Tools for Business Decision Management Makers 15 pot

... 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 most businesses, overheads have ... 1.10 Scrap value 1.70 0.40 The metal wire is in constant use by the business for a range of its products. The fabric has no other use for the business and is scheduled to be sc...

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 ... progress for income-measurement purposes, and the cost of items for use in pricing decisions. Real World 7.7 provides some information on the use of standards in practice. Other uses for...

Ngày tải lên: 22/06/2014, 02:20

... scale of investment. With a 15 per cent cost of finance, 15 million invested at 20 per cent for one year will make us wealthier by £0.75 million (that is, 15 × (20 − 15) % = 0.75). With the same ... of vans (150 ) 1 year’s time Net saving before depreciation 30 2 years’ time Net saving before depreciation 30 3 years’ time Net saving before depreciation 30 4 years’ time Net saving befo...

Ngày tải lên: 22/06/2014, 02:20

... 3,600 16,400 Ticket revenue at 50 per cent capacity for 20 performances: (£16,400 × 50% × 20) £164,000 Touring company ticket sales: Total revenue for each performance for a full house: £ 200 @ £22 = 4,400 500 ... helpful for those involved with pricing decisions to have some feel for the elasticity of demand of the commodity that will be the subject of a decision. The sensitiv- it...

Ngày tải lên: 22/06/2014, 02:20

... 273 information for budgets 177–8 competitors’ businesses 321–2 cost-plus information, used by price takers 164–5 on creditworthiness 425 full (absorption) cost information, using 121–3 market information ... indicators of performance). The performance for the business as a whole is often given the most weighting, and individual performance the least weighting. Thus, 50 per cent of the...

Ngày tải lên: 22/06/2014, 02:20

... business s products. Neither C nor D is incorporated into A or B. Costings (per unit) for the pro- ducts are as follows: ABCD ££££ Variable materials 15 20 16 17 Variable labour 25 10 10 15 Other ... 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...

Ngày tải lên: 22/06/2014, 02:20

... 138 Cost pool p. 138 Total life-cycle costing 150 Target costing p. 151 Quality costs p. 152 Kaizen costing p. 153 Benchmarking p. 153 Elasticity of demand p. 155 Full cost (cost-plus) pricing p. 163 Marginal ... 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 wit...

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

... 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, ... Timely decisions. If information concerning a local division has to be gathered, shaped into a report and then passed up the hierarchy before a decision is made, it is unlikely th...

Ngày tải lên: 22/06/2014, 02:20