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Financial decisions are depends on specific considerations the major being the cash flows, liquidity and cost. Short-term working capital decisions or financial decisions are different along with observing to frequency and quantum of cash flows. There are two notions of working capital:
(i) Gross Working Capital
(ii) Net Working Capital.
The main feature of the current asset is that they modify their form inside one operating cycle. Working capital requirement is affected by a variety of factors; the major among them is size and nature of business. There are different methods of computing working capital requirement. In several the base figures are acquired from financial statements.
what is master budget?
Explain variable cost and fixed cost Variable costs: costs that vary almost in the direct proportion to the volume of production are known as variable costs. The examples of
1.The acquisition of Company B was financed by Company A with cash and by issuance of 2M common shares for $100M. Company A forgot to record the stock issuance
SIMULATION MODELS Simulation is a method of analyzing a system by experimentally duplicating its behavior. Management accountants can be able to make meaningful inferences conc
Capital Project comparing hybrid vs non-hybrid cars.
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You want to purchase a house that costs $325,000. You have a down payment of $65,000 and will take out a mortgage to make up the difference. The AMC Mortgage Corporation offers a q
what does it mean by improving materials usage in an organization?
Stock-out costs These are the opportunity costs of running out of stock. They comprise: 1) The costs of lost customer sales, and therefore lost contribution to fixed costs.
Explain Activities uses through activities based costing In order to correctly associate costs with products and services. ABC assigns cost to activities based on their use of
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