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There are two primary groups of users of financial statement analysis.
The first group are the internal users. Internal users of accounting information
are those involved in strategically managing and operating the company. They
include managers, officers
Capital stock is a general term that refers to any shares issued to obtain capital
(owner financing). The purpose of this learning objective is to review the
terminology that is used in connection with capital stock.
Authorized stock is the number of shar
Materials Purchasing: number of purchase orders
Materials handling: number of materials requisitions
Personnel processing: number of employees hired or laid of
Equipment depreciation: number of products produced or hours of use
Quality inspection: number
Let's now focus on classifying cost by behavior. At a basic level, a cost can be
classified as fixed, variable, or mixed. A fixed costdoes not change with changes
in the volume of activity within a range of activity, known as an activity's