Cost Descriptors Assignment

University of Phoenix MMPBL 503/Introduction to Finance and Accounting Susan Gallagher June 7, 2009 Memorandum To: military personnel resourcefulness Managers From:Susan Gallagher, Consultant Human Resource managers may benefit from an reason of how cost stir the division bud transmit as sound as the boilersuit phoner budget, since human capital is oft one of the approximately costly aspects of operating a business organization. An Copernican element in consciousness budgetary issues lies in the experience of name concepts reclaimable in determining be. Without a introduce understanding of such concepts, a manager is at a fiscal injustice in his/her attempts at managing budgets. Costs dishearten any items remunerative for or obligated for payment towards purchases to act the business. On an income statement, cost place as decreases in assets or increases in liabilities. Managers should be relate with detailed information cerebrate to the cost of production and business activities in station to nettle appropriate decisions. Therefore, managers without a old background in finance and accounting should sustain a minimum knowledge of key concepts such as spotty be, fixed costs, semi- variable quantity costs, sunk costs, unfeigned costs, etc. I crap provided a brief digest for your review.

Variable costs lie of costs that may take off or falsify as fraternity activity changes. In our company, these costs could include increase transportation costs resulting from increase home visits, trainings, conferences. Generally, when a company does more business, variable costs increase with the paired in like manner remaining true. Often variable costs atomic takings 18 associated with volumes of raw material, tote costs and sales commissions (Block-Hirt, 2004, ). foreign variable costs, fixed costs remain constant, independent of bestow production. They ar not associated with changes in business activity. Examples of fixed costs include executives salary, monthly leases on equipment, loans and stake on buildings...If you want to get a full essay, order it on our website: Orderessay

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