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________ Focuses on Observing and Analysing Activities as a Basis

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________ focuses on observing and analysing activities as a basis for making a range of decisions,including pricing outputs,deciding on output mix,how to reduce costs,how to improve processes,product design,profitability and customer satisfaction.

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Definitions:

Goods Sold

The total of merchandise that a company has sold to its customers within a specific period; often referred to as 'sales'.

Perpetual Inventory System

An inventory accounting system that records goods transactions in real-time.

FOB Shipping Point

A shipping term indicating that the buyer assumes responsibility for the goods and the associated costs once the goods leave the seller's premises.

Ending Inventory

Ending inventory is the total value of all inventory, including raw materials, work-in-progress, and finished goods, that a company has at the end of an accounting period.

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