Flashcards
Chapter 16 Flash Cards
Flashcards do conjunto (20)
- 1appropriationv
- 2coefficient of determinationa measure of dispersion that indicates the goodness of fit of the actual observations to the least squares regression line; indicates what proportion of the total variation in y is explained by the regression model
- 3committed costsa cost related to either the long-term investment in plant and equipment of business or the organizational personnel who are deemed essential by top management; cannot be changed without long-run detriment to the organization.
- 4cost avoidencerefers to reductions that cause future spending to fall, but not below the level of current spending.
- 5Cost consciousnessa company-wide attitude about the topics of cost understanding, cost containment, cost avoidance, and cost reduction.
- 6Cost containmentthe practice of minimizing to the extent possible period-by-period increases in per unit variable and total fixed costs.
- 7cost control systema logical structure of formal and/or informal activities designed to analyze and evaluate how well expenditures are managed during a period.
- 8cost reductionthe practice of lowering current costs, especially those that may be in excess of what is necessary.
- 9discretionary costa cost that is periodically reviewed by a decision maker in a process of determining whether it continues to be in accord with ongoing policies.
- 10electronics data interchange EDIa system that allows for electronic data transmission between organizations; commonly used in the process of e-procurement.
- 11engineered costsa cost that has been found to bear an observable and known relationship to a quantifiable activity base.
- 12e-procurement systemsan electronic B2B buy-side application controlling the requisitioning, ordering, and payment functions for inputs.
- 13forward contractsan informal agreement traded through a broker-dealer network to buy and sell specified assets, typically currency, at a specified price at a certain future date.
- 14hedgingusing options and forward contracts to manage price risk
- 15optionsan agreement that gives the holder the right to purchase a given quantity of a specific item at a specific price.
- 16price elasticitya numerical measure of the relationship of supply or demand to price changes.
- 17randomthe concept that some portion of a cost is not predictable based on the cost driver the cost is stochastically rather than deterministically related to the cost driver.
- 18spend analysisis the process of collecting, cleansing, classifying and analyzing expenditure data with the purpose of decreasing procurement costs, improving efficiency, and monitoring compliance.
- 19uncertaintythe doubt or lack of precision in specifying future outcomes.
- 20working capitalthe amount remaining after total current liabilities are subtracted from total current assets; measures the amount of an organization's liquid assets; may also be referred to as not working capital.
Informações
- Descrição
- Cost Accounting Chapter 16
- Criado por
- Antonio Orange
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- 49
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