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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
Differnetial cost analysis uses
Proprietary ratio/ equity ratio Meaning: the ratio measures a relationship among proprietor's funds and the total assets. Objective: the objective of computing this ra
What are the Changing role of management accounting 1. Focus on customer scarification: customer satisfactions are continuously gaining high priority in management thinking i
11.1 Process Solutions provides a computer-based document processing service. The accountant has produced the following analysis. Standard Modified Advanced Sales quantity 1,000
Improvement in product design may result in cost reduction illustrated below: 1) Material cost : change in design of the product may result in saving in material cost. Economi
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Two-person, zero-sum games Two players X & Y have two alternatives. They show their choices by pressing two types of buttons in front of them but they cannot see the opponents
5 application areas of linear programing in management accounting
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RELEVANT COSTS FOR NON-ROUTINE DECISIONS A relevant cost is a cost that is appropriate to a specific management decision. To be relevant, a cost should be: 1) Future cost
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