Performance Measures And Service Costing Flashcards
1
Q
What are the characteristics of services
A
Intangibility
Simultaneity
Perishability
Heterogeneity
2
Q
Profit margin formula
A
Operating profit / sales x 100%
3
Q
Gross profit margin formula
A
Good profit / sales X 100%
4
Q
ROCE formula
A
Profit / capital employed X 100
Or
Asset turnover x net profit margin
Asset turn over = sales / capital employed
5
Q
What are the value for money measures
A
- Economy
- Efficiency
- Effectiveness
6
Q
What is a balanced scorecard?
A
A way of measuring performance which integrates traditional financial measures with operational, customer and staff issues.
7
Q
What are the 4 principle accounts?
A
Resource accounts
Accounts recording costing of production items
Sales account
Statement of profit or loss
8
Q
Purchase material accounting entries
A
D
