Purchases Of Businesses By Limited Companies ( Part 1)

(A) Basic Principles when a limited company takes over another business (1) It can satisfies the purchase consideration by giving cash, shares or debentures assuming the trade liabilities any combination of cash, shares/debentures/assuming trade liabilities (2)  the assets acquired are often different from the values shown in the vendor business’s book ( example : ten … Read more

Standard Costing-Labor Variance

TOTAL LABOR VARIANCE. ·    It is the difference between the standard labor cost for the actual production and the actual costs. ·    This variance consists of two part namely:  ( Wage RATE Variance )  And ( Labor EFFICIENCY Variance) Wage RATE Variance The result of paying an actual rate of labor at an ACTUAL price … Read more

What Is The Difference Between Budget And Budgetary Control?

A Budget · Is a predetermined statement of a company’s objectives during a period of time. ·The budget is like a plan which guides the managers who are responsible for achieving certain business objectives. ·The budget normally has an overall or master budget which is made up of sectional/subsidiary budgets prepared by the different sections … Read more