What are the advantages and disadvantages of using Common Stock Financing from the viewpoint of the Corporation

Tweet The advantages of using stock financing are: Common stock does not obligate the firm to make fixed payments to stockholders Carries no fixed maturity date Increases the creditworthiness of the firm thus increasing the future availability of debt at a lower cost Can often be sold more easily than debt if the firm’s prospects […]

In Personnel Management,do you think that labour turnover has any advantages to an organization? List a few potential advantages

Tweet Potential advantages on  labour turnover in an organization might include the following: Opportunities for an organization to inject “ NEW BLOOD ” . New people brings new ideas and outlook, new skills and experience in different situation. ABSENCE of  this might create an increasingly AGED workforce; Creation of opportunities for PROMOTION AND SUCCESSION. Absence […]

In Personnel Management, explain what is 360-degree feedback and give the advantages and any pitfalls of this type of feedback?

Tweet 360-degree feedback: Also known as “multi-rater instruments” and “multi-source assessment” Unlike traditional basis where it recognizes that the employee’s immediate boss is not the only or necessarily the best person to assess his or her performance. Designed to enable all the stake-holders in a person’s performance to comment and give feedback which includes the […]

What are the advantages and disadvantages of using the Periodic Review Inventory control system

Tweet Append below a table to show the advantages and disadvantages on using the Periodic Review Inventory Control system:   ADVANTAGES of Periodic Review Control System: DISADVANTAGES of Periodic Review Control System: 1 All stock items are reviewed periodically so that there is likely to be less obsolete stocks 1 In general larger stocks are […]

What are the advantages and disadvantages of using the Re-order Level Inventory control system

Tweet The following tabulates the advantages and disadvantages of using the Reorder level inventory control system:   ADVANTAGES of Reorder Level Inventory Control DISADVANTAGES of Reorder Level Inventory Control 1 Lower stocks on average 1 Many items may reached re-order level at the same time, thus overloading the re-ordering systems 2 Under reorder level inventory […]

What are the advantages of preparing a Debtors’ Ledger Control Account

Tweet Tabulated below are some of the advantages of preparing a Debtors’ ledger control account: Debtors’ ledger control account provides the total of debtors quickly and easily when a trial balance is prepared It acts as an independent check on the arithmetical accuracy of the balances in the Debtors’ ledger It will confirm whether  or […]

Learn what are some of the advantages or benefits derived from using Single Entry System

Tweet Many consider the disadvantages of having single entry system of accounting, below are some practical points on the merits/benefits of having such “incomplete” system:- Simple to maintain even without any bookkeeping/accounting knowledge Flexible as it can be maintain based on the individual needs or requirements of the owner of the business Economical as it […]

What Are the Usual Features, Advantages or Benefits And Examples Of Management Reports Obtained From A Computerized Accounting System.

Tweet Question:I just joined a small company where it is in the midst of acquiring a computerized accounting system. May I know:- (a)  What are the usual features that are available in such system (b)  Advantages of a computerized accounting system (c ) Give examples of some management reports which are automatically generated. Answer:(a)     Some […]

What Are The Advantages Or Benefits Of Having An Internal Audit Department?

Tweet The contemporary trend is to outsource the internal audit department. However, there are many benefits which we have to consider accruing from having an internal audit department. Major advantages Having An Internal Audit Department It dispenses the need to employ external consultants to act as internal auditors hence saving large sum of money. This […]

Advantages Of VAT Registration

Tweet Note that the registration of VAT is compulsory if turnover of a business is over the threshold. However, in situation where a business’s turnover has not reached the VAT’s threshold, there are some advantages to register for VAT.    Following Advantages to apply for VAT voluntarily even when the turnover threshold for VAT has […]