Premium
COST‐VOLUME‐PROFIT COMPLICATIONS USING A SIMPLIFIED FIRM
Author(s) -
Williams David J.,
Shreiber Chanoch
Publication year - 1983
Publication title -
journal of business finance and accounting
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.282
H-Index - 77
eISSN - 1468-5957
pISSN - 0306-686X
DOI - 10.1111/j.1468-5957.1983.tb00446.x
Subject(s) - cost–volume–profit analysis , profit (economics) , economics , microeconomics , volume (thermodynamics) , industrial organization , accounting information system , accounting , throughput accounting , financial accounting , physics , quantum mechanics
This paper assesses the problems of using a simplified firm of the typehggested by Sterling and Thomas (1979) to develop internal pricing and output levels generally and for cost‐volume‐profit calculations specifically. The particular choice of industry in this case makes more complicated the development of such internal accounting information. The paper specifies the unusual operating conditions that exist in this industry and the problems that these cause when deriving useful cost‐volume‐profit information for pricing and output decisions.