What do you understand by Flexible Budget ? How does it differ from a Fixed Budget ? Explain its utility to a business organisation.

Flexible Budget: A flexible budget is a budget that adjusts or flexes for changes in the volume of activity. The flexible budget is more sophisticated and useful than astatic budget, which remains at one amount regardless of the volume of activity.Assume that a manufacturer determines that its cost...

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Imputed Costs vs Opportunity Costs.

Opportunity cost is a cost associated with a decision that includes both the explicit and implicit(or imputed) costs. The unique aspect of opportunity cost is that it also includes costs associated with making an alternate decision. The costs associated with an alternative are called implicit costs. The accounting...

By: Unknown On 08:14

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