MAFundamentals defines the foundation of Management Accounting from cost concept, classification and analysis. It provides general discussion on COST, VOLUME, PROFIT, VARIANCE and other information necessary for performance measurement, decision making and pricing.

Growth Ratios

One method of Financial Ratio Analysis, Cost Growth Ratios measurethe change in the economic status of a firm over a period of time


  1. Basic Earnings per Share (BEPS)
    FORMULASIGNIFICANCE
    Income Available to Common Stockholders

    Average Common Shares Outstanding
    Reflect the company's earning power (i.e. its ability to generaqte income from normal operations).

Cost Management Ratios

One method of Financial Ratio Analysis, Cost Management Ratios measures how well is the control of the company's cost.


  1. Gross Profit Rate (or Gross Profit Percentage)
    FORMULASIGNIFICANCE
    Net Sales - Cost of Sales

    Net Sales
    Measures how much can be spent for marketing, R&D, and administrrative costs while still reaching target income.