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Accounting Ratios | Financial Ratios: Learning Objectives: Define and explain the term accounting ratios. What are advantages and limitations of using accounting or financial ratios. How financial ratios are classified.…
Present Value and Future Value - Explanation of the Concept: Learning Objectives: Understand present value concepts and the use of present value tables. Compute the present value of a single…
Master Budget: Learning Objective of the Article: Define and explain the term "master budget". What are the parts / components of master budget? What are its advantages and disadvantages? Give example…
Review Problem 2: Comparison of Capital Budgeting Methods Lamer company is studying a project that would have an eight-year life and require a $2,400,000 investment in equipment. At the end…
Financial Accounting Ratios and Formulas: This is a collection of financial ratio formulas which can help you calculate financial ratios in a given problem. Analysis of Profitability: General profitability: Gross…
Financial Leverage Definition: Acquiring assets with funds that have been obtained from creditors or from preferred stockholders at a fixed rate of return.
Difference Between Financial and Managerial Accounting (Financial Accounting Vs Managerial Accounting): Learning objectives of this article: Compare and contrast financial and managerial accounting. What is difference between financial and managerial…
Common Size Statements Definition: Common size statement is a statement that shows the items appearing on it in percentage form as well as in dollar form. On the income statement,…
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
Common Cost Definition: A common cost is a cost that is common to a number of costing objects but cannot be traced to them individually. For example, the wage cost…
Final Accounts of Non-Trading Concerns: Non-trading concerns usually maintain their accounts by the double entry system and periodically prepare their final accounts for the submission to their members and subscribers.…
Committed Fixed Cost Definition: Committed fixed costs are those fixed costs that are difficult to adjust and that relate to the investment in facilities, equipment, and the basic organizational structure…
Final Accounts: Learning Objectives: What is trading and profit and loss account? What is the the difference between trial balance and balance sheet? Prepare trading and profit and loss account…
Code of Conduct for Management Accountants: Learning objectives of this article: What are the standards of ethical conduct for practitioners of management accounting and financial management Practitioners of management accounting…
Definition and Explanation of Accounting: Learning Objectives: Define and explain accounting. What are the main functions of accounting? Accounting is defined as "the art of recording, classifying and summarizing in…
First In First Out (FIFO) - Materials and Inventory Costing Method: Learning Objectives: Define and explain FIFO method. Give an example of FIFO costing method What are advantages and disadvantages…
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: Accounting and other reports that help managers monitor performance and focus on problems and/or opportunities that might otherwise go unnoticed.
Sana Ahmed 
Abida Rehman 
Robert 
Rubab Ali