Accounting Hub

A rights issue provides a way of raising new share capital by means of an offer to existing shareholders, inviting them to subscribe cash ...

Temporary working capital (TWC) is the temporary fluctuation of net working capital over and above the permanent working capital .

Sourcing finance may be done for a variety of reasons. Traditional areas of need may be for capital asset acquirement - new machinery or...

Financial management is concerned with the maintenance and creation of economic value or wealth/responsibilities and activities of financi...

Budgets are usually used to evaluate performance after the fact, using a process known as variance analysis. Since some costs are var...

Budgeted balance sheet - a statement of budgeted financial position. The ending balance in a given account equals the beginning bal...

The budgeted income statement is easily generated using information from the previous budgets. To complete the computation of net in...

A realistic budget will motivate action. This may be true, but what is important is that the budgetary control system keeps the organisatio...

The marketing and administrative costs budgeting objective is to estimate the amount of marketing and administrative costs required to: ...

Computation requires estimates of beginning and ending levels of work-in-process and finished goods inventories. If WIP levels are assumed...