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We have noticed that working capital is needed to finance that portion of current assets that is not financed through current liabilities. We also noticed that the investments represented through current assets are converted in cash throughout the operating cycle. It implies that our requirement for financing is for one such cycle. In normal circumstances every unit of investment in working capital is transformed in cash at the end of the cycle at an added value, for the extent of profits.
While we are looking at the possible sources of working capital the most significant source is this 'internal generation'. The very concept of internal sources shows that there is something 'external'.
Alternative to Total Overhead Variances There is an easier approach to overhead variances. In this approach, the overheads are NOT sub-divided into their fixed and variable e
Blox ($) Shapez ($) Direct material per unit 10 23 Direct labour per unit 19 32 Manufacturing overhead per unit 7 10 Selling & Admin. expenses per unit 17 31 T
OVERHEAD VARIANCES Unlike labour and direct material, the manufacturing overhead is not completely variable with the level of production. So, standard costs for factory overh
These are losses on account of uncollectable debts. While the amount due from debtors is irrecoverable, it is termed as bad debts. Bad debts, being loss are closed through transfer
according to a factory cost ledger, job no 51 has incurred the following costs: direct material - 30
Profit Analysis and Cost Volume or CVP Analysis CVP Analysis checks the relationship between profit, activity level and the cost. CVP Analysis assists in a broad range of p
Cost accounting as a descriptive or analytical discipline
At the end of Ehlinger Department Store's fiscal year on December 31, 2012, these accounts appeared in its adjusted trial balance: Freight-In $ 7,200
Ask quCalculate the standard production cost per unit and standard profit per unit using Absorption costing principles. ii. Prepare a profit statement for January and February (se
explain the different methods of costing
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