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Operating margin is revenues minus the cost of goods sold and all operating expenses.

An organization which is geared towards enabling good pricing decisions is mainly focused on empowering the decision-makers with arguments and tools.

Principles of responsibility accounting means that corrective action is taken by the higher management and is communicated to the responsibility center, i.e. the individual responsible

Net present value analysis is a method commonly used to evaluate fixed assets under a formal capital budgeting system.

A profit center is an organizational segment in which a manager is accountable for profits [revenues minus expenses] and the invested capital used by the segment.

Trend analysis consists of reviewing the trend line of various costs incurred to see if there are any unusual variances from the long-term pattern, and reporting the reasons for these changes to management.

Import duties are the costs that can be included in an inventory valuation.

The responsibility of the profit and revenue center is actually the same.

If you have very regionalized markets with similar customers, your organization should be organized around different regions. Conversely, the product structure could influence the way to divide the responsibilities.

The profile of the pricing professional varies depending on the set-up and the mission of the organization.

Cost accounting is helpful because it can identify where a company is spending its money, how much it earns and where money is being lost

A constraint is a restriction on the output of a system. The constraint acts as a throttle, essentially establishing an upper limit on the amount of output that can be created.

MIS helps managers evaluate progress and delegate work more efficiently, raising the overall efficiency of the organization.

In Cost Benefit Analysis each business function examines its own activities and works to improve performance by continually setting higher goals

Accounting Information System will collect, process, analyze and store financial data of a company

The advantage of MIS is to compare budgets and plans to actual performances and figure

Margin analysis calculating the mix of contribution margin and unit volume at which a business exactly breaks even, which is useful for determining price points for products and services

Engineer the product is a step in the target costing process.

AIS improves the effectiveness and efficiency by sharing the knowledge.

Fixed Costs are the costs to run the day-to-day operations of the company. However, operating costs or operating expenses are not usually traced back to the product being manufactured and can be fixed or variable.