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Explain Programmer budgeting According to burkhead
According to burkhead a program budget serves a different purpose than performance budget. A performance budget is useful for review and decision marking at and above the department level. It is adopted to the requirement of overall budgetary planning."
Thus program budgeting implies the following:
Analysis of information for identifying and selecting long term objectives
Determine the program to attain the objectives
Cost benefit analysis
Selecting long term investment projects
Specifying the programs and activities
Finally allocating the resources
What is Direct material cost variance It can be defined as the difference between the standard costs of direct material specified and the actual cost of direct material used.
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Strengths and weakness of net book value and pay back method
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Hornsby Manufacturing has four categories of overheads. The four categories and the expected overhead costs for each category for next year are as follows: Maintenance $140,000
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