From the total cost, the subsidy is deducted to arrive at the net-cost of operating the canteen. After comparing in cinema halls composite cost unit is the net cost with the sales proceeds profit or loss is calculated. Power House Costing is concerned with the ascertainment of cost per unit of steam or electricity produced. […]
FIFO First In, First Out: What is it, Methods, & How Does It Work?
That results in a higher profit margin for your business, which is good for your investors and your business’s overall health. But a higher profit margin also means you’re likely to owe more in business taxes. Applying this method to the rest of the sales for the allotted time period, we see that the total […]
Intrinsic Value Learn How to Calculate Intrinsic Value of a Business
In the PV equation we take a future cash flow and divide it by 1 plus the discount rate, taken to the power of n (where n is the number of periods). Not every asset has cash flows, so not every asset has an intrinsic value. Because precious metals do not generate a stream of […]