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Decentralization in Organizations: Learning Objectives: Define and explain the term "decentralization". What are the advantages and disadvantages of decentralization in business organizations? What are business segments? Define and explain cost,…
Factory Overhead Efficiency Variance: Learning Objective of the article: Define and explain factory overhead efficiency variance. How is FOH efficiency variance calculated? What are the reasons / causes of unfavorable…
Accommodation Bills of Exchange: Learning Objectives: Define and explain an accommodation bill of exchange. What is the difference between trade bill and an accommodation bill? Make journal entries in the…
Review Problem 1: Basic Present Value Computations: For each of the following situations is independent. Workout your own solution to each situation, and then check it against the solution: Situation…
Efficiency Definition: Getting the most output from the least amount of inputs; referred to as "doing things right,".
Capital Expenditures: Learning Objectives: Define and explain capital expenditures / Capital Cost Expenditure means the amount spent. Any expenditure incurred for the following purposes is capital expenditure: For acquiring fixed…
Bank Reconciliation Statement: Learning Objectives: Define and explain bank reconciliation statement. What are the reasons of disagreement of the balances of cash book and bank statement. Prepare the format of…
Decentralization and Segment Reporting: When an organization grows beyond a few people, it becomes impossible for the top manager to make decisions about everything. Managers have to delegate decisions to…
Capital Budgeting Definition: The process of planning significant outlays on projects that have long-term implications such as the purchase of new equipment or the introduction of a new product.
Effectiveness Definition: Completing activities so that organizational goals are attained; "referred to as doing the right things."
Learning Objectives: Evaluate the acceptability of an investment project using the net present value method. Evaluate the acceptability of an investment project using the internal rate of return method. Evaluate…
Debtors Turnover Ratio | Accounts Receivable Turnover Ratio: A concern may sell goods on cash as well as on credit. Credit is one of the important elements of sales promotion.…
Price Elasticity of Demand-Economists' Approach to Pricing: Learning Objective of the Article: Define and explain the term "Price elasticity of demand". Calculate profit maximizing price of a product of service…
An integrated set of performance measures that is derived from and supports the organization's strategy.
significant information significant information is one of the important accounting conventions. It implies that accounts should be prepared in such a way that all material information is clearly disclosed to…
Economic value added (EVA) Definition: Economic value added is a concept similar to residual income.
Learning Objective: Definite and explain economic order quantity (EOQ). How is economic order quantity (EOQ) calculated? Definition of EOQ economic order quantity Formula (EOQ formula) Example: Definition and Explanation: Economic order quantity…
Absorption Costing Definition Absorption costing is a costing method that includes all manufacturing costs - direct materials, direct labour, and both variable and fixed overhead - as part of the…
Rubab Ali 
Sana Ahmed 
Sidra Farid 
Shamsa Rafique 
Abida Rehman