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Problem 1
Management accounting is sensitive to management needs; however, it assists the management and does not replace it. Write down in detail the scope of management accounting.
Problem 2
Budgetary control is a strong business tool that helps companies maximizes profits. Explain the characteristics and objectives of a budgetary control system.
1. In common, accounting period is the time period reflected by a series of financial statements. 2. In terms of taxation, it is twelve-month period a taxpayer uses to know
Use of Budgetary controls Budgetary controls are used for the following reasons: 1) To state the objectives of the organization as a whole. 2) To reveal the extent by whi
Project C would involve a current outlay of $50,000 on equipment and $15,000 on working capital. The investment in working capital would be increased to $21,000 at the end of the f
Marginal cost or incremental cost pricing method: Here the company may work on the premise of recovering its marginal cost and getting a contribution towards its overheads. Thi
x+2y+3z=6 2x+4y+z=7 3x+2y+9z=14
What is Fixed budget The fixed budget is prepared for a given level of activity the budget is prepared before the beginning of the financial year. If the financial year starts
Application of zero base budgeting In the following areas ZBB may be applied: 1) redundant schemes may be discontinued 2) identify the duplicate schemes and merge them in
Explain the Objectives of management accounting? 1. Planning and policy formulation: the object of management accounting is to supply necessary data to the management for fo
Advantage of relevant cost
State the price determination under the market condition The price determination under the following market condition is as follows: 1) Pure competition: in this situation
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