· What is a flexible budget? A flexible budget is a budget that is a function of one or more levels of activities. The flexible budget is more intricate and useful than a normal budget‚ which remains at one amount regardless of the volume of the activities. · What are the steps to developing a flexible budget? The steps taken to develop a flexible budget are as follow: • Identify the activity index and the relevant range of activity. • Identify the variable costs
Premium Costs Variable cost Cost
Introduction A budget is considered as a standard to facilitate control work activities of the organization. Budgets are planning tools prepared firstly to start the period being budgeted. Valuable information about the performance contains of the difference between the actual results and the planning budgets. Therefore‚ budgets are both planning tools and performance evaluation. The most common important element in budget is some measure of anticipated output such as the number
Premium Costs Variable cost Fixed cost
GUESS WHO JEANS STATIC BUDGET VARIANCE FOR THE MONTH JUST ENDED Income Statement line-item Budgeted amount per unit Static Budget (A) 10‚000 units Actual Results (B) 16‚000 units Static Budget Variance (A) – (B) Revenue Variable costs: Materials Labor Overhead Total Contribution margin Fixed costs: Manufacturing Overhead Marketing costs Total fixed costs Operating
Premium Variable cost Costs Fixed cost
ACC 561 FINAL EXAM PLEASE GET ANS http://studentoffortune.com/question/1598103/ACC-561-IMPORTANT-TUTORIALS 1 # Which of the following is the process of planning and managing a firm’s long-term investments? Select correct option: Capital Structuring Capital Rationing Capital Budgeting . 2 # A group of assets such as stocks and bonds held by an investor. Portfolio Capital Structure Budget None of the above 3 # The difference between an investment’s market value and its cost is
Premium Balance sheet Investment Bond
ACC 561 Final Exam Copy this link to your browser and download http://www.finalexamguide.com/ACC-561-Final-Exam-5-90.htm 1). _____ refers to accounting information developed for managers within an organization. A. Internal auditing B. Managerial accounting C. Financial accounting D. Tax accounting 2). Ethical accountants are important to society because _____. A. they pay their taxes B. the information produced is reliable C. they will not go
Premium Costs Variable cost Cost
Chapter 9 Flexible Budgets and Performance Analysis Solutions to Questions 9-1 The planning budget is prepared for the planned level of activity. It is static because it is not adjusted even if the level of activity subsequently changes. 9-2 A flexible budget can be adjusted to reflect any level of activity—including the actual level of activity. By contrast‚ a static planning budget is prepared for a single level of activity and is not subsequently adjusted. 9-3 Actual results can differ
Premium Variance Probability theory
| | Multiple Choice Question 49 | | | | Your answer is correct. | | | Which of the following is an advantage of corporations relative to partnerships and sole proprietorships? | Reduced legal liability for investors. | | Harder to transfer ownership. | | Lower taxes. | | Most common form of organization. | | | | | Multiple Choice Question 64 | | | | Your answer is correct. | | | The group of users of accounting information charged with
Premium Variable cost Costs Management accounting
Store Analysis ACC/561 September 25‚ 2010 Guillermo Furniture Store Analysis Emerging markets‚ new processes and increased competition affect business decisions for many small businesses. Guillermo Furniture Store is a small business currently experiencing the affects of emerging competition. Because of this‚ the organization decided to take a more prominent role in distributing. The authors will be taking a deeper look into this decision and will provide a detailed budget summary including
Premium Budget Forecasting Future
CHAPTER 7 FLEXIBLE BUDGETS‚ DIRECT-COST VARIANCES‚ AND MANAGEMENT CONTROL 7-1 Management by exception is the practice of concentrating on areas not operating as expected and giving less attention to areas operating as expected. Variance analysis helps managers identify areas not operating as expected. The larger the variance‚ the more likely an area is not operating as expected. 2. Two sources of information about budgeted amounts are (a) past amounts and (b) detailed engineering studies
Premium Cost Direct material price variance Variable cost
acc 561 final exams help FOR ANSWERS Visit: http://finalexamguideline.com/ACC-561-FINAL-EXAM-2-08.htm ) According to the Financial Executives Institute‚ one function of controllership is _____. 2) Performance reports _____. 3) Budgets _____. 4) Ethical accountants are important to society because _____. 5) According to the Institute of Management Accountants’ Statement of Ethical Professional Practice‚ the standard of competence includes: 6) According to the Institute of
Premium Variable cost Costs Management accounting