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Limitations of Budgeting
1. Too mush reliance may reason resistance or inflexibility to change.
2. Difficult to set levels of attainment. It may result into too tight budgets that reasons loss of morale.
3. Antagonism whereas budgets exert undue pressure.
4. Budgeting control is a terminate exercise and hence any type of report from investigation of variances may be of little employ to the current operations.
Absorption Costing The process described in this section by that net overheads are absorbed into production naturally enough is identified as absorption costing. The absorpti
Cost Data Determination How does one decide the cost data for products and the services which are the end result of the productive processes? The response to this question is m
A firm's fixed costs for 0 units of output and its average total cost of producing different output levels are summarized in the table below. Complete the table to find the fixed c
You have been asked by Mogul-Basher (MB) Ltd., a manufacturer of snowboards, to evaluate its capital structure. As a first step, you need to estimate MB's current weighted average
ADescribe the impact of different types of standards on motivations, and specifically, the likely effect on motivation of adopting the labor standard recommended for Geeta & Compan
Relationship among variances We cannot over emphasize the central aim of variance analysis as outlined in the above paragraphs: that is to assign responsibility for a particu
We have earlier explained working capital by total current assets less current liabilities. It, in other words, implies that all the assets held through the business along with the
Marginal Costing and Marginal Cost Marginal Costing is an optionally method of costing to absorption costing , In marginal costing, merely variable costs are charged like a
sums with solution of marginal costing
Horton Co. was organized on January 2, 2010, with 500,000 authorized shares of $10 par value common stock. During 2010, Horton had the following capital transactions: January 5-iss
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