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Terms in this set (432)


inventory control system that divides the inventory
ABC analysis into three classes: A, B, and C, depending on the value
and importance of the item

allows asset own to take greater amounts of
accelerated depreciation
depreciation during early years of asset's life, defers
method
some of the taxes until later years

acceptable quality level quality standard that allows for a prespecified number
(AQL) of defects

acceptance an assent to an offer in accordance with its terms

variability in the firm's reported values for NI and net
accounting exposure
worth that results from changes in exchange rates

capital-budgeting criterion that relates the returns
generated by the project, as measured by average
accounting rate of return accounting profits AFTER tax, to avg dollar size of the
investment required; AKA simple ROR or unadjusted
ROR

accounts receivable annual credit sales/ avg A/R
turnover

, (CA-inv)/CL. more stringent measure of liquidity than
acid test ratio
current ratio. AKA quick ratio

system that accumulates costs on the basis of
activity-based costing
production or service activities at a firm. Assigns costs
(ABC)
by activity and links them to specific products

system-wide, integrated approach that focuses
mgmt's attn on activities with the objectives of
Activity-based
improving customer value and the profit achieved by
management (ABM)
providing this value. ABC is major source of info for
this

any paid form of non personal communication
advertising designed to gain acceptance of the advertiser's
message

carried on as an aid or support function to the
advertising research
advertising manager

the net cash flow (cash rev- cash exp) after taxes have
after-tax cash flow
been subtracted. CF generated from operations

consensual arrangement between 2 persons whereby
agency relationship one agrees to act for the benefit of and under control
of the other person

aggregate production establishment of aggregate production and inventory
planning levels over a medium range time horizon

method of exchange-rate quotation that gives the
american terms
value of a foreign currency in USD

loan that's paid off in periodic equal installments and
amortized loan includes varying portions of principal and interest
during its term
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