About 'management accounting principles'|What is the role of management accounting information in influencing pricing decisions

About 'management accounting principles'|What is the role of management accounting information in influencing pricing decisions

Ｔｒａｄｉｔｉｏｎａｌ               ｍａｎａｇｅｍｅｎｔ               ａｃｃｏｕｎｔｉｎｇ               ｉｎｖｏｌｖｅｓ               ｍｅｔｈｏｄｓ               ｏｆ               ｓｐｅｎｄｉｎｇ               ｔｒａｃｋｉｎｇ               ｔｈａｔ               ｈａｖｅ               ｂｅｅｎ               ｕｓｅｄ               ｆｏｒ               ｄｅｃａｄｅｓ               ｔｏ               ｈｅｌｐ               ｗｉｔｈ               ｂｕｓｉｎｅｓｓ               ｄｅｃｉｓｉｏｎ-ｍａｋｉｎｇ. Ｄｅｓｐｉｔｅ               ｔｏｄａｙ'ｓ               ｃｏｍｐｕｔｅｒｓ,               ｔｒａｄｉｔｉｏｎａｌ               ｍａｎａｇｅｍｅｎｔ               ａｃｃｏｕｎｔｉｎｇ               ｐｒｉｎｃｉｐｌｅｓ               ａｒｅ               ｓｔｉｌｌ               ｗｉｄｅｌｙ               ｕｓｅｄ               ａｎｄ               ｐｒｏｖｉｄｅ               ｔｈｅ               ｂａｓｉｓ               ｏｆ               ｃｏｍｐｕｔｅｒ               ａｃｃｏｕｎｔｉｎｇ               ｓｏｆｔｗａｒｅ. Ｕｎｄｅｒｓｔａｎｄｉｎｇ               ｈｏｗ               ｔｈｅｓｅ               ｍｅｔｈｏｄｓ               ｗｏｒｋ               ｈｅｌｐｓ               ｕｎｄｅｒｓｔａｎｄ               ｗｈｙ               ｍｏｄｅｒｎ               ａｃｃｏｕｎｔｉｎｇ               ｍｅｔｈｏｄｓ               ｍａｙ               ｂｅ               ｂｅｔｔｅｒ               ｏｒ               ｗｏｒｓｅ,               ｅｖｅｎ               ｉｆ               ａｕｔｏｍａｔｅｄ               ｏｎ               ａ               ｃｏｍｐｕｔｅｒ.                Ｅａｒｌｙ               Ｃｏｓｔ               Ａｃｃｏｕｎｔｉｎｇ                Ｃｏｓｔ               ａｃｃｏｕｎｔｉｎｇ               ａｔｔｅｍｐｔｓ               ｔｏ               ａｔｔｒｉｂｕｔｅ               ｅｖｅｒｙ               ｃｏｓｔ               ｉｎｃｕｒｒｅｄ               ｔｏ               ａ               ｐｒｏｄｕｃｔ               ｏｒ               ｓｅｒｖｉｃｅ               ｓｏｌｄ. Ｔｈｉｓ               ｉｎｃｌｕｄｅｓ               ｂｏｔｈ               ｄｉｒｅｃｔ               ａｎｄ               ｉｎｄｉｒｅｃｔ               ｅｘｐｅｎｓｅｓ. Ｔｈｅ               ｌａｂｏｒ               ａｎｄ               ｍａｔｅｒｉａｌｓ               ｕｓｅｄ               ｔｏ               ｍａｋｅ               ａ               ｐｒｏｄｕｃｔ               ａｒｅ               ｄｉｒｅｃｔ               ｃｏｓｔｓ. Ｔｈｅ               ｅｌｅｃｔｒｉｃｉｔｙ               ｔｏ               ｐｏｗｅｒ               ｔｈｅ               ｆａｃｔｏｒ               ｉｓ               ｎｏｔ               ｕｎｉｔ-ｓｐｅｃｉｆｉｃ               ａｎｄ               ｈａｓ               ｔｏ               ｂｅ               ｓｐｒｅａｄ               ｏｕｔ. Ｃｏｓｔ               ａｃｃｏｕｎｔｉｎｇ               ｔａｋｅｓ               ｓｕｃｈ               ｃｏｓｔｓ               ａｎｄ               ａｔｔｒｉｂｕｔｅｓ               ｔｈｅｍ               ｏｎ               ａｌｌ               ｏｎ               ｐｒｏｄｕｃｔｓ               ｏｒ               ｓｅｒｖｉｃｅｓ               ｓｏｌｄ. Ｔｈｉｓ               ｉｓ               ｃａｌｌｅｄ               ｏｖｅｒｈｅａｄ. Ｂｕｓｉｎｅｓｓｅｓ               ｈａｖｅ               ｕｓｅｄ               ｔｈｉｓ               ｍｅｔｈｏｄ               ｓｉｎｃｅ               ｔｈｅ               ｅａｒｌｙ               1900ｓ               ｔｏ               ｒｅｃａｐｔｕｒｅ               ｔｈｅｉｒ               ｅｘｐｅｎｓｅｓ               ｔｈｒｏｕｇｈ               ｉｔｅｍｓ               ｓｏｌｄ               (ｓｅｅ               Ｒｅｆｅｒｅｎｃｅ               3). Ｔｈｅ               ｅａｒｌｉｅｓｔ               ｍｅｔｈｏｄｓ               ｂｒｏｋｅ               ｓｕｃｈ               ｃｏｓｔｓ               ｄｏｗｎ               ｔｏ               ａｎ               ｈｏｕｒｌｙ               ｖａｌｕｅ               ａｎｄ               ａｔｔｒｉｂｕｔｅｄ               ｔｈｅｍ               ｔｏ               ｔｈｅ               ｐｒｏｄｕｃｔｉｏｎ               ｅｘｐｅｎｓｅ               ｐｅｒ               ｅａｃｈ               ｕｎｉｔ               ｍａｄｅ.                Ｂｕｄｇｅｔｉｎｇ                Ｂｕｄｇｅｔｉｎｇ               ａｃｃｏｕｎｔｉｎｇ               ｉｎｖｏｌｖｅｓ               ｓｅｔｔｉｎｇ               ａｎ               ａｌｌｏｗｅｄ               ｅｘｐｅｎｓｅ               ａｍｏｕｎｔ               ｆｏｒ               ａｎ               ａｃｔｉｖｉｔｙ               ｏｖｅｒ               ａ               ｐｅｒｉｏｄ               ｏｆ               ｔｉｍｅ. Ｔｈｅ               ａｃｔｉｖｉｔｙ               ｏｒ               ｐｒｏｄｕｃｔｉｏｎ               ｐｒｏｃｅｓｓ               ｈａｓ               ｔｏ               ｓｔａｙ               ｗｉｔｈｉｎ               ｂｕｄｇｅｔ               ｄｕｒｉｎｇ               ｔｈａｔ               ｔｉｍｅ               ｗｉｎｄｏｗ. Ｔｈｉｓ               ｍｅｔｈｏｄ               ｏｆ               ｔｒａｄｉｔｉｏｎａｌ               ａｃｃｏｕｎｔｉｎｇ               ｗａｓ               ｕｓｅｄ               ａｓ               ｅａｒｌｙ               ａｓ               250               ｙｅａｒｓ               ａｇｏ               ｉｎ               Ｅｎｇｌａｎｄ               ｔｏ               ｐｌａｃｅ               ａ               ｃａｐ               ｏｎ               ｅｘｐｅｎｓｅｓ               ｆｏｒ               ａ               ｂｕｓｉｎｅｓｓ               (ｓｅｅ               Ｒｅｆｅｒｅｎｃｅ               3). Ｉｆ               ｅｘｐｅｎｓｅｓ               ｓｔａｙｅｄ               ｗｉｔｈｉｎ               ｂｕｄｇｅｔ,               ｔｈｅｎ               ｔｈｅ               ｏｐｅｒａｔｉｏｎ               ｒａｎ               ｗｅｌｌ. Ｉｆ               ｉｔ               ｅｘｃｅｅｄｅｄ               ｔｈｅ               ａｌｌｏｗｅｄ               ｂｕｄｇｅｔ,               ｔｈｅｎ               ｔｈｅ               ｏｐｅｒａｔｉｏｎ               ｈａｄ               ａ               ｐｒｏｂｌｅｍ               ｄｕｅ               ｔｏ               ｍａｎａｇｅｍｅｎｔ'ｓ               ｆａｉｌｕｒｅ.                Ｃａｓｈ               Ｍｏｎｉｔｏｒｉｎｇ                Ｔｈｉｓ               ｍａｎａｇｅｍｅｎｔ               ｔｏｏｌ               ｆｏｃｕｓｅｓ               ｏｎ               ｔｈｅ               ｃａｓｈ               ｆｌｏｗｓ               ｗｉｔｈｉｎ               ａ               ｂｕｓｉｎｅｓｓ:               ｉｎｆｌｏｗ               ａｎｄ               ｏｕｔｆｌｏｗ. Ｂｙ               ｆｏｃｕｓｉｎｇ               ｏｎ               ｒｅｖｅｎｕｅ               ａｎｄ               ｅｘｐｅｎｓｅｓ               ｉｎ               ｔｅｒｍｓ               ｏｆ               ｃａｓｈ               ｉｎ               ｔｈｅ               ｂａｎｋ               ａｃｃｏｕｎｔ,               ｔｈｅ               ｍａｎａｇｅｍｅｎｔ               ａｃｃｏｕｎｔｉｎｇ               ｍａｎａｇｅｒ               ｉｓ               ｐｕｔｔｉｎｇ               ａｔｔｅｎｔｉｏｎ               ｏｎ               ｓｈｏｒｔ-ｔｅｒｍ               ｃｈａｎｇｅｓ               ｔｏ               ｓｔａｙ               ａｂｏｖｅ               $0. Ｆｒｏｍ               ｔｈｉｓ               ｐｅｒｓｐｅｃｔｉｖｅ,               ｔｈｅ               ｂｕｓｉｎｅｓｓ               ｎｅｅｄｓ               ｔｏ               ｓｔａｙ               ｓｏｌｖｅｎｔ. Ｇｏｉｎｇ               ｄｅｆｉｃｉｔ               ｍｅａｎｓ               ｔｈｅ               ｂｕｓｉｎｅｓｓ               ｈａｓ               ｔｏ               ｔｅｍｐｏｒａｒｉｌｙ               ｓｔｏｐ               ｕｎｔｉｌ               ｉｔ               ｈａｓ               ｃａｓｈ               ｆｌｏｗ               ａｇａｉｎ. Ａ               ｃａｓｈ               ａｐｐｒｏａｃｈ,               ａｓ               ａ               ｒｅｓｕｌｔ,               ｄｏｅｓ               ｎｏｔ               ａｌｌｏｗ               ｆｏｒ               ｂｕｓｉｎｅｓｓ               ｄｅｃｉｓｉｏｎｓ               ｂａｓｅｄ               ｏｎ               ａｃｃｒｕａｌｓ               ｏｒ               ｃｒｅｄｉｔ.                Ｉｎｃｒｅｍｅｎｔａｌ               Ｃｈａｎｇｅ               Ａｎａｌｙｓｉｓ                Ｆｏｒ               ａｃｃｏｕｎｔｓ               ｒｅｃｅｉｖａｂｌｅｓ               ｉｎｃｒｅｍｅｎｔａｌ               ａｎａｌｙｓｉｓ               ｈｅｌｐｓ               ｄｅｃｉｓｉｏｎ-ｍａｋｉｎｇ               ｕｓｉｎｇ               ａｃｃｏｕｎｔｉｎｇ               ｄａｔａ               ｔｈａｔ               ｔｒａｃｋｓ               ｃｈａｎｇｅｓ               ｉｎ               ｍｏｎｅｙ               ｏｗｅｄ               ｔｏ               ａ               ｂｕｓｉｎｅｓｓ. Ｂｙ               ｋｅｅｐｉｎｇ               ａｃｃｏｕｎｔｓ               ｒｅｃｅｉｖａｂｌｅ               ｌｏｗ               ｗｉｔｈ               ｐｒｏｍｐｔ               ａｎｄ               ａｇｇｒｅｓｓｉｖｅ               ａｔｔｅｎｔｉｏｎ               ａｎｄ               ｆｏｌｌｏｗ-ｕｐ,               ａ               ｂｕｓｉｎｅｓｓ               ｃａｎ               ｍａｋｅ               ｓｕｒｅ               ｒｅｖｅｎｕｅ               ｃｏｎｔｉｎｕｅｓ               ｔｉｍｅｌｙ               ａｎｄ               ｃｒｅｄｉｔ               ｅｘｔｅｎｓｉｏｎｓ               ｔｏ               ｃｕｓｔｏｍｅｒｓ               ａｒｅ               ｋｅｐｔ               ｔｏ               ａ               ｍｉｎｉｍｕｍ. Ｅｖｅｒｙ               ｃｏｍｐａｎｙ               ｆｏｒ               ｃｅｎｔｕｒｉｅｓ               ｈａｓ               ｕｎｄｅｒｓｔｏｏｄ               ｔｈａｔ               ｅｖｅｎｔｕａｌｌｙ               ｃｕｓｔｏｍｅｒｓ               ｗｈｏ               ｄｏｎ'ｔ               ｐａｙ               ｕｐ               ａｒｅ               ｂａｄ               ｆｏｒ               ｂｕｓｉｎｅｓｓ.                Ｒｅｔｕｒｎ               ｏｎ               Ｉｎｖｅｓｔｍｅｎｔ                Ｔｈｅ               ｐｒｉｍａｒｙ               ｆｏｃｕｓ               ｏｆ               ａ               ｂｕｓｉｎｅｓｓ               ｉｓ               ｔｏ               ｍａｋｅ               ｐｒｏｆｉｔ. Ｓｏ,               ｆｒｏｍ               ａｎ               ａｃｃｏｕｎｔ               ｐｅｒｓｐｅｃｔｉｖｅ,               ｂｕｓｉｎｅｓｓ               ｉｎ               ｔｈｅ               ｅａｒｌｙ               1900ｓ               ｂｅｇａｎ               ｔｏ               ｓｅｅｋ               ｓｏｍｅ               ｓｏｒｔ               ｏｆ               ｍｅｔｈｏｄ               ｔｏ               ｓｈｏｗ               ｔｈｉｓ               ｐｒｏｆｉｔ               ａｃｔｕａｌｌｙ               ｏｃｃｕｒｒｉｎｇ               (ｓｅｅ               Ｒｅｆｅｒｅｎｃｅ               3). Ｔｈｅ               ｒｅｔｕｒｎ               ｏｎ               ｉｎｖｅｓｔｍｅｎｔ               ｍｅｔｈｏｄ               ａｌｌｏｗｅｄ               ｂｕｓｉｎｅｓｓ               ｔｏ               ｕｓｅ               ｄｉｆｆｅｒｅｎｔ               ａｐｐｒｏａｃｈ               ｐｅｒ               ｆｕｎｃｔｉｏｎ,               ｂｕｔ               ａｔ               ｔｈｅ               ｅｎｄ               ｔｈｅ               ｕｎｉｔ               ｏｒ               ｓｅｃｔｉｏｎ               ｗａｓ               ｍｅａｓｕｒｅｄ               ｏｎ               ｈｏｗ               ｍｕｃｈ               ｐｒｏｆｉｔ               ｏｖｅｒ               ｃｏｓｔ               ｗａｓ               ｐｒｏｄｕｃｅｄ. Ｔｈｉｓ               ｍａｒｇｉｎ               ｂｅｃａｍｅ               ｔｈｅ               ｒｅｔｕｒｎ               ｏｎ               ｉｎｖｅｓｔｍｅｎｔ               ｏｆ               ｔｈｅ               ｍｏｎｅｙ               ｏｒｉｇｉｎａｌｌｙ               ｅｘｐｅｎｄｅｄ               ａｓ               ａ               ｂｕｓｉｎｅｓｓ.                Ｓｏｕｒｃｅｓ:                Ｄｅｎｎｉｓ               Ｃａｐｌａｎ:               Ｍａｎａｇｅｍｅｎｔ               Ａｃｃｏｕｎｔｉｎｇ               -               Ｃｏｎｃｅｐｔｓ               ａｎｄ               Ｔｅｃｈｎｉｑｕｅｓ                               ｈｔｔｐ://ｄｅｎｎｉｓｃａｐｌａｎ.ｆａｔｃｏｗ.ｃｏｍ/ＴＯＣ.ｈｔｍ                Ｍｉｃｒｏ               Ｂｕｓｉｎｅｓｓ               Ｐｕｂｌｉｃａｔｉｏｎｓ:               Ｃｈａｐｔｅｒ               2               -               Ｍａｎａｇｅｍｅｎｔ               Ａｃｃｏｕｎｔｉｎｇ               ａｎｄ               Ｄｅｃｉｓｉｏｎ-Ｍａｋｉｎｇ                               ｈｔｔｐ://ｗｗｗ.ｍｉｃｒｏｂｕｓｐｕｂ.ｃｏｍ/ｐｄｆｓ/ｃｈａｐｔｅｒ2.ｐｄｆ                Ｍａｎａｇｅｒｉａｌ               Ａｃｃｏｕｎｔｉｎｇ:               Ｔｒａｄｉｔｉｏｎａｌ               Ｍａｎａｇｅｒｉａｌ               Ａｃｃｏｕｎｔｉｎｇ                               ｈｔｔｐ://ｗｗｗ.ｍａｎａｇｅｒｉａｌａｃｃｏｕｎｔｉｎｇ.ｏｒｇ/Ｔｒａｄｉｔｉｏｎａｌ%20Ｍａｎａｇｅｒｉａｌ%20Ａｃｃｏｕｎｔｉｎｇ.ｈｔｍ

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   paramountlearning.wordpress.com/   03/17/2009

   ... are attainable if organisations effectively implement key account management principles. The first stage of any key account management program is to determine which ...

5. MANAGEMENT ACCOUNTING

   ivythesis.typepad.com/   08/25/2009

   ...organization to valuable corporate assets with right mixture of management knowledge and of accounting principles used for uncovering those ...

6. ...GAAP (generally accepted accounting principles), we were not ... for senior management staff. At one company, the CEO...

   chenupati.blogspot.com/   01/03/2005

   ...GAAP (generally accepted accounting principles), we were not ... for senior management staff. At one company, the CEO...

7. Sample Table of Contents on Management Accounting Function in a Knowledge-based Organization

   ivythesis.typepad.com/term_paper_topics/   06/19/2012

   ...Accounting 1.1.2 Principles of Management Accounting 1.1.3 Theories... the Management Accounting Approaches...

8. Management Accounting Revision

   ivythesis.typepad.com/   08/15/2008

   ...problem solving. Therefore, management accounting techniques may differ... Accounting Principles (GAP) techniques and...

9. Account Management: 9 Things To Think & Do

   johndrake.typepad.com/advertising/   03/24/2009

   ... some general principles of Account Management. And I still hold the ...And this means great account people are always ...

10. MANAGEMENT ACCOUNTING CONTROL SYSTEM

    ivythesis.typepad.com/   09/03/2009

    ... assist in regulating the procedure of management accounting. Evaluation of the principles It is said that Accounting Control...

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