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What is forecasting & Budget?
What is the difference between these two?
baskarsha
- May 20th, 2010
Forecosting is done based on the past experiences of the persons in the particular field and predict the cost involved for the particular action or for the data collected about the a project in the pa...
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Procedures of Elimination
If 2 companies are there, they have maintained separate chart of accounts, how can you consolidate their activities? What are the procedures of elimination during consolidation of financial statements?
mario27
- Dec 26th, 2010
If two companies accounts are separate and are now to be consolidated, we can follow the method of accounting of amalgamation by nature of merger or purchase.In case of the consolidated balance sheet ...
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What is accounting report
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kumardurgam- Member Since Feb-2006 | Oct 17th, 2008
Periodic statemets showing financial position of a firm/company for a specific period, resulted from its business tranasctions and operations
kashyap.brijmohan
- Apr 10th, 2009
Trading / Profit and Loss A/C and Balance Sheet are accounting report of a Company.
kumardurgam
- Oct 17th, 2008
Periodic statemets showing financial position of a firm/company for a specific period, resulted from its business tranasctions and operations
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What is Gross Profit Margin?
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kumardurgam- Member Since Feb-2006 | Oct 17th, 2008
Gross Profit Margin = Gross Profit/Sales or Revenue
Gross Profit = Sales or Revenue - Cost of Goods Soldkumardurgam
- Oct 17th, 2008
Gross Profit Margin = Gross Profit/Sales or RevenueGross Profit = Sales or Revenue - Cost of Goods Sold
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How to prepare funds flow statement?
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MohitJindal- Member Since May-2009 | May 1st, 2009
A fund flow statement or a cash flow statement records the changes in monetary funds over a period of time, usually by comparing the latest position at balance sheet date with the corresponding monetary position a year ago.
There are various elements of business that affect fund/cash flow. These include such things as increased sales, reductions or increases in debtors, longer or shorter times in paying creditors, repayments of loans, etc., a summary of which should be shown on separate lines of the statement. It can start with a section listing the elements that contribute to an increase in cash, then the next section lists those items which have contributed to a decrease in cash.
Space (and time!) does not permit more comprehensive details of what is needed and how to do it. You should consult a text book on Financial Accounting and look at the fund/cash flow statement of a company similar to the one for which you wish to prepare such a statement.
At the end of the fund/cash flow statement, if you have done all your calculations correctly, and taken everything that affects cash movement into account, your final figure will equal the cash figure in the balance sheet.MohitJindal
- May 1st, 2009
A fund flow statement or a cash flow statement records the changes in monetary funds over a period of time, usually by comparing the latest position at balance sheet date with the corresponding moneta...
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Explain Variance Analysis with Example?
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jaimyjobish- Member Since Apr-2010 | Apr 16th, 2010
Variance analysis in budgeting or management accounting in general is a tool of budgetary control by evluation of performance by means of variance between budgeted amount, planned amount or standard amt and the actual amt incurred/sold.
Variance can be carried out for both revenue & cost. Variance analysis hepls the management to know the present cost & then control the future cost.
Examples includes sale price variance, sales quantity variance, sales mix variance.
praveenpotturi
- Aug 20th, 2010
Its is the analysis done on Actual Vs Plan or Forecast.This analysis can be done in terms of how plan is done and how actuals have arrived.
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Compliance Procedures
What procedures are in place to ensure that a sponsored project is carried out in compliance with the terms, conditions and financial management and reporting requirements of both the municipality and provincial treasury
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What is difference between forecast and budget
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praveenpotturi- Member Since Aug-2010 | Aug 20th, 2010
A Budget is a plan that outlines an organization's financial and operational goals. So a budget may be thought of as an action plan; planning a budget helps a business allocate resources, evaluate performance, and formulate plans.
Forecast: Due to some operational reasons or managment decision plan maynot be followed as it was done in the begining of the year. So this is changed accordingly to comply with the organisations objects. This change in plan is called forecast.sowmya
- Oct 29th, 2011
Budget means planning future based on past, it is short period i.e., one year
Forecasting means estimating future for making planning,generally it is long period.praveenpotturi
- Aug 20th, 2010
A Budget is a plan that outlines an organization's financial and operational goals. So a budget may be thought of as an action plan; planning a budget helps a business allocate resources, evaluate...
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What is Budgeting?
How does it help to management in taking the decisions?
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kothari625101- Member Since Jul-2009 | Jul 25th, 2009
It is forecasting of expenses/income of company which can made by our past records or by some assumption.
sowmya
- Oct 29th, 2011
It is nothing but estimating future based on past
paresh
- Oct 19th, 2011
Decision depends on the budget.
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What is the difference between cash basis and accrual basis Balance Sheet?
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VISWANATHA- Member Since May-2009 | May 2nd, 2009
Under cash system of accounting, transactions are recorded in books on the basis of their actual payment or receipt made.
Under the accrual basis of accounting, the transaction are record on their occurrence in the business regardless of actual payment or receipt is made, and recognizes the assets and liabilities accordingly. provisions are made for all known losses and obligations are recorded for the period to which it relates to in the books.Sowmya
- Oct 29th, 2011
Cash basis transaction is recorded when the cash moves from hand to hand, Ex:Rs.200.00 stationery purchased and paid. Accrual basis means transaction is recorded with out flow of funds from our hand, Ex:Raw material purchased on credit basis, all payables are comes under accrual basis.
SAMISR KUMAR
- Jul 12th, 2011
In the cash basis account transaction are recorded only cash in flow or outflow (cash paid or received ). but in the accrual basis we consider as a actual paid or received in this case we consider rent due,outstanding rent, outstanding salary, prepaid rent, etc considered.
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How do you book a letter of credit in your books?
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vijay.rathinavel- Member Since Mar-2010 | Mar 10th, 2010
The Money Behind a Letter of Credit.
A bank promises to pay on behalf of a customer, but where does the money come from? The bank will only issue a letter of credit if they know the buyer will pay. Some buyers have to deposit (or already have) enough money to cover the letter of credit, and some customers use a line of credit with the bank. Sellers must trust that the bank issuing the letter of credit is legitimate.Sandeep Sahu
- Nov 10th, 2011
A letters of credit is a contingent liability of a particular bank and a contingent liability is shown as foot note of the balance sheet
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MIS reports
required MIS reports for business feasibility study - (format with total revenue and expense )
amrutkar1
- Jan 3rd, 2012
A management information system (MIS), Prepare monthly Profit and loss account, analysis of material consumption and other major expenses, asset acquisition
Thanks
Amrutkarnkamuni_mca
- Mar 10th, 2010
A management information system (MIS) is a subset of the overall internal controls of a business covering the application of people, documents, technologies, and procedures by management accountants to solve business problems such as costing a product, service or a business-wide strategy.
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Finalization of accounts
How to do finalization of accounts,any one example?
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What is Asset Accounting
What is Asset Accounting
* what is depreciation register
* how can we maintain depreciation register
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What is committed cost?
Bharat Chander
- Aug 4th, 2014
Committed cost is sunk cost which has been already incurred in past and which has to be incurred by entity for future obligations. This cost is not relevant for any decision making in short run.
Lakshmikanth Dandu
- Jan 27th, 2011
Committed cost is also know as sunk cost, it is cost which has already been incurred in the past. It is not relevant for decision making and is caused by complete abandonment as against temporary shut down. This should be constrasted with discretionary costs, which are avoidable costs.
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Contingent Liability
Why are contingent liabilities ever recorded—why not just wait until a lawsuit is settled? What accounting concepts apply to this situation?
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nkamuni_mca- Member Since Dec-2007 | Mar 10th, 2010
Contingent Liability is the liability which may / may not occour in future... So, it is shown as notes rather then in balance sheet... Once, the liability become's real then it will recorded in books.
GIRISH GARG
- Sep 1st, 2014
Contingent liability is a liability that may or may not occur in future. It depends upon an event that will occur in future and can make a company liable to it. Example. when 2 cos A and B are in disp...
chandu
- Mar 28th, 2012
Contingent liability nothing but liability it will occur uncertain future events like product warranty.
Accounting Reports
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