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How does the contribution margin income statement differ from the income statement used in financial reporting?
Wiki User
∙ 9y ago
Income statement in financial reporting is different in this sense that in that income statement all expenses and incomes are shown as incomes and expenses and there is no classification of fixed expenses or variable expense while in contribution margin income statement expenses are shown in this way that separate the fixed expenses from variable portion of expenses.
Wiki User
∙ 9y ago
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How do the formulas differ for contribution margin per unit and contribution margin ratio?
Contribution margin per unit = Contribution margin / number of units of products Contribution margin ratio = Contribution margin / Net sales The formula is different for both situations because contribution margin per unit calculates the contribution margin for one unit of product while contribution margin ratio calculates the contribution margin for total overall sales as overall sales may be included different mix of products with diff rent fixed and variable costs that's why both of these are calculated separately
Explain the job of the cost accountant and how it differ from that of the financial accountant?
hi, i want to ask the base skill is Accountant do and the responsiblity Can you explain me as soon as possible
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Management accounting includes both financial and cost accounting, tax planning and tax accounting. Cost accounting, on the other hand, does not include financial accounting, tax planning and tax accounting.
Why do accounting systems of different countries differ?
Accounting systems of different countries differ because accounting is shaped by the environment in which it operates. Each country's accounting system has evolved in response to the local demands for accounting information. Because of globalization of capital markets, the lack of comparability has become a problem as transnational financing and transnational investments have grown rapidly in recent decades. Due to the lack of comparability, a firm may have to explain to investors why its financial position looks very different on financial reports that are based on different accounting practices.
What type of assets are capital assets and how do they differ from current assets?
Capital assets, also referred to as capital goodsand plant, property and equipment, are a kind of non-current asset. The main purpose of these assets is generating revenue for an entity by being used for one or more purposes. An example of a capital asset is a delivery truck used by a delivery firm; the truck helps to generate revenue for the firm as they use it to provide delivery services. A firm does not sell capital goods to generate revenue (as they would sales stock), and they may keep them many years.Current assets are assets that are expected to be used or turned into cash by the end of the reporting period. This includes sales stock (which is expected to be sold, at least in part, by the end of the reporting period), and bank (which the entity is likely to spend cash from within the reporting period). Capital assets are not current assets, as they are not expected to be turned into cash or used up within the reporting period.
What are the four financial statements and how do they differ?
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How does the post trial balance differ from the adjusted trial balance?
Post is used at the beginning of the month where trial balance is the balance of your financial statement at the end of the month.
How do consolidated financial statement differ from the financial of a single company?
Because consolidation is consolidation (meaning more than one company), the parent or majority company (50.01%) must integrate the financial details of the subsidiary company with its own. Often times the subsidiary has its own statement. This is very complex and takes time to explain. There are new rules for this and is discussed in Advanced Accounting courses. One must note that even if consolidated some of these companies are still publicly traded and managed by others not under the thumb of the parent company.
Explain with suitable example how switch statement is differ from if statement?
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How does the statement of cash flows differ from the income statement?
Income statement shows the use of assets and liabilities over a certain accounting period. The cash flow on the other hand explains inflow and outflow of cash, and reports the cash in hand, also reflected in the balance sheet. Each financial statement provides certain information regarding the financial condition, and together, they give a complete picture.
Financial statement income vs taxable income?
Financial statement income and taxable income are seldom same due to many reasons and main reason is depreciation as company use different rate or method of allocation of depreciation while taxation authorities uses different as well as there are many expenses which are not allowed by taxation authorities as expense. Due to these reasons both of these incomes may differ.
How does write statement differ from writeln statement?
I think you mean written statement. What you are asking about write statement you are confusing with written statement, the same with write in statement. A written statement is simply putting your words, or your version of events in writing.
Modern financial manager vs traditional financial manager?
The modern financial manager uses computer technology to develop strategies. The traditional financial manager uses research and evaluation to develop strategies.
How does a review differ from an audit particularly in terms of the level of assurance implied by the auditor's report?
An audit of historical financial statements is a form of attestation service in which the auditor issue a written report expressing an opinion about whether the financial statements are in material conformity with generally accepted accounting principles. When presenting information in the form of financial statements, the client makes various assertions about its financial condition and results of operations. External users who rely on those financial statements to make business decisions look the auditor's report as an indication of the statements' reliability. They value the auditor's assurance because of the auditor's independence from the client and knowledge of financial statement reporting matters. A review of historical financial statements is another type of attestation service performed by CPAs. Whereas audit provides a high level of assurance, a review service provides a moderate amount of assurance on the financial statements, and less evidence is necessary to support this level of assurance.
What is the purpose of for statement differ from while statement?
conditin are given in for statement they check one time either it true or false and in while statement they check again and again untell the condition false.
What is the most commonly used alarm reporting format?
The usual format for remote alarm reporting is the DTMF system. This is the Dual Tone Multi-Frequency system. Alarm reporting formats differ depending on the monitoring station, but the most common are Contact ID & SIA.
What is the measure of how levels of financial resources differ among people in a society?
distribution of wealth
