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Direct Materials Quantity Variance: Learning Objective of the articles: Define and explain "direct materials quantity variance" and its significance. How is it calculated? How direct materials quantity variance is interpreted?…
Linear Programming and Minimization of Cost-Graphical Method: Linear programming graphical method can be applied to minimization problems in the same manner as illustrated on maximization example page. An example can…
Linear Programming and Maximization of Contribution Margin - Graphical Method: Learning Objective of the Article: Define and explain linear programming graphical method. How profit maximization problem is solved using linear…
Direct Materials Price Variance: Learning Objective of the articles: Define and explain "direct materials price variance" and its significance. How is it calculated? How direct materials price variance is interpreted?…
Linear Programming - Minimization of Cost - Simplex Method: Linear programming simplex method can be used in problems whose objective is to minimize the variable cost. An example can help…
Linear Programming Technique : After studying this chapter you should be able to: Definition and Explanation: Linear programming is a mathematical technique which permits determination of the best use of…
Direct Materials Budget Definition: A detailed plan showing the amount of raw materials that must be purchased during a period to meet both production and inventory needs. Click here to…
Line Definition: A position in an organization that is directly related to the achievement of the organization's basic objectives.
Defects/Limitations/Disadvantages of Single Entry System of Accounting: Learning Objectives: What are the limitations or disadvantages of single entry system of bookkeeping. The limitations or defects or disadvantages of single entry…
Direct Materials Definition: Those materials that become an integral part of a finished product and can be conveniently traced into it.
Limitations, Criticism or Disadvantage of Residual Income Method: The residual income approach has one major disadvantage. It cannot be used to compare the performance of divisions of different sizes. You…
Limitations of Financial Statement Analysis: Although financial statement analysis is highly useful tool, it has two limitations. These two limitations involve the comparability of financial data between companies and the…
Direct Labor Standards: Learning Objective of the articles: Define and explain "direct labor standards" . How direct labor rate and direct labor efficiency standards are set? Direct labor price and…
Limitations of Cost-Volume-Profit (CVP) Analysis: Cost volume profit (CVP) is a short run, marginal analysis: it assumes that unit variable costs and unit revenues are constant, which is appropriate for…
Advantages, Disadvantages and Limitations of Activity Based Costing (ABC) System: Learning Objectives: What are the advantages and disadvantages of activity based costing system? Contents: Advantages of activity based costing system…
Direct Labor Rate | Price Variance: Learning Objective of the articles: Define and explain "direct labor rate | price variance /labour rate variance" . How direct labor rate or price…
Last In First Out (LIFO) Method Definition: A method that operates under the assumption that materials issued should carry the cost of the most recent purchase, although the physical flow…
Net Present Value Method (NPV) Comparing Competing Investment Projects Learning Objectives: Compare the competing investment projects using net present value (NPV) method. Our examples on net present value (NPV) method page…
Abida Rehman 
Sana Ahmed 
Sidra Farid