Costing-System Refinements Require More Data Gathering and More Analysis,and Improvements

question 63

True/False

Costing-system refinements require more data gathering and more analysis,and improvements in information technology have drastically reduced the costs to gather,validate,store,and analyze vast quantities of data.

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Definitions:

Net Income

Net income is the total profit of a company after all expenses, taxes, and costs have been subtracted from total revenues.

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.

Gross Profit Percentage

A financial ratio that expresses the gross profit as a percentage of sales revenue, indicating the efficiency of production and cost management.

Cost of Goods Sold

Costs directly related to the creation of a company's sold products, involving expenses for materials and workforce.