Rubab Archive
Definition, Explanation and Examples of Joint Venture: Learning Objectives: Define and explain the terms joint venture. What the advantages or benefits of joint venture. Definition: A joint venture is a temporary partnership of two or more persons engaged in any particular business adventure of
Definition, Explanation and Characteristics of “Depreciation” or “Accounting Depreciation”: Learning Objectives: Define and explain the terms “depreciation” or “accounting depreciation”. The value of assets gradually reduces on account of use. Such reduction in value is known as depreciation. Different authors have given different definitions
Definition and Explanation of Consignment: Learning Objectives: Define and explain the terms consignment, consignor and consignee. The word consignment can be generally defined as the act of sending a quantity of goods by the manufacturers and producers of one country or place to their
Definition and explanation of cash flow statement. The purpose of the statement of cash flows is to highlight the major activities that directly and indirectly impact cash flows and hence affect the overall cash balance. Managers focus on cash for a very good
Definition and Explanation of Bill of Exchange: A bill of exchange has been defined as an unconditional order in writing addressed by one person to another; signed by the person giving it, requiring, the person to whom it is addressed to pay on demand
Cost Accounting Procedure for Defective Work: In the manufacturing processes, imperfections may arise because of faults in materials, labor, or machines. If the unit can be reprocessed on one or more stages and made into a standard saleable product, it is often profitable to
Decisional Roles Definition: The decisional roles involve around making choices. The four decisional roles include entrepreneur, disturbance handler, resource allocator and negotiator.
Cost Classification for Decision Making (Decision Making Costs): Learning objective of this article: Define, explain, and give examples of cost classifications used in making decisions: differential costs, opportunity costs, and sunk costs. Costs can be classified for decision making. Costs are important feature of
Decentralized Organization Definition: An organization in which decision making is not confined to a few top executives but rather is spread throughout the organization.
Decentralization in Organizations: Learning Objectives: Define and explain the term “decentralization”. What are the advantages and disadvantages of decentralization in business organizations? What are business segments? Define and explain cost, profit, and investment centers. Definition and Explanation of Decentralization A decentralized organization is one
Decentralization, Segment Reporting and Transfer Pricing: Decentralization and Segment Reporting: When an organization grows beyond a few people, it becomes impossible for the top manager to make decisions about everything. Managers have to delegate decisions to some degree to those who are at lower
Debtors Turnover Ratio | Accounts Receivable Turnover Ratio: A concern may sell goods on cash as well as on credit. Credit is one of the important elements of sales promotion. The volume of sales can be increased by following a liberal credit policy. The
Debt to Equity Ratio: Definition: Debt-to-Equity ratio indicates the relationship between the external equities or outsiders funds and the internal equities or shareholders funds. It is also known as external internal equity ratio. It is determined to ascertain soundness of the long term financial
Danger Level of Materials or Inventory Stock: Definition and Explanation: Some enterprise also calculate danger level. When this level of stock is reached, then emergency steps are taken by the management to acquire material supplies. When danger level is reached, the try is made
