and positive approach to the improvement in product design better technology and techniques incentive schemes new layouts and better method then very quickly the costs will grow back to their original size.
the break even point in dollorsales for rice company is48,000 and the company's contribution margin ratio is 40 percent. If Rice Company desires a profit of $84,000, how much wou
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In this section we have discussed the motives for conducting cash balances. In addition, we have discussed cash deficit or surplus situation and how it can be contained by the use
discuss the applicability of an operating cycle in vegetable growing in a low developed country like Uganda- Africa
Disadvantages of standard costing 1) Difficulty in setting standards: setting of standards in practice extremely difficult and complicated task. First it is not possible to f
M/s ABC's present credit terms are 1/10 net 30 that they are planning to change to 2/10 net 30. The current average collection period is 20 days and the variable cost to sales rat
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Gather data concerning the relationship among the dependent and independent variables Collecting data is generally the most hard and time-consuming element of CER development.
Excercise 2-5 Granger products had the following transactions for the just completed month. The company had no beginning inventories. a)$75,000 in raw materials were purchased
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