useful life

Q: Explain the following basic principles in cost management: a. profits b. life cycle costs c.…

A: basic principles in cost management explained Indirect costs Expenses which are  not readily…

Q: replacement cost historical cost net realizable value present value

A: Hey there the question is assumed to be as assets are valued under.

Q: Give detail definition on operational cost and explain in detail how the operational cost is…

A: Introduction:- The following definition of operational cost as follows under:- Operating costs are…

Q: Explain the following terms: practical capacity, cost of resources supplied, cost of resources used,…

A: Resource: It refers to a supply that can be used for producing the benefits or by making use of…

Q: the amount of relevant costs that would be saved

A: Relevant costs mean the variable costs that affect the decision making.

Q: Describe cost depletion and percentage depletion. Whyis the percentage depletion method permitted?

A: Depletion: Depletion is defined as the reduction in the value of natural resources due to its…

Q: Define continuing value

A: The question is based on the concept of valuation of firm. The continuing valuation method is also…

Q: Explain the difference between service cost and prior service cost.

A: Service cost: The present value of the investment made by the beneficiary and the employer in the…

Q: Based on the information in the screenshot for CASE I, what value should equipment be recorded at,…

A:

Q: Define the term contribution margin.

A: Contribution margin is defined as the term which determines the profitability of the individual…

Q: Net defined benefit asset results in Current service cost Interest expense Interest revenue

A: As per IAS 19 of IFRS mentions how the accounting should be done to employee benefit other than…

Q: Describe the following terms: (a) residual value, (b) guaranteed residual value, and (c) initial…

A: (a) Residual value: It is the projected ending value of an asset after its useful life or lease…

Q: Explain any one pros and cons of historical cost.

A: Historical cost is one of the four basic accounting principles. This method is used under Generally…

Q: Define estimated useful life

A: Definition: Assets: These are the resources owned and controlled by business and used to produce…

Q: The three factors in cost allocation of a depreciable asset are service life, allocation base, and…

A: Cost accounting system: Cost accounting system of an organization consists of procedures and…

Q: Explain the relationship between the costs of flexible and committed resources, usage of resources,…

A: Cost accounting system: Cost accounting system of an organization consists of procedures and…

Q: An

A: Property Plant and Equipment: It is the tangible asset used in the business to generate revenue. It…

Q: Define the term Current cost.

A: Cost: The amount paid to purchase the asset, install it, and put it into operations, is referred to…

Q: Explain in detail and give example Historical Cost Principle

A: The historical cost theorem (as well called the expense theory of accounting) notes that a company's…

Q: Distinguish between measuring assets based on current cost and historical cost.

A:

Q: How is life-cycle-cost analysis useful?

A: Life Cycle Costing (LCC) is a process of accounting which is used by the owner or management of an…

Q: Define Cost recovery method

A: Cost recovery is a method in accounting wherein a business only records the revenue it earns from a…

Q: The summation of all costs related to a product, structure, system, or service during its life span…

A: Hello, I am only answering first question as per the policy and if you want other to be answered…

Q: Differentiate between Appraised value and Assessed value?

A: Difference between appraised value and Assessed value:Appraisal value refers to that on a specific…

Q: Define historical costs.

A: Historical cost principle: This is an accounting principle which states that the actual cost paid in…

Q: effect of a change in useful life and residual value

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Explain how the accounting definition of an asset is related to the choice between absorption and…

A: Absorption costing:   Absorption costing is compulsory under Generally Accepted Accounting…

Q: Explain Historical Cost Principle in detail with example.

A: In bookkeeping, we may utilize four adequate estimation bases. These are the historical expense or…

Q: Define useful life

A: Depreciation is the systematic allocation of the depreciable amount of an asset over its useful…

Q: Explain Amortised cost and how to calculate it.

A: Amortized cost refers to the cost that helps to allocate the cost of financial/intangible assets…

Q: Describe the earned value management terms.

A: Introduction: The concept of earned value management  is an important tool both for the manager…

Q: How is conversion costs per equivalent unit calculated?

A: The cost per unit is calculated as total cost divided by number of units.

Q: Define Historical cost principle.

A:

Q: Represent the cost that will be affected by the decision being considered. Margin of Safety…

A: The relevant and irrelevant costs are important in decision making.

Q: When is depreciation a product cost? When is depreciation a period cost Please Explain both briefly

A: 1. Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of…

Q: The service life of an asset may be measured by all of the following, except a. Units of output b.…

A: The service life of an asset is the estimated useful life of an asset.

Q: Define the term conversion cost.

A: Conversion cost:  The cost of changing the materials into a finished product. It comprises direct…

Q: Explain the difference between value-added time and nonvalue- added time.

A: Value-added time:-  Value added time is the time spent that improves the outcome of a method. this…

Q: In Benefit/cost ratio analysis, if the salvage value is used to recover the first cost, it is being…

A: The benefit to cost ratio is the ratio of the total present value of the benefit to the present…

Q: Define Replacement cost.

A: Replacement cost is defined as the measure of cash required to change the current resource with a…