First Stage Allocation Definition
Sana Ahmed First Stage Allocation Definition: The process by which overhead costs are assigned to activity cost pools in an activity-based costing system.
Sale Mix and Break Even Analysis With Multiple Products
Abida Rehman Sale Mix and Break Even Analysis With Multiple Products: Learning Objectives: Calculate break even point when a company sells more than one product. Sale mix--Definition and Explanation of the Concept:…
Production Budget
Robert Learning Objective of the article: Define and explain production budget. Prepare a production budget.(Formula and format) Definition and Explanation of Production Budget: The production budget is prepared after the sales budget. The production budget(budget…
First Line Managers Definition
First Line Managers Definition: Managers at the lowest level of the organization who manage the work of non-managerial employees who are directly involved with the production or creation of the…
Finished Goods Definition
Finished Goods Definition: Units of product that have been completed but have not yet been sold to customers.
Branches of Accounting
Shamsa Rafique Branches of Accounting: Learning Objectives: What are the branches of accounting? Accounting has three main forms of branches, viz, financial accounting, cost accounting, and management accounting. These forms of accounting…
Sales Budget
Sales Budget: Learning Objectives: Define and explain sales budget. Give and example of sales budget. Contents: Definition and explanation of sales budget Example Definition and Explanation: A sales budget is a detailed schedule showing…
Financing Activities Definition
Financing Activities Definition: All transactions (other than payment of interest) involving borrowing from creditors or repaying creditors as well as transactions with the company's owners (except stock dividends and stock…
Accounting Ratios | Financial Ratios
Accounting Ratios | Financial Ratios: Learning Objectives: Define and explain the term accounting ratios. What are advantages and limitations of using accounting or financial ratios. How financial ratios are classified.…
Present Value and Future Value – Explanation of the Concept
Present Value and Future Value - Explanation of the Concept: Learning Objectives: Understand present value concepts and the use of present value tables. Compute the present value of a single…
Master Budget
Master Budget: Learning Objective of the Article: Define and explain the term "master budget". What are the parts / components of master budget? What are its advantages and disadvantages? Give example…
Review Problem 2: Comparison of Capital Budgeting Methods
Review Problem 2: Comparison of Capital Budgeting Methods Lamer company is studying a project that would have an eight-year life and require a $2,400,000 investment in equipment. At the end…
Financial Accounting Ratios & Formulas
Financial Accounting Ratios and Formulas: This is a collection of financial ratio formulas which can help you calculate financial ratios in a given problem. Analysis of Profitability: General profitability: Gross…
Financial Leverage Definition
Financial Leverage Definition: Acquiring assets with funds that have been obtained from creditors or from preferred stockholders at a fixed rate of return.
Difference Between Financial and Managerial Accounting (Financial Accounting Vs Managerial Accounting)
Difference Between Financial and Managerial Accounting (Financial Accounting Vs Managerial Accounting): Learning objectives of this article: Compare and contrast financial and managerial accounting. What is difference between financial and managerial…
Common Size Statements Definition
Common Size Statements Definition: Common size statement is a statement that shows the items appearing on it in percentage form as well as in dollar form. On the income statement,…
Financial Accounting
Financial Accounting Definition: Financial accounting is the phase of accounting concerned with providing information to stockholders, creditors, and others outside the organization. Relevant Terms: Cost Accounting Managerial/Management Accounting
Common Cost Definition
Common Cost Definition: A common cost is a cost that is common to a number of costing objects but cannot be traced to them individually. For example, the wage cost…