Category: Marketing and Finance

  • Standard Costing

    Standard Costing Lesson Exercise Answer Perhaps no accounting principle utilizes performance management concepts better than standard costing. One of the elements of cost accounting, standard costing is of particular benefit to those companies engaged in manufacturing. Each type of standard has its strengths and weaknesses, but regular monitoring and making revisions based upon current conditions…

  • Profit and Loss Statement

    The Profit and Loss statement is one of the main business financial statements. Among the various financial statements, a Profit and Loss statement most closely resembles what is referred to as

  • Marketing in a Credit Credit Crunch

    A stalled economy threatens the viability of many small businesses. Some have experienced decreases in revenues that they cannot sustain. Slower sales have prompted some to institute personnel layoffs others are prone to cut advertising. But, a hasty decision could be a mistake. After all, the reason for advertising is to keep a consistent message…

  • Marketing Budget

    Marketing budgets ensure that your marketing plan or campaign is realistically costed. Some pre-budget research into your industry and market, your competitors and your business’s historical marketing metrics helps marketing managers make a more informed calculation. You should cost out all general marketing and marketing communications expenses. You could also work in conjunction with an…

  • Marketing and Finance

    It may not be readily apparent to you how financial statements are relevant from a marketing perspective. You may ask – What can these financial statements tell me about my Marketing Plan? First, let me outline each briefly and then elaborate on why they will be so important to you and your future success.

  • Financial Ratios

    Lender and investors are able to glean a lot of valuable information from the data available in a company’s’ financial statements and records. Their priority is insuring that they are repaid for any loan or financial investment.

  • Contribution Analysis

    Contribution Analysis Lesson Exercise Answer Occasionally a company is confronted with unplanned events which call for the use of decision-making tools beyond those found in the basic accounting methods. Price – Variable Costs Per Unit = Contribution Margin Per Unit On an individual special order project a company’s product contribution to profit may also be…

  • Cash Flow Statement

    The main purpose of a Cash Flow Statement (CFS) is to help the business owner plan and control the flow of income in order to meet scheduled financial obligations. The information illustrated in the Cash Flow Statement also aids lenders and investors in determining a company’s financial health.

  • Annual Reports for Marketers

    An Annual Report is a statement prepared by companies that are traded publicly. The development of an Annual Report provides inherent value in the process of reviewing major financial and operational achievements that occurred during the past 12 months.

  • Annual Accounts

    Annual Accounts Lesson Exercise Answer Although the standard components of a basic annual report such as balance sheet, profit and loss statements and cash flow statements provide key financial information of interest to shareholders and others, there are occasions when more thorough information is desired. Some larger companys have subsidiaries, participate in joint ventures and…