Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Standard costing system
However, it has been argued that traditional variance analysis is unhelpful and potentially misleading in the modern organization, and can make managers focus their attention on the wrong issues, for example over-producing and stockpiling finished goods, since higher production volumes mean that overheads are spread over more units. Standard costing concentrates on amount and ignores other factors contributing to efficiency. In a total quality environment, for instance, quantity is not an issue, however; quality is. Effectiveness is such an environment therefore centers on high quality output (produced as a result of high quality input and the elimination of non-value adding activities) and the cost of failing to attain the needed level of effectiveness is measured not in variances, though in terms of internal and external failure costs, neither of which would be recognized by a traditional standard costing analysis.
Standard costing system might measure, say, labor efficiency in terms of individual tasks and level of output. In a total quality environment, labor is more likely to be viewed as a number of multi-task teams who are responsible for the completion of a part of the production process. The efficiency of such a team is more properly measured in terms of re-working needed, returns from customers, defects recognized in subsequent stages of production and so forth.
Interpretation of equity ratio As equity ratio show the relationship of owner funds to total assets higher the ratio or the share of the shareholders in the total capital of th
Disadvantages of ratio analysis 1) False results: ratios are based upon the financial statement. In case financial ratio is incorrect or the data upon which ratios are based
Managerial Accounting Before going to Managerial Accounting let us discuss a bit about Financial Accounting. Financial accounting is concerned with reporting to the external pa
Kaizen and management Management has two major components: 1) Maintenance 2) Improvement. The aim of the maintenance function is to maintain current technological man
FLEXIBLE BUDGETING Flexible budget may be used in one of two ways: Planning and Control. At the planning stage when budgets are set, to reduce the effect of uncertainty. For ex
Determine the Need and importance of management accounting: 1.Increasing efficiency: management accounting increases efficiency of business operations. The targets of differe
Describe the impact of different types of standards on motivations, and specifically, the likely effect on motivation of adopting the labor standard recommended for Geeta & Company
analyse the methods of capital investment appraisal
The current sales of M/s ABC are Rs.100 lakhs. Through relaxing the credit standards the firm can produce additional sales of Rs.15 lakhs on that bad debt losses would be 10 percen
The std cost of chemical mixture~PQ is as follows: 40% of material P @rs.400/kg 60% of material Q @rs.600/kg A std loss of 10% is normally anticipated in pdn. The followinng parti
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd