tailieunhanh - Lecture Accounting: What the numbers mean (5/e) - Chapter 14: Cost analysis for planning
After reading this chapter, you should be able to answer the following questions: What is the cost terminology that relates to the budgeting process? Why are budgets useful, and how does management philosophy influence the budget process? How are alternative budget time frames used?. | CHAPTER 14 COST ANALYSIS FOR PLANNING McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives What is the cost terminology that relates to the budgeting process? Why are budgets useful, and how does management philosophy influence the budget process? How are alternative budget time frames used? What is the significance of the sales forecast (or revenue budget) to the overall operating budget? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives How is the purchases/production budget developed? What is the importance of cost behavior patterns in developing the operating expense budget? Why are a budgeted income statement and balance sheet prepared? How is the cash budget developed? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives Why and how are standards useful in the planning and control process? How is the standard cost of a product developed? How are standard costs used in the cost accounting system? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objective 1 What is the cost terminology that relates to the budgeting process? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Planning and Budgeting Planning is the initial part of the planning and control cycle A budget is a plan in financial terms The results of an organization’s activities will be reported in terms of income, cash flow, and financial position – the financial statements McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Strategic, Operational, and Financial Planning Planning and Control Cycle Performance Analysis: Plans vs. Actual Results (Controlling) Executing Operational Activities (Managing) Revisit Plans Implement Plans Data Collection and Performance Feedback McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Usefulness of Budgets The preparation of a budget forces management to plan The budget provides a benchmark against which to compare actual performance The budgeting process . | CHAPTER 14 COST ANALYSIS FOR PLANNING McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives What is the cost terminology that relates to the budgeting process? Why are budgets useful, and how does management philosophy influence the budget process? How are alternative budget time frames used? What is the significance of the sales forecast (or revenue budget) to the overall operating budget? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives How is the purchases/production budget developed? What is the importance of cost behavior patterns in developing the operating expense budget? Why are a budgeted income statement and balance sheet prepared? How is the cash budget developed? McGraw-Hill/Irwin ©The McGraw-Hill Companies, Inc., 2002 Learning Objectives Why and how are standards useful in the planning and control process? How is the standard cost of a product developed? How are standard costs used in the cost accounting system? .
đang nạp các trang xem trước
