Capital Budgeting Definition
Abida Rehman 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
Sana Ahmed Effectiveness Definition: Completing activities so that organizational goals are attained; "referred to as doing the right things."
Capital Budgeting Decisions
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
Rubab Ali 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
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…
Balanced Scorecard Definition
Shamsa Rafique An integrated set of performance measures that is derived from and supports the organization's strategy.
significant information
Sidra Farid 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 (EVA) Definition: Economic value added is a concept similar to residual income.
Economic Order Quantity (EOQ) Destination , formula and Example
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 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…
E-Commerce Definition
E-Commerce Definition: The sales and marketing components of the e-business is called e-Commerce.
Ease of Adjustment Codes Definition
Ease of Adjustment Codes Definition: Costs are coded as Green, Yellow, or Red - depending on how easily the cost could be adjusted to changes in activity. "Green" costs adjust…
Earnings Per Share (EPS) Ratio
Earnings Per Share (EPS) Ratio: Definition: Earnings per share ratio (EPS Ratio) is a small variation of return on equity capital ratio and is calculated by dividing the net profit…
Debt to Equity Ratio
Debt to Equity Ratio: Definition: Debt-to-Equity ratio indicates the relationship between the external equities or outsiders funds and the internal equities or shareholders funds. It is also known as external…
Capital and Revenue Items
Capital and Revenue Items and goods Learning Objectives: Define explain and give examples capital and revenue expenditures, receipts, payments, profits and losses. What is the difference between capital and revenue…
Balance Sheet
Balance Sheet: Learning Objectives: Define and explain balance sheet. How is a balance sheet prepared? What are the objectives of preparing a balance sheet? Definition and Explanation: A balance sheet…
Danger Level of Materials or Inventory Stock
Danger Level of Materials or Inventory Stock: Definition and Explanation: Some enterprise also calculate danger level. When this level of stock is reached, then emergency steps are taken by the…
E-Business (Electronic Business) Definition
E-Business (Electronic Business) Definition: A comprehensive term describing the way an organization does its work by using electronic (internet based) linkages with its key constituencies in order to efficiently and…