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…
Dependent Variable Definition
Rubab Ali 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 =…
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
Abida Rehman 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
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…
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,…
Definition and Explanation of Bookkeeping
Definition and Explanation of Bookkeeping: Learning Objectives: Define and explain the term bookkeeping. The work book or books mean books of accounts and keeping implies maintaining in proper form and…
Definition and Explanation of Ledger
Definition and Explanation of Ledger: Learning Objectives: Define and explain the term "ledger" What are the features or characteristics of ledger? When all the transactions of a given period have…
Controlling Definition
Controlling Definition: Ensuring that the plan is actually carried out and is appropriately modified as circumstances change.
General Environment Definition
Sana Ahmed General Environment Definition: Broad external conditions that may affect the organization.
Controller Definition
Controller Definition: Controller is defined as the manager in charge of the accounting department in an organization.
Budget Variance Definition
Shamsa Rafique Budget Variance Definition: A measure of the difference between the actual fixed overhead costs incurred during the period and budgeted fixed overhead costs as contained in the flexible budget.
Control Definition
Control Definition: Control is the process of instituting procedures and then obtaining feedback to ensure that all parts of the organization are functioning effectively and moving toward overall company goals.
Full Costing Definition
Full Costing Definition: Full costing is a costing method that includes all manufacturing costs - direct materials, direct labor, and both variable and fixed overhead - as part of the…
Budget Definition
Budget Definition: Budget is a detailed plan for the future, usually expressed in formal quantitative terms.
Contribution Margin (CM) Ratio Definition
Contribution Margin (CM) Ratio Definition: The contribution margin as a percentage of total sales is called contribution margin ratio. Contribution margin ratio = Contribution margin / Sales Click here to…
Budget Committee Definition
Budget Committee Definition: A group of key management persons who are responsible for overall policy matters relating to the budget program and for coordinating the preparation of the budget.
Flexible Budget Definition
Flexible Budget Definition: A budget that is designed to cover a range of activity and that can be used to develop budgeted costs at any point within that range to…