Financial control methods
An
engineering company will normally make use of a number of different control
methods to ensure that its operation is profitable. These control methods
include making forecasts of overall profitability, determining the contribution
made by each individual activity towards overheads and fixed costs, and
performing 'what-if' analysis to determine the effects of variations in cost
and selling price. We shall start by describing the most simple method,
break-even analysis.
No comments:
Post a Comment