Why most of the larger businesses are not managed
Why most of the larger businesses are not managed as the single unit through one manager?
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The three common reasons which are responsible are as follows:
a) Sheer volume of activity or number of employees employed makes it unfeasible for one person to administer them.
b) Several business operations might need specialized knowledge or expertise.
c) Geographical remoteness of portion of the business operations might make it more practical to administer each location as a separate section or set of separate sections.
The rights of each partner: Under the Partnership Act, partners have the right to: Share equally in profits and losses; Indemnity; Interest on advances; Interest on capital; Share in management of
Indirect Cost: A cost which can’t be recognized particularly with or traced to a specified cost object in an economically feasible manner.
From the books of Aggarwal Bors, the following information have been extracted: Rs. Sales 2,40,000 Variable costs 1,44,000 Fixed costs 26,000 Profit before tax 70,000 Rate of tax 40% The firm is proposing to buy a new plant which can generate additional annual profit of Rs. 10,000. The fixed
Write down the scope of Management accounting?
The duties of each partner: The partners are beneath a fiduciary duty towards one another to: Render true accounts; Account for private gains; and Refrain from competition with the partnership firm.
discuss the limitations of human relations approaches to management
Activity: The real work task or step executed in generating and delivering products and services. The aggregation of actions executed within an organization which is helpful for the purpose of activity-based costing.
Write down a short note on the influence of manager’s behavior in management accounting information?
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.
Opportunity Cost: The value of the substitutes foregone by approving a particular strategy or utilizing resources in a particular manner. Al so termed as Alternative Cost or Economic Cost.
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