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Thursday, November 28, 2013

ACCOUNTING FOR DECISION MAKING: TYPE OF COST INVOLVED IN TAMIN'S FRIED CHICKEN COMPANY

LEARNING ISSUES 1. What are the courts that are motivationd in Tamins pipeline trading operations? 2. What is Fixed Expenses? 3. What is Varicapable Expenses? 4. What is Semi-variable cost? 5. What is Break-even volume? 6. why is it important for us to identify Break-even volume? 7. What is Avoidable cost? 8. How to calculate breakeven? 9. What is prospect cost? 10. What type of cost that involve in conclusiveness making? 11. What is CVP? 12. What is unit contribution? INTRODUCTION         Tamin has true a new recipe for chicken and plans to open a eatery called Delicious Chicken in Serdang City. Tamin is certain that at that smear is demand for his fried chickens but is unsure of the volume necessary to re bulk large all his costs. Just like any early(a) businesspeople, Tamin would unavoidableness to know when the break-even allow for be achieved or whether if it is practical to be achieved. If the revenues generated by his business is not even complete to cover all his costs, there is no point in start the business in the first place.         In do to turn out his business operations, more capital is needed. In this case, it is say that Tamins father-in-law has concur to invest in his business with the condition that Tamin is able to convince him that profits allow be at to the lowest story 20% of sales revenue.
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Knowing that his father-in-law will be a more feasible source of financing his business compared to financial institutions, Tamin would now need to know the amount of sales that will generate the minimum profi ts to convince his father-in-law.   !       Tamin is also considering in renting a smaller-sized restaurant to save yearly morose expenses. If he does chose a smaller-sized restaurant, the break-even volume that he needs to take up forth to cover all his costs might be different. The rising... If you want to get a full essay, order it on our website: OrderCustomPaper.com

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