Throughput Time Definition
Sidra Farid Throughput Time Definition: The time required to make a completed unit of product starting with raw materials. Throughput time is also known as cycle time.
Theory of constraints (TOC) Definition
Theory of constraints (TOC) Definition: Theory of constraints (TOC) management approach that emphasizes the importance of managing constraints. This is only definition of theory of constraints (TOC). Click here to…
Technical Skills Definition
Technical Skills Definition: Technical skills include knowledge of and proficiency in certain specialized field, such as engineering, computers, accounting, or manufacturing. These skills are more important at lower level management…
Quantitative Approach Definition
Quantitative Approach Definition: The quantitative approach involves the use of quantitative techniques to improve decision making. This approach is also called operations research or management science.
Mixed Cost or Semi-variable Cost
Shamsa Rafique Mixed Cost or Semi-variable Cost: Learning Objective of this Article: Define and explain mixed or semi-variable cost. Give examples of mixed costs. Analyze mixed cost using high-low point method. Definition…
Quality of Conformance Definition
Quality of Conformance Definition: The degree to which a product or service meets or exceeds its design specifications and is free of defects or other problems that mar its appearance…
Quality Costs Definition
Quality Costs Definition: Costs that are incurred to prevent defective products from falling into the hands of customers or that are incurred as a result of defective units. There are…
Quality Cost Report Definition
Quality Cost Report Definition: A report that details appraisal cost, prevention cost, internal failure cost, and external failure cost. Click here to read a detailed article about quality cost report.
Distribution of Quality Costs/Quality Cost Report
Abida Rehman Distribution of Quality Costs/Quality Cost Report: Learning objectives of this article: Prepare and interpret a quality cost report. How to Distribute Quality Costs? A company's total quality cost is likely…
Cost Classifications for Assigning Costs to Cost Objects (Direct and Indirect Cost)
Cost Classifications for Assigning Costs to Cost Objects (Direct and Indirect Cost): Learning Objective of this article: Define and explain direct and indirect cost. Give examples of direct and indirect…
Cost Classification as Manufacturing and Non-manufacturing
Cost Classification as Manufacturing and Non-manufacturing: Learning objectives of this article: Define and explain manufacturing and non-manufacturing costs. What is the difference between manufacturing and non-manufacturing costs costs? Identify and…
Cost Classification as Manufacturing and Non-manufacturing
Cost Classification as Manufacturing and Non-manufacturing: Learning objectives of this article: Define and explain manufacturing and non-manufacturing costs. What is the difference between manufacturing and non-manufacturing costs costs? Identify and…
Avoidable Cost Definition
Avoidable Cost Definition: Any cost that can be eliminated (in whole or in part) by choosing one alternative over another in a decision-making situation. In managerial accounting, this term is…
International Aspects of Quality-ISO 9000 Quality Standards
International Aspects of Quality-ISO 9000 Quality Standards: Many of the tools used in quality management today were developed in Japan after World War II. In statistical process control, Japanese companies…
Cost Terms, Concepts, and Classifications
Cost Terms, Concepts, and Classifications: After Studying this chapter you should be able to: Identify and give examples of each of the three basic manufacturing cost categories. Distinguish between product…
Administrative Cost Definition
Administrative Cost Definition Administrative costs are all executive, organizational, and clerical costs associated with the general management of an organization rather than with manufacturing, marketing, or selling.
Cost Classifications on Financial Statements
Cost Classifications on Financial Statements: Learning Objectives of this Article: Prepare a schedule of cost of goods manufactured. Prepare income statement including a schedule of cost of goods sold. Merchandising…
Further Classification of Labor Costs
Sana Ahmed Further Classification of Labor Costs: Learning Objective of the Article: Properly classify labor costs associated with idle time, overtime and fringe benefits. Idle time, overtime, and fringe benefits associated with…