Standard predetermined overhead rate is an overhead rate determined by dividing budgeted overhead costs by an expected standard activity index.
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- Manual accounting system
Manual accounting system is a system in which someone performs each of the steps in the accounting cycle by hand.
- Total overhead variance
Total overhead variance refers to the difference between actual overhead costs and overhead costs applied to work done.
- Operating expenses & net income
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- Capital leases
Capital lease is a contractual arrangement that transfers substantially all the benefits and risks of ownership to the lessee so that the lease is in effect a purchase of the property.
- CVP income statement
CVP income statement is a statement for internal use that classifies costs as fixed or variable and reports contribution margin in the body of the statement.
- Income summary
Income summary refers to a temporary account used in closing revenue and expense accounts. The resulting net income or net loss from this account will be transferred to owner’s capital.
- Earnings per share (EPS)
Earnings per share (EPS) is a convenient measure of earnings which indicates the net income earned by each share of outstanding common stock.