Accounting Basics 3 min read
Characteristics of Management Accounting
Management accounting provides data to the management on the basis of which they take decisions to achieve organizational goals and…
THE LATEST THINKING
Every story.
Browse our articles in publication order, with new stories added automatically.
Accounting Basics 1 min read
Management Accounting – Introduction
Institute of Chartered Accountants of England and Wales defines management accounting as: Any worm of accounting which enables a business…
Accounting Basics 1 min read
Break-Even Chart
Break-Even Chart is the most useful graphical representation of marginal costing. It converts accounting data to a useful readable report.…
Accounting Basics 3 min read
Marginal Cost Equation
Equations for elements of cost are as follows: Sales = Variable costs + Fixed Expenses ± Profit /Loss Or Sales…
Accounting Basics 2 min read
Cost Accounting – CVP Analysis
Cost-Volume-Profit (CVP) Analysis is also known as Break–Even Analysis. Every business organization works to maximize its profits. With the help…
Accounting Basics 2 min read
Direct Labor Variance
Direct labor variances are categorized as follows: ● Labor Cost Variance ● Labor Rate of Pay Variance ● Total Labor Efficiency Variance ● Labor…
Accounting Basics 2 min read
Direct Material Variance
Material variances can be of the following categories: ● Material Cost Variance ● Material Price Variance ● Material Usage Variance ● Material Mix Variance…
Accounting Basics 1 min read
Cost Accounting – Variance Analysis
When the actual cost differs from the standard cost, it is called variance. If the actual cost is less than…
Accounting Basics 1 min read
Standard Cost Card
Format Standard Cost CardNo … … … …Product… … … …Date of setting Standard… … … … Element of Cost…
Accounting Basics 1 min read
Points Related to Standard Costing
● Standard costing includes pre-determination of costs under specific working conditions. ● In this process, the standard quantity of machine time, labor…
Accounting Basics 1 min read
Cost Concept
It is a very important concept based on the Going Concern Concept. We book the value of assets on the…
Accounting Basics 1 min read
Cost Accounting – Standard Costing
Planned cost is a key for effective cost control which is not provided by historical cost concepts. The standard costing…
