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Cost Accounting
Difference between Absorption Costing and Marginal Costing
Absorption costing and marginal costing are two costing approaches that determine what should be the cost of a product. Let’s understand their differences
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Cost Accounting
What is Cost Tracing – Meaning, Purpose and Challenges
Cost tracing is an important part of cost estimation. It allows us to compare costs for a given product between different cost centres. In order to do this, we
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Corporate Accounting
MCQ with Answers about Bonds and Bonds Value
Bonds and Bonds Value Quiz The stated interest payment, in dollars, made on a bond each period is called the bond: A) Coupon B) Face value. C) Maturity D) Yield
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Financial Management
What is Money Measurement Concept in Accounting?
The money measurement concept states that a corporation should only report those accounting transactions that can be represented in terms of money. It means tha
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Financial Management
Factors determining the credit policy of a firm
A company’s credit policy is vital in the management of cash flow, reduction of financial risks, and good customer relations. It establishes the terms upo
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Differences between imputed costs and capitalised costs
Among the many categories of costs, imputed costs and capitalized costs are the most confusing. Both play a critical role in assessing and managing expenses, bu
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Corporate Accounting
Internal rate of return method for investment appraisal
The Internal Rate of Return (IRR) is one of the most common methods for investment appraisal. IRR is also known as the Internal Capitalization Rate. It is one o
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Financial Accounting Concepts
Accounting for not-for-profit organisations
A not-for-profit organisation is a business or entity established by individuals to further an end, not-for-profit and charitable. Not-for-profit organisations
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Corporate Accounting
Ratios that are likely to help the management
Ratio analysis is the process that involves analyzing and interpreting data coming from different financial accounts, such as the balance sheet and profit &
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Cost Accounting
What is Activity-Based Costing (ABC)?
Activity-based costing is a method that assigns costs to the different activities involved in making a product to allocate a company’s funds equitabl