The concept of escapability involves a temporal dimension...as the degree of escapability is determined by the time period required before a particular cost can be avoided. Management may be able to sanction immediate escapable cost while others remain possible only in the long run
For instance in airline activities the degree varies with the size and nature of operations. Cancelling one weekly flight may reduce only some costs but little else due the joint nature of costs as common costs will continue to be incurred to support remaining flights
To be successful in applying this concept one needs to apply the traditional accounting distinction between fixed and variable costs.
The variable costs such as flying costs are directly escapable in the short run; these include
- fuel
- flight and cabin crew subsitence, bonuses
- landing charges
- ground handling charges
- catering
- engeenering & maintenance ( since these are based on flight cycles & hours flown)
on the other hand Fixed costs/direct operatingcost are only escapable in the long run say after a year or two but depending on how quickly the schedules could be actually changed. Doganis (2002) cites that 40% of total costs may be saved in the short run by cancelling a scheduled flight.
The concept of internationalization
different cost concept
concept of financial analysis?
Marshal borrowed the concept of forces of demand and supply. This is a concept that had been established by Smith and Ricardo.
Why is ethics seen as a fundamental business concept
production concept marketing concept selling concept product concept
Valuation Concept is Valuation concept no concept about it.
there is no concept!
There are eight accounting concepts: Business entity concept, cost concept, going concern concept, matching concept, objectivity concept, unit of measure concept, adequate disclosure concept, and accounting period concept
Production concept Product concept Selling/ Sale concept Marketing concept Societal concept
software concept is a concept of your software. BOOM!
ask your mother?lol
there is no concept!
selling concept is a traditional concept of marketing. In traditional concept emphasis was on only selling the products.
5 major Marketing Concept 1.Product Concept 2.Production Concept 3.Sales Concept 4 Marketing Concept 5.Societal Marketing Concept.....
No concept is an island means that no concept stands alone.
what is the differnec between an operational concept document and a concept for operations