COST CLASSIFICATION CONCEPT OF COST: DEFINITION: A SACRIFICE OR GIVING UP OF RESOURCES FOR A PARTICULAR PURPOSE FREQUENTLY MEASURED BY THE MONETARY UNITS (RUPEES‚ DOLLARS) THAT MUST BE PAID FOR GOODS AND SERVICES . ➢ EMPHASIS ON COST INFORMATION: MANAGEMENT ACCOUNTANTS PAY A LOT OF ATTENTION TO COSTS BECAUSE COST HAVE A VITAL ROLE TO PLAY IN PLANNING ‚ EVALUATING AND DECISION MAKING. FOR EXAMPLE IN PLANNING THE ROUTE AND FLIGHT SCHEDULES THE MANAGER OF AN AIR LINE MUST CONSIDER
Premium Costs Management accounting Variable cost
What’s your real cost of capital? By James J. McNulty‚ Tony D. Yeh‚ William s. Schulze‚ and Michael H. Lubatkin Harvard Business Review‚ October 2002 Issue of the article: valuing investment projects Number of pages: 12 Daniel Miravet Campos Part 1. Executive summary This article is fundamentally based on the exposition of a new method to calculate the cost of capital for a company (MCPM)‚ to meet the inefficiencies of the current one (CAPM). In valuing any investment project or
Premium Stock market Investment Stock
Cost of Capital Definition: cost of capital is the rate of return that a company must earn on its project investments to maintain its market value and attract funds. The cost of capital to a company is the minimum rate of return that is must earn on its investments in order to satisfy the various categories of investors‚ who have made investments in the form of shares ‚ debentures and loans. The cost of capital in operational terms refers to the discount rate that would be used in determining the
Premium Finance Net present value Weighted average cost of capital
CHAPTER 3 COST-VOLUME-PROFIT ANALYSIS TRUE/FALSE 1. To perform cost-volume-profit analysis‚ a company must be able to separate costs into fixed and variable components. Answer: True Difficulty: 1 Objective: 1 Terms to Learn: cost-volume-profit (CVP) analysis 2. Cost-volume-profit analysis may be used for multi-product analysis when the proportion of different products remains constant. Answer: True Difficulty: 1 Objective: 1 Terms to Learn: cost-volume-profit
Premium Variable cost Costs Contribution margin
INTRODUCTION Cost accounting is an important tool in the management of any business firm or organization‚ which includes those in the small scaled industry. In the cause of our research instrument indicated the maintenance of improper and inadequate records coupled with the fact that cost methods used‚ through sometimes effective‚ were unconventional. For a small scale business to approach profit maximization level‚ it must be effective in cost control procedures and appropriate books
Premium Business Cost accounting Decision making
Chapter 4: Costs and Cost Minimization Multiple Choice 1. Suppose you are a star basketball player at a major university in your sophomore year. You are sought after by several NBA teams. Which of the following choices best characterizes your opportunity cost if you choose to drop out of college and enter the NBA? a) The value of your college scholarship that you have given up. b) The skills that two more years of playing at your college would have given you along with their additional value
Premium Costs Economics Microeconomics
signal the end of mirth. Both appreciated the power of pure comedy and the spirit of joyous laughter and wrote plays with situations that had no call for showing the redeeming features of vice and folly at the end‚ but just good healthy fun. The Rivals too denounces the hollow morality and hypocrisy associated with the sentimental attitude then prevailing‚ projecting its writer’s own ideal of a spontaneous and lively light-heartedness. The plot is based on confusion over identities and multiple
Premium Love
The five Competitive Strategies; Low Cost Provider Broad Differentiation Focused Low Cost Focused Differentiation Best Cost Provider All of these 5 competitive strategies are used to get ahead and create an advantage over all a company ’s rivals Low cost is when a company provides the overall lower cost than other rivals in the industry. There products are targeted to a large number of different clients. It is not focused. It could be targeted to girls‚ boys‚ women‚ men‚ old‚ young‚
Premium Cost Costs Economics
| DESIGN OF A LOW SPEED WIND TURBINEbyJOSHUA TAN HUAT HUISession 2012/2013 | | The project report is prepared for Faculty of Engineering and Technology Multimedia University in partial fulfilment for Bachelor of Engineering (Hons) Mechanical FACULTY OF ENGINEERING AND TECHNOLOGY MULTIMEDIA UNIVERSITY January 2013 COPYRIGHT The copyright of this report belongs to the author under the terms of the Copyright Act 1987 as qualified by Regulation 4(1) of the Multimedia University Intellectual
Premium Aerodynamics Airfoil Wind power
Ridge‚ Ellie. ""Fight the Power": Two Rappers’ Insight into Politics | The Daily Californian." The Daily Californian. N.p.‚ 26 Feb. 2016. Web. 22 Apr. 2016. Ridge’s article focuses on the importance of rap music and the strong political influence that is possesses. In general‚ music has an incredible power to engrain thoughts and speak ideas freely to a widespread audience. When young African Americans of the 1970s were born into staggering poverty‚ they expressed their anger and dissatisfaction
Premium African American Black people Race