absorption costingAlso known as full costing -- a costing method where inventory absorbs direct costs and variable and fixed factory overhead
big dataElectronically warehoused information, capable of being mined and analyzed, containing the “who, what, when, where, and why” of all business activity
contribution income statementAn internal report that identifies each segment's controllable elements; the contribution margin, controllable fixed costs, uncontrollable fixed costs, and segment margin
dashboardCustomized business software that delivers key real time business data in an easily monitored layout
direct method/allocating service costAn allocation process whereby service department costs are assigned directly to productive departments (compare to step method)
residual incomeAn internal assessment technique that adjusts income for a presumed cost of capital (or other threshold rate of return); operating income - (operating assets X cost of capital)
segmentA business unit for which separate financial information is evaluated by an operating decision maker who allocates resources and judges performance of the unit
step method/allocating service costAn allocation process whereby some service department costs may be assigned to other service departments as part of a sequential methodology
variable costingA costing method where inventory absorbs direct costs and variable factory overhead; the income statement identifies the contribution margin
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