B(IZNUS)OBODDY

The cost of activities in value chain analysis is determined by key cost drivers.

The four main capital investment appraisal techniques are payback period, accounting rate of return, net present value and internal rate of return.

The two main branches of management accounting are cost accounting and decision making.

Total absorption costing is where all the overheads incurred by a company are recovered in the valuation of stock.

Fixed costs are those that do not vary with long-term changes in the level of sales or production.

Shareholders, analyst advisers and Customers are examples of internal external users of accountant.

Discounted cash flow discounts the future expected cash flows of a project back to their present- day monetary values.

SWOT analysis stands for strengths, weaknesses, opportunities and threats.

The product portfolio matrix consists of dogs, question

Net present value and the internal rate of return use discounted cash flows

In stock valuation, marginal costing is normally used in valuing stock in financial reporting.

The direct materials price variance is: (standard price per unit of material minus actual price per unit of material) multiplied by actual quantity of materials used.

The four main aspects of budgets are planning, coordinating, control and motivation.

Shareholders, analyst advisers and Customers are examples of internal external users of accountant.

Flexing the budget means adjusting the budget to take into account the actual prices incurred.

Accountants perform other roles such as e.g.: auditing, bookkeeping, financial accounting, management accounting.

Benchmarking measures a business against its competitors.

Contribution/sales ratio is profit divided by sales.

Spending to budget, padding the budget and creative budgeting are all common behavioral responses to budgeting.

The product portfolio matrix consists of dogs, question marks, stars and cash balls.

The discount rate normally used for discounting cash flows is the company's weighted average cost of capital.

The commonest limiting factor on the budgeting process is production.

We identify activity cost drivers in activity-based costing.

Non-financial items are not important in decision makiing

In batch costing if we had 100 units that were 50% complete this would equal 50 equivalent units.