Business Process Definition
Shamsa Rafique Business Process Definition: Business process is a series of steps that are followed in order to carry out some task in a business.
Cost Accounting Definition
Abida Rehman Cost Accounting Definition: Different authorities have defined the term "cost accounting" which help in reflecting the multi-sided meaning the subject contains. The definition given by J. W. Neuner is considered…
Depreciation, Depletion and Amortization
Rubab Ali Depreciation, Depletion and Amortization: Learning Objectives: What is the difference among depreciation, depletion, and amortization. Depreciation: The term depreciation is used with reference to tangible fixed assets because the permanent…
Gross Profit Analysis Based on the Previous Year’s Figures
Sana Ahmed Gross Profit Analysis Based on the Previous Year's Figures: As the basis for illustrating the gross profit analysis using the previous year's figures, the following gross profit section of a…
Correcting Invoices
Correcting Invoices: When the purchases order, receiving report, and invoice are compared, various adjustments may be needed as a result of the circumstances described below: Some of the materials ordered…
Depletion Method of Depreciation
Depletion Method of Depreciation: Learning Objectives: What is depletion method of depreciation? Explain with example. Depletion method of depreciation is especially suited to mines, quarries, sand pits, etc. According to…
Bureaucracy (in Management) Definition
Bureaucracy (in Management) Definition: A form of organization characterized by division of labor, a clearly defined hierarchy, detailed rules and regulations, and impersonal relationships.
Accounting Principles and Accounting Equation
Sidra Farid Accounting Principles and Accounting Equation Definition and Explanation: Accounting is the language of business. Affairs of a business unit are made understood to others as well as to those who…
Conversion into Double Entry System
Conversion into Double Entry System: Learning Objectives: Define and explain conversion method. How trading and profit and loss account and balance sheet is prepared under conversion method. Conversion of books…
Dependent Variable Definition
Dependent Variable Definition: A variable that reacts or responds to some causal factor; total cost is the dependent variable, as represented by the letter Y, in the equation: Y =…
Denominator Activity definition
Denominator Activity definition: The activity figure used to compute the predetermined overhead rate.
Delivery Cycle Time Definition
Delivery Cycle Time Definition: The amount of time required from receipt of an order from a customer to shipment of the completed goods.
Conversion Cost Definition
Conversion Cost Definition: Conversion cost is equal to direct labor cost plus manufacturing overhead cost. In equation form: Conversion Cost = Direct Labor Cost + Manufacturing Overhead Cost
Gross Profit (GP) Analysis Case Study
Gross Profit (GP) Analysis Case Study: Gross Profit analysis of time sharing computer programs: The senior system analysis of Tyrene, Inc. Bob Canedy, developed in his spare time three unique…
Degree of Operating Leverage Definition
Degree of Operating Leverage Definition: A measure, at a given level of sales, of how a percentage change in sales volume will affect profits. The degree of operating…
Methods of Controlling and Improving the Rate of Return on Investment (ROI)
Methods of Controlling and Improving the Rate of Return on Investment (ROI): Return on investment is normally used to judge the managerial performance in an investment center. Managers therefore try…
Definition and Explanation of Cash Book
Definition and Explanation of Cash Book: Learning Objectives: Define and explain cash book. How a cash book is balanced. Prepare a format of the simple cash book. Cash book is…
Accounting for Non-Trading Concerns
Accounting for Non-Trading Concerns Definition and Explanation of Non-trading Concerns: Individuals or institutions with activities other than trade are known as non-trading concerns. Examples of non-trading concerns are clubs, hospitals,…