--%>
Assignment Help - homework help

Activity-based budgeting

 

A method of budgeting in which the activities that incur costs in every functional area of an organization are recorded and their relationships are defined and analyzed. Activities are then attached to strategic goal, after which the costs of the activities needed are used to create the budget. Activity based revenue stands in contrast to traditional, cost-based revenue practices in which a prior period's budget is simply adjusted to account for inflation or earning growth. As such, ABB provides opportunities to align activities with objective streamline costs and improve business practices 

 

   Related Questions in Managerial Accounting

  • Q : Partnership from Accounting point of

    Describe the status of partnership from an accounting point of view? Answer: From an accounting point of view, partnership is a separate business entity. From legal

    		•
  • Q : Describe a join between tables Describe

    Describe a join between tables?

    		•
  • Q : Conditions in which fixed capital of

    Give circumstances in which the fixed capital of partners might change. Answer: Two circumstances in which the fixed capital of Partners might change are as follows:

    		•
  • Q : Define Support Costs Support Costs :

    Support Costs: Costs of activities are not directly related with the production. Typical illustrations are the costs of automation support, postage, communications, process engineering, and purchasing.

    		•
  • Q : Reaping the benefits of IT What do you

    What do you mean by the term reaping the benefits of IT? Explain n brief?

    		•
  • Q : Regions of decision making process What

    What are the possible broad regions of decision making process where management accounting information is required?

    		•
  • Q : What is Direct Cost Direct Cost : The

    Direct Cost: The cost of resources directly used by an activity. The direct costs are assigned to actions by direct drawing of units of resources used by individual actions. A cost which is particularly recognized with a single cost o

    		•
  • Q : Reliability-Accounting information What

    What do you mean by the term Reliability which is accounting information?

    		•
  • Q : What is Limited partnerships Limited

    Limited partnerships: Limited partnerships are an alternative to limited liability companies because of their simplicity. All the states encompass passed limited partnership legislation.A limited partn

    		•
  • Q : Budgetary accounts Accounts used in

    Accounts used in governmental accounting to record the budget amounts but not the actual amount. For example, at the beginning of the accounting period, the planned amount of tax revenue, revenue from license, and inflows from fines would be recorded as one amount in

    		•