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Q. Explain about Inventory Turnover Ratio ?
Inventory Turnover Ratio: - Definite items of inventory are slow moving. It signifies that their consumption is quite slow and capital remains locked up in such items for a long period. As a consequence carrying costs continue to incur on such items. Slow moving items are able to be identified with the help of inventory turnover ratios.
Inventory Turnover Ratio (in times) = Cost of Goods Sold / Average Stock
ON THE BASIS OF TIME • Long term budget : as per the National Association of Accountants, America, a long term budget is a systematic and formalized process for purposeful co
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Variance Analysis: In its commonest form variance analysis is the process of comparing budgeted financial performance (or financial goals) against actual financial performance.
Q. How will you conclude the cost of capital from different sources? Ans. Implication of Cost of Capital: - Cost of capital of a firm is the least rate of return expected by it
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