Describe how the dual-rate method is useful to division managers in decision making

Q: Discuss how the strategic management accounting technique target costing could offer Green…

A: Target costing is a strategic cost management technique, it helps in cost reduction of the entity…

Q: Which approach to understanding business processes is conducted from a broad organizational…

A: Method of understanding business means how to get know more about our business , how to do business…

Q: Should the decision-making process be top-down (centralized with top administrators) or…

A: The decision-making process be top-down is much better than the bottom up for the following reasons:…

Q: ltants within the modern IS department? Discuss the characteristics of centralized, dec

A: 1. Since the early days of management consulting, firms have sought to differentiate themselves by…

Q: A very key concept in managerial accounting is how costs "behave", either fixed or variable. Once we…

A: Fixed Cost: These are costs that will remain the same irrespective of production or number of units…

Q: Discuss the types of transfer pricing policy available to a company and explain why a company needs…

A: Transfer pricing refers to the practice of pricing goods or services that are transferred between…

Q: Explain how EVA is a better measure for divisional performance evaluation, as compared to Residual…

A: The return on investment is calculated in order to measure the performance it is the total return…

Q: Many organizations use transfer pricing when transferring products between different divisions of…

A: The entity may contain many divisions. The output of division one may be input for another division.…

Q: The Role of Perfomance Management Techniques in improving Organizational Performance

A: Performance management techniques refers to the mechanism which is used for tracking the performance…

Q: What is an industrial value chain? Explain why a firm’s strategies are tied to what happens

A: Industrial value chain: An industrial value chain refers to a linked set of value-causing operations…

Q: .controlling c.decision

A: To explain the correct option as,

Q: The primary objective of a transfer pricing system/scheme/policy is to motivate segment managers to…

A: internal transfer can be between the division or between the related companies.

Q: 1.Which points revealed by the statement segmented by sales territory should be brought to the…

A: Segment reporting is used when there are more than one segment in a company. Segment wise financial…

Q: In which of the following responsibility centers does the manager have responsibility for and…

A: Responsibility Centre is one of the segments of a company that allows the managers to perform…

Q: How is an organization chart valuable to an organization?   Why is departmentalization important?

A: Organizational chart: Organizational chart is a graphical representation of the structure of the…

Q: Identify some qualitative factors that should be considered when making managerial decisions.

A:

Q: Discuss how break even analysis can aid management in decision-making.

A: Break-even analysis is a quantitative approach used by management and analysts to determine the…

Q: mance evaluation seeks to achieve goal congruence and managerial effort." Discuss what you think is…

A: Definition of performance evaluation Performance evaluation is as a formal and productive procedure…

Q: When evaluating the performance of a manager, why shouldfixed costs be divided into the categories…

A: Controllable expenditure: Controllable expenditure is an expenditure that is directly controllable…

Q: Responsibility centers typically involve cost, profit, and investment centers. What is the basic…

A: A responsibility center is a functional entity within a company with its own aims and objectives,…

Q: Explain why it is important in performance evaluation to distinguish between investment centers and…

A: Return on investment (ROI): Return on investment evaluates how efficiently the assets are used in…

Q: Mention some ways other than cost-cutting that will improve company operations.

A: When making and analyzing the financial statements of a company we keep an eye on two main…

Q: Which of the following is the purpose of relative performance evaluation (RPE)?    Multiple Choice…

A: The objective of this question is to understand the purpose of Relative Performance Evaluation (RPE)…

Q: Discuss the different variables of CAPM. How would a manager use it in decision making?

A:

Q: Discuss the difficulties in using breakeven analysis by managers in decision-making.

A: Breakeven analysis is a tool used to analyze the profitability of a new service or product.…

Q: The design and use of strategic cost management systems are oriented around the application of three…

A: Strategic cost management is defined as the cost management which is a procedure for decreasing the…

Q: In service industries, what poses a unique challenge for cost management, requiring clear metrics…

A: In service industries, the unique challenge for cost management that requires clear metrics and key…

Q: How can management accountant help improve quality and achieve timely product deliveries?

A: Management accountant perform various functions like analysis cost, business processes to identify…

Q: What is Return On Investment? Analyze the use of ROI and the impact that it has within an…

A: Return on investment (ROI) is a metric that evaluates the success of an investment by comparing the…

Q: Describe why sales and operations planning teams are cross fuxntions ?

A: Sales is basically concerned about exchange of a product or service for either any product, service…

Q: What is the relationship between contribution margin and responsibility margin? Explain how each of…

A: Contribution Margin: The contribution margin is the excess of selling price over the variable costs…

Q: What are the keys for a managerial accountant in decision-making with differential analysis, product…

A: Managerial accounting, sometimes known as management accounting, is a type of accounting that…

Q: A strategy of product leadership can also be called which of the following? O Cost leadership Lean…

A: Cost accounting refers to the recording of the overall cost of production by considering the…

Q: Identify and discuss arguments that individual product managers may put forward to support their…

A: Preferred Revenue Allocation method is a revenue allocation method in which managers in charge of…

Q: Describe situations in which centralized business activities might be preferred to a decentralized…

A: Centralized management is the organization structure where a small handful of individual make most…

Q: Managerial Accounting Differentiate between centralized and decentralized operations.

A: Centralized operations is a form of corporate system in which top management is in charge of making…

Q: 5. 6. is the process of giving employees the authority to make important decisions and to be…

A: 5. ___ is the process of giving employees the authority to make important decisions and to be…

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.