Abida Archive
Dynamic Programming: Learning Objective of the Article: Define and explain the term “dynamic programming”. In which situation it is used to optimize the the use of resources. Definition and Explanation of Dynamic Programming: Dynamic programming is an extension of the basic linear programming technique
Drawing, Acceptance, and Payment of Bills of Exchange: Learning Objectives: Make journal entries in the books of creditor and debtor at the time of drawing, acceptance, and payment of a bill of exchange. When a bill is written it is known as “drawing” a
Double Entry System of Bookkeeping: Learning Objectives: Define and explain double entry system of book-keeping. What are the advantages and disadvantages of double entry system of book-keeping? The double entry system of bookkeeping owes its origin to an Italian merchant named Lucas Pacioli who
Divisional Autonomy and Sub-optimization: How much autonomy should be granted to divisions in setting their own transfer prices and in making decisions concerning whether to sell internally or to sell outside? Should the divisional heads have complete authority to make these decisions, or should
Division of Labor Definition: The breakdown of jobs into narrow and repetitive tasks is called division of labor. In 1776, Adam Smith published his book The Wealth of Nation, in which he argued for the economic advantages and organizations that society would gain from
Dividend Yield Ratio: Definition: Dividend yield ratio is the relationship between dividends per share and the market value of the shares. Share holders are real owners of a company and they are interested in real sense in the earnings distributed and paid to them
Dividend Payout Ratio: Dividend payout ratio is calculated to find the extent to which earnings per share have been used for paying dividend and to know what portion of earnings has been retained in the business. It is an important ratio because ploughing back
Distribution of Quality Costs/Quality Cost Report: Learning objectives of this article: Prepare and interpret a quality cost report. How to Distribute Quality Costs? A company’s total quality cost is likely to be very high unless management gives this area special attention. Experts say that
Disposition of Underapplied or Overapplied Overhead Balances: Learning objective of the article: How is over and under applied overhead is disposed off. Give an example to explain the procedure? What disposition should be made of an underapplied overhead or overapplied overhead balance remaining in
Dishonour of a Bill of Exchange: Learning Objectives: Make journal entries when a bill of exchange is dishonoured by the drawee. Definition and Explanation: A bill of exchange is said to be dishonoured when the drawee refuses to accept or make payment on the
Discussion Questions and Answers: Learning Objectives: Find answers of the general questions about Fist in First Out and Average Method of process costing system. Questions: How does the FIFO method differ from the average costing method of process costing system? See answer. Why are
Discretionary Fixed Cost Definition: Discretionary fixed costs are those fixed costs that arise from annual decisions by management to spend in certain fixed cost areas, for example advertising and research.
Discounting a Bill of Exchange: Learning Objectives: Make journal entries in the books of creditor and debtors at the time of discounting of bill of exchange. If the holder of a bill is need of money before the due date of the bill he
Directing and Motivating Definition: Mobilizing employees to carry out plans and run routine operations.
Direct Method Cash Flow Definition: A method of computing the cash provided by operating activities in which the income statement is reconstructed on a cash basis from top to bottom.
Direct method Cost of Allocation Definition: The allocation of all of a service department’s costs directly to operating departments without recognizing services provided to other service departments.
Direct Method of Cost Allocation-Service Department Costing: Definition: Direct method is a cost allocation method under which any of the allocation base attributable to the service departments themselves is ignored; only the amount of the allocation base attributable to the operating departments is used
Direct Method of Cost Allocation-Service Department Costing: Definition: Direct method is a cost allocation method under which any of the allocation base attributable to the service departments themselves is ignored; only the amount of the allocation base attributable to the operating departments is used