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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
Interest coverage ratio (or debt service ratio) Meaning: this ratio establishes a relationship among net profits before interest and taxes and interest on long debt. Obj
Assigning Costs and Assets After identifying its value chain, a firm must assign operating activity and assets to value activities. Operating costs must be assigned to the act
How do you compare two companies operating leverage? Must the sales volume be set the same or the net operating income?
how to journalize entry. purchased $150,000 of raw materials on account, terms of 2/20; n/30
Define role of Management Accountant The main role of management accountant is defined below. Planner e.g. budgeting Information provider e.g. operating statement
QUESTION 1: P A RT A You are the Cost Accountant of an industrial concern and have been assigned the duty of preparing a cost accounting system. Initially it has been de
Vogel's Approximation Method (VAM) This method is a heuristic and usually provides a better starting solution than the two methods described above. However, VAM generally yield
Explain Out of pocket cost A cost which will have to be paid to outsides as against cross such as depreciation, which do not require any cash payment this cost is relevant in t
Problem From the following data, calculate overhead variances of following: (a) Variable overhead expenditure variance (b) Fixed overhead expenditure variance (c) Total ov
Explain the main purpose of cost centre The main purpose of cost centre is two fields. 1. Recovery of cost: costs are collected, classified into two field in respect of
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