W9

Monash University

ACC1200

WEEK 12: Capital Investment Features of Capital Investments - Large amounts of resources required - Risk and uncertainty present, decisions relate to future - Long term commitment - Involve large cash outlays up front, returns received slowly (i

Monash University

ACC1200

WEEK 11: Analysis of Financial Statements Liquidity Capital Structure Current Ratio - Measures the $ of current assets the entity has per $ of current liabilities. - E.g. 2:1 indicates that the business has $2 of current assets to cover every $

Monash University

ACC1200

WEEK 10: Costing and Pricing Cost Objects The focus of costing - E.g. Products, customers, services, departments, business units, geographic regions Cost Drivers Represents an activity that explains the cost object’s use of the indirect c

Monash University

ACC1200

WEEK 9: Cost-Volume-Profit Analysis CPV Analysis Involves estimating costs and volumes of sales to determine the effect on profit - It is used by internal users to forecast ‘break-even’ point and levels of sales needed to achieve tar

Monash University

ACC1200

WEEK 8: Budgets Budgets Budgets are plans, expressed in monetary terms, for a future period. They serve as a control mechanism to monitor actual results and investigate differences that arise between actual and budget - Actual results are compar