Financial Leverage Definition
Sana Ahmed Financial Leverage Definition: Acquiring assets with funds that have been obtained from creditors or from preferred stockholders at a fixed rate of return.
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
First in First Out – FIFO Method Definition
First in First Out-FIFO Method Definition: A method that operates under the assumption that the materials which are received first are issued first and, therefore, the flow of cost should…
Feedback Definition
Feedback Definition: Accounting and other reports that help managers monitor performance and focus on problems and/or opportunities that might otherwise go unnoticed.
External Failure Cost Definition
External Failure Cost Definition: Costs that are incurred when a product or service that is defective is delivered to a customer.
External Environment Definition
External Environment Definition: Outside institutions or forces that potentially affect an organization's performance.
Equivalent Units of Production
Equivalent Units of Production: Definition and Explanation of Equivalent Units of Production: After materials, labor and overhead costs have been accumulated in a department, the department's output must be determined…
Equivalent Units of Production Definition
Equivalent Units of Production Definition: The product of the number of partially completed units and their percentage of completion with respect to a particular cost. Equivalent units are the number…
Environmental Uncertainty Definition
Environmental Uncertainty Definition: The degree of change and degree of complexity in an organization's environment.
Absorption Costing Definition
Abida Rehman Absorption Costing Definition: Cash equivalents are short-term, highly liquid investments such as treasury bills, commercial paper, and money market funds that are made solely for the purpose of generating a…
Environmental Complexity Definition
Environmental Complexity Definition: The number of components in an organization's environment and the extent of the organization's knowledge about those components.
Cash Discount Definition
Cash Discount Definition: It is an allowance or deduction allowance by a creditors to a debtor. In other words, cash discount is an allowance made by the supplier or creditor…
Entrepreneurship Definition
Entrepreneurship Definition: The process whereby an individual or group of individuals uses organized efforts to pursue opportunities to create value and grow by fulfilling wants and needs through innovation and…
Engineering Approach Definition
Engineering Approach Definition: A detailed analysis of cost behavior based on an industrial engineer's evaluation of the inputs that are required to carry out a particular activity and of the…
Cost Accounting Procedure for Defective Work
Rubab Ali Cost Accounting Procedure for Defective Work: In the manufacturing processes, imperfections may arise because of faults in materials, labor, or machines. If the unit can be reprocessed on one or…
Ending Finished Goods Inventory Budget Definition
Ending Finished Goods Inventory Budget Definition: A budget showing the dollar amount of cost expected to appear on the balance sheet for unsold units at the end of a period.…
Decisional Roles Definition
Decisional Roles Definition: The decisional roles involve around making choices. The four decisional roles include entrepreneur, disturbance handler, resource allocator and negotiator.
Effectiveness Definition
Effectiveness Definition: Completing activities so that organizational goals are attained; "referred to as doing the right things."