Tools for Business Decision Management Makers 11 docx

... unlimited quantities of products C and D to the business, charging £40 per unit for product C and £55 per unit for product D. Next year’s estimated demand for the products, from the market (in the ... its basket makers have some spare time. An overseas retail chain has offered the business an order for 300 baskets at a price of £13 each. Without considering any wider issues, shou...

Ngày tải lên: 22/06/2014, 02:20

... the business operates when we are undertaking a position analysis or when we are formulating plans for the future. Management What is strategic management accounting? CHAPTER 9 STRATEGIC MANAGEMENT ... in Step 3) and formulating long- and short-term plans to pursue them. 5 Reviewing business performance and exercising control by assessing actual perform- ance against planned perf...

Ngày tải lên: 22/06/2014, 02:20

... EVA ® is used by many large businesses, both in the US and Europe, it tends to be used for management purposes only: few businesses report this measure to share- holders. One business that does, however, ... World 9 .11 describes the way in which the business uses EVA ® and the results of doing so. CHAPTER 9 STRATEGIC MANAGEMENT ACCOUNTING 354 Can you work out the EVA ® for the s...

Ngày tải lên: 22/06/2014, 02:20

... Similar businesses within the same industry. The performance of similar divisions of other businesses, or whole businesses operating within the same industry, may pro- vide a useful basis for comparison. ... another business, or a whole business entity? We may encounter a number of problems such as: l Obtaining the information required. This is particularly true for a division within a...

Ngày tải lên: 22/06/2014, 02:20

... (recovery) rate p. 101 Cost centre p. 110 Product cost centre p. 111 Service cost centre p. 111 Cost allocation p. 112 Cost apportionment p. 112 Batch costing p. 119 Cost-plus pricing p. 121 Variable ... seems likely that this is not true for most of these businesses. At the same time, most of the 68 per cent treat all overheads as a fixed cost. It seems likely that, for mos...

Ngày tải lên: 22/06/2014, 02:20

... cater for a range of products and no single product decision will cause the business to amend it. Required: (a) Prepare a summary of information that would help with the pricing decision for the ... be sold. For every £5 below this price, the business is able to sell 10 more units. For example, at a price of £95, 10 units would be sold, at £90, 20 units would be sold, and so o...

Ngày tải lên: 22/06/2014, 02:20

... to use the May figures for explaining the variances. Note that the business had budgeted for a higher level of output for June than it did for May. CHAPTER 7 ACCOUNTING FOR CONTROL 224 What else ... and therefore working towards achieving the objectives of the business. (We should remember that budgets are the short-term plans for achieving the business s objectives.) This enab...

Ngày tải lên: 22/06/2014, 02:20

... of the businesses concerned for the financial year ending in 2007. When managers are making decisions involving capital investments, what should the decisions seek to achieve? Investment decisions ... popularity of standards in practice Figure 7 .11 Standards for materials were used by all businesses in the survey, and standards for labour were used by nearly all businesses. The main p...

Ngày tải lên: 22/06/2014, 02:20

... probabilities are based on information gathered from past experience. Thus, for example, the transport manager of a business operating a fleet of vans may be able to provide information concerning the ... estimated price before a zero NPV is obtained. The margin of safety is, therefore, not very high for this factor. In practice this should not represent a real risk because the business...

Ngày tải lên: 22/06/2014, 02:20

... question 11. 1 M11_ATRI3622_06_SE_C11.QXD 5/29/09 3:32 PM Page 428 Real World 11. 1 gives some impression of the working capital involvement for five very well-known UK businesses. These businesses ... waste management, mainly in the UK. Source: Table constructed from information appearing in the financial statements for the year ending in 2007 for each of the five businesses concer...

Ngày tải lên: 22/06/2014, 02:20