What are Asset management Ratios? Asset management ratios are a group of metrics that show how a company manages its assets in generating revenues. They’re used to analyze how efficiently and effectively a company is using its resources by comparing the total assets with the total sales. These ratios can be used in the context …
What are Prepaid Expenses? Prepaid expenses are costs that have been paid in full for goods or services that will be used over a period of time. This kind of expense is usually intangible, such as an insurance premium, or can be tangible, such as prepaid rent. Prepaid expenses are recorded when the goods and …
Conversion cost also known as cost per conversion for a certain marketing channel is an important indicator of how well a company is performing on various marketing channels. The Cost per Conversion metric can help show the ROI for an online marketing campaign, where the goal is to convert visitors into paying customers. Conversion costs …
What is a Write Off Account Receivable? A write-off is an expense item that has been expensed, as opposed to a normal expense which has not been incurred. A write-off arises due to the enterprise or its owner expensing a financial loss or expenditure for their business. The writing off of an expense is viewed …
What is Market Cannibalization? Cannibalization is when a firm whose product lacks an established market occupies a share of the market by undercutting its competitors. Market cannibalization has driven many firms to turn to mergers and acquisitions in order to survive. The concept of cannibalization is important to every fund accounting student because it familiarizes …
What are Net Operating Assets? Net operating assets (NOA) is a measurement of the net worth of a company. It’s the value of the company’s assets minus liabilities, including stockholders’ equity and debt. In other words, net operating assets measure what’s left over after subtracting all debts and obligations from all that remains. The general …
1. Which of the following are basic phases of the management process? Group of answer choices Supervising and directing Decision making and supervising Organizing and directing Planning and controlling Answer & Explanation Below Answer: Planning and controlling Step-by-step explanation The four basic phases of management process that help in systematic way of doing things include; …
Which of the following are basic phases of the management process? Read More »
1. Which phrase best describes the current role of the managerial accountant? a. Managerial accountants prepare the financial statements for an organization. b. Managerial accountants facilitate the decision-making process within an organization. c. Managerial accountants make the key decisions within an organization. d. Managerial accountants are primarily information collectors. e. Managerial Accountants are solely staff …
Which of the following is most associated with managerial accounting? Read More »
The primary objectives of financial accounting are: Compliance with legal prerequisites Record keeping Management decision-making Attaining the balance Regulation of errors Profitability of a Business Explain all objectives of financial accounting 1. Compliance with legal prerequisites The initial goal is to make sure that a firm is complying with the tax’s rules and regulations , …
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On the Income Statement, which of the following would be classified as a variable cost? Select: 1 Submit Answer a) Direct Labor Expense b) R&D Expense c) Promotion Expense d) Depreciation Expense Choice A is the correct answer Step-by-step explanation Variable costs refer to costs that vary with the level of production. An example of …
On the income statement, which of the following would be classified as a variable cost? Read More »
