Question

How can managers make higher-quality decisions? Give an example of decision made by one company and discuss how the mangers will make high quality decision?

Subject Cost Accounting

Answer 1

Answer:

Cost accounting implies a piece of accounting which oversees Costing reason for the thing. Cost accounting deals with the piece of costing and study the things to increase benefits either by regard building or thing structuring.

An instance of Decision - as far as possible is always limited to 100% and can't break that stamp. So how to construct profits by the present measurement as the Shareholders require consistent improvement. The boss may go for Cost decline by regard structuring.

The chiefs can request the costing bunch from the association to give nuances of various parts of costing like Labor cost , material cost and overheads. The association can check for any extra technique or cost which isn't benefitting in any way or basically including the cost.This ought to be conceivable just with the help of cost accounting

A thing uses a one kilogram of unrefined material which costs rs 100 for every kg and getting ready expense with usage of this rough material is Rs.50 per unit.

Then again, another rough material which costs Rs.80 per kg and per unit essential of unrefined material is 1.2 kg and getting ready expense with this rough material is Rs 45 for every unit. All of these nuances can be procured by Cost accounting which is particularly helpful for doing Value Engineering.

Another instance of cost accounting which can empower directors to take decision like Packing material used isn't required or extending the collaborations cost. The general impact of closure a pushing on the general profitability must be evaluated with help of Cost Accounting.