Time Value of Money
Sidra Farid Time Value of Money: Learning Objectives: Explain the concept of time value of money. Why time value of money concept is important in capital budgeting analysis? Explanation of of the…
Setup Definition
Shamsa Rafique Setup Definition: Activities that must be performed whenever production is switched over from making one type of item to another.
Recognition of Gross Revenue Method–By Products Costing
Abida Rehman Recognition of Gross Revenue Method--By Products Costing: This method is typical non-cost procedure in which the final inventory cost of the main product is overstated to the extent that some…
Time Ticket Definition
Time Ticket Definition: Time ticket is a detailed source document that is used to record an employee's hour-by-hour activities during a day.
Use of Information Technology in Job Order Costing System
Sana Ahmed Use of Information Technology in Job Order Costing System: Learning objectives of the articles: What are advantages of using bar code technology in job order costing system. Bar code technology…
Setting Standard Costs – Ideal and Practical Standards
Setting Standard Costs - Ideal and Practical Standards: Learning Objective of the Article: Who provide the inputs in setting standard costs? Define and explain ideal and practical standards. What is…
Time and Material Pricing in Service Companies
Time and Material Pricing in Service Companies: Learning Objective of the Article: Define and explain time and material pricing. Calculate and use billing rates used in time and materials pricing.…
Reciprocal Services Definition
Reciprocal Services Definition: Services provided between service departments. Also see Interdepartmental services.
Universality of Management Definition
Universality of Management Definition: Universality of management means the reality that management is needed in all types and sizes of organizations, at all organizational levels, in all organizational areas, and…
Reciprocal Method Definition
Reciprocal Method Definition: A method of allocating service department costs that gives full recognition to interdepartmental services.
Set Transfer Price at Market Price
Set Transfer Price at Market Price: Some form of the competitive marketed price (i.e., the price charged for an item on the open market) is often regarded as the best…
Time-Adjusted Rate of Return Definition
Time-Adjusted Rate of Return Definition: This term is synonymous with internal rate of return.
Unit-Level Activities Definition
Unit-Level Activities Definition: Activities that arise as a result of the total volume of goods and services that are produced, and that are performed each time a unit is produced.
Reciprocal Method of Cost Allocation – Service Department Costing
Definition: Reciprocal method is a method of allocating service department costs to other departments that gives full recognition to interdepartmental services. Explanation: The reciprocal method gives full recognition to interdepartmental…
Service Department Definition
Service Department Definition: A department that provides support or assistance to operating departments and that does not engage directly in production or in other operating activities of an organization.
Throughput Time Definition
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.
Over-applied and Underapplied Overhead
Over-applied and Underapplied Overhead Learning objectives of this article: Define, explain and calculate under-applied and over-applied overhead rate. Give an example. Definition and Explanation of Over and Underapplied Overhead: Since…
Service Department Costing
Service Department Costing: After studying this chapter you should be able to: Difference between service department and operating department: Most of the large organizations have both operating departments and service…