The first minute of the video helped me significantly - I always wondered how the difference between variable costing and absorption costing would look in an accounting perspective, and this made it as clear as day. Much appreciated.
The tone you speak, the clear voice makes me much confident of the content you teach. thank you very much for your valuable work and appreciate it very much. I have watched so many videos with same content but nothing made me sense than this. I subscribed your channel.
genuine question: do people really enjoy this stuff? if so, how? I need to understand and emulate the mindset otherwise I'm gonna blow my brains out this semester
in my opinion, what's makes me more enjoying this stuff is because it can elevate my career. I saw Starbucks with a different POV and it might help your business/job too man and that's the art of accounting
Personally I don't really enjoy learning the actual rules etc, but I find looking through accounts to work out how well a business is doing at least mildly interesting. It's worth saying that this guy makes this process as about as least painful and actually clear as it can be
You sort of sound like John C. Reilly...so I'm just pretending wreck-it Ralph is teaching me accounting. It helps. Seriously, though, your videos have helped me more than I can express. Thanks for doing what you do!
Funny. I have gotten this John C. Reilly comment a few times. We are both from Chicago, so it must be the accent. Thanks for your kind words, and best of luck with your studies!
All of these videos are so helpful and teach me days worth of lecture materials in such little time. I understand it so much better and easier too. Thank you so much for providing this, I just discovered your channel yesterday and it’s already made such a positive impact for me
studying for CPA and this helped so much! havent done managerial accounting since college and this was a perfect concise explanation. was struggling to understand differences between both methods but this helps understand better! will have to use your other videos to aid my CPA studying
Watching your videos from the UK after you helped me so much with financial performance when I had to re-sit it. Now re-watching to help me pass my final exam which is a bit of everything! I forgot how good these are :) Thank you so much!
You explained this much better than my teacher, my teacher argues with people when they have a question and it's as if when he's going through it again he doesn't even know what he's talking about he takes like 10 second pauses.. Smh I expect more for paying £9,000 a year
Thanks, my exam was yesterday and I'm happy that I felt confident in answering absorption costing method questions! But I have most probably failed as I had no idea about balance sheets. Guess I'll be re-sitting this one :/
Hello! I also have my lecture videos for Variable Costing. Hopefully I can help you too! See link: Management Advisory Services Discussions ruclips.net/p/PL-2o1HBAK0k60uT16flBEZEU8AI-hUNWI
Question, in the previous video you referred to Gross margin as sales - COGS, now you refer to Net income as sales - COGS. Is Gross margin the same as Net income? thank you in advance and great video!
Gross margin is different than net income. Gross margin is sales less COGS (as you stated above). When calculating net income, you would also subtract out Selling, General, and Administrative Expenses and other misc expenses. In this example, at 4:42 I stated that we were going to ignore SG&A just to make things simpler. If you'd like to review how net income is calculated, please see this video: ruclips.net/video/-__bUSEls5Y/видео.html Thanks for the question!
A period cost is a cost that is expensed when occurred (in contrast to a product cost, which is expensed when the inventory is sold through Cost of Goods Sold). SG&A stands for "Selling, General, and Administrative" expense; SG&A is a period cost
Dear Friends, I have a question: 1/ In the absorption costing system, I think the difference between Absorbed cost and full costing. Absored cost = direct material + direct labor + variable overhead manufacturing + fixed overhead manufacturing for a product or a brand or a product line. full cost= Absored cost + all corporate-related expenses for all product or all brand or all product line. Could you help?. Thank you.
Hello. The difference of absorption and variable costing is how they treat the ‘fixed overhead’. In absorption costing it is a product cost but in variable costing FxOH is considered as period cost. I have RUclips lecture videos on this topic. See link: Management Advisory Services Discussions ruclips.net/p/PL-2o1HBAK0k60uT16flBEZEU8AI-hUNWI
Hi, great video about costing methods mate!!! By the way, i would like to ask you some question. In situation when units produced > units sold, would you recommend absorption or variable-costing for evaluating management performance? And how if units produced < units sold. Thank you very much. hope u can reply asap.
Dear Friends, I have a question: I want to setup Absorption costing of a product in year 2020. Next, I want to compare actual costing and Absorption costing in this product by month, year. How do I setup?.
COGS = beg inventory + production - end inventory, what is happening to the other 10 balloons, shouldnt they be included in the in Q2 COGS since we didnt sell them?
These videos are literally the only reason I passed my managerial accounting course. Thank you!!
Anita Chitnis Congratulations on passing your course!
Dead accurate. If only we could get a degree from passing a test related to these videos for free. :D
8 years later, they are the reason why I my management accounting marks increased drastically 🔥👏.
The first minute of the video helped me significantly - I always wondered how the difference between variable costing and absorption costing would look in an accounting perspective, and this made it as clear as day.
Much appreciated.
Your videos are still relevant nearly a decade later 🙂 Thank you!
No problem! I'm glad you found the videos useful!
Far superior to my professor.
Thank you!
+Keston Luke I second that!
The tone you speak, the clear voice makes me much confident of the content you teach. thank you very much for your valuable work and appreciate it very much. I have watched so many videos with same content but nothing made me sense than this. I subscribed your channel.
Thank you for such kind words. I put a lot of effort into creating the videos so it makes me very happy to hear that you are enjoying the content!
Thanks for posting this video. Please keep up the good work and know that you are helping lots of people understand these topics.
Thank you for the kind words!
genuine question: do people really enjoy this stuff? if so, how? I need to understand and emulate the mindset otherwise I'm gonna blow my brains out this semester
in my opinion, what's makes me more enjoying this stuff is because it can elevate my career. I saw Starbucks with a different POV and it might help your business/job too man and that's the art of accounting
Lol! Some people were created to absorb and understand this module.....other it's just to get an idea and move forward
This helps the world go round.
Personally I don't really enjoy learning the actual rules etc, but I find looking through accounts to work out how well a business is doing at least mildly interesting. It's worth saying that this guy makes this process as about as least painful and actually clear as it can be
This question/statement will last forever LOL. I'm feeling the pain right now
You sort of sound like John C. Reilly...so I'm just pretending wreck-it Ralph is teaching me accounting. It helps. Seriously, though, your videos have helped me more than I can express. Thanks for doing what you do!
Funny. I have gotten this John C. Reilly comment a few times. We are both from Chicago, so it must be the accent. Thanks for your kind words, and best of luck with your studies!
Its so True😂😂😂😂😊
All of these videos are so helpful and teach me days worth of lecture materials in such little time. I understand it so much better and easier too. Thank you so much for providing this, I just discovered your channel yesterday and it’s already made such a positive impact for me
Thank you for these videos. They are simple and clear, it's way better than reading through my text book!!!
studying for CPA and this helped so much! havent done managerial accounting since college and this was a perfect concise explanation. was struggling to understand differences between both methods but this helps understand better! will have to use your other videos to aid my CPA studying
Glad it was helpful!
Watching your videos from the UK after you helped me so much with financial performance when I had to re-sit it. Now re-watching to help me pass my final exam which is a bit of everything! I forgot how good these are :) Thank you so much!
You explained this much better than my teacher, my teacher argues with people when they have a question and it's as if when he's going through it again he doesn't even know what he's talking about he takes like 10 second pauses.. Smh I expect more for paying £9,000 a year
You made me smile with this one. Best of luck to you!
Thanks, my exam was yesterday and I'm happy that I felt confident in answering absorption costing method questions! But I have most probably failed as I had no idea about balance sheets. Guess I'll be re-sitting this one :/
Same situation, I know how you feel!
These Videos are the only reason why i am passing my accounting class.
God bless you, these videos are very helpful
I hate accounting
it sucks..
Raudel Gonzalez Accounting is awesome
indeed.
Raudel Gonzalez lmao thats funny as im watching the video this is the first comment i see!!
LOL
Superb explanation, concise and clear!
Thanks!
thanks from egypt, this helped me alot!
Thank you! I'm very grateful for these videos.
You guys are a great help! Thanks for helping me understand. Greetings from Holland.
no problem!
You are a life saver ❤️❤️ thank you ❤️❤️
I wish I cud have, you as my professor.Thank you so much
+Guru Prasad Thank you for the kind words!
@@Edspira I wish that too 😍 you are the best, really thank you 💟
i hope you can open the subtitles. + these videos r helping me a lot! thanks
Hello! I also have my lecture videos for Variable Costing. Hopefully I can help you too! See link: Management Advisory Services Discussions
ruclips.net/p/PL-2o1HBAK0k60uT16flBEZEU8AI-hUNWI
Thank u for your help me. from today I have more information about absorption costing and variable costing.
How did you get 43,000 Q1 and 40,000 Q2 for absorption costing? Shouldn't you add DM, DL, VOH and FOH, for this?
you have to divide the FOH/period on the units produced before you add it to DM, DL, VOH
@@jscca3536 This
Great explaination
Awesome video. Thanks!
No problem. Thanks Scott!
is variable costing the same as marginal costing?
REALLY HELPFUL!
Thank you very much!
Question, in the previous video you referred to Gross margin as sales - COGS, now you refer to Net income as sales - COGS. Is Gross margin the same as Net income? thank you in advance and great video!
Gross margin is different than net income. Gross margin is sales less COGS (as you stated above). When calculating net income, you would also subtract out Selling, General, and Administrative Expenses and other misc expenses. In this example, at 4:42 I stated that we were going to ignore SG&A just to make things simpler. If you'd like to review how net income is calculated, please see this video: ruclips.net/video/-__bUSEls5Y/видео.html
Thanks for the question!
Great video...
Thank you!
Usufull,, thanks from Bahrain ;)
+Sayed Mohd Thank you!
Anyone notice how these balloons are selling for $80,000 each?? I'm in the wrong business..
thanks for your great explanation :D
you sound like prof. Charles Mathews
I'm currently working on my PhD, and teach as an adjunct lecturer. I'm glad you enjoyed the video!
Good luck with your PhD, i know you will be a great professor :DD
I learned how little i learned all semester real quick
thank you
I did not do accounting at school and my assignments are keeling me. no clue at all
Please You keep mentioning SGNA or period cost. Please can you share the link to that tutorial video if you have?
ruclips.net/video/5RcNPp1_stU/видео.html
A period cost is a cost that is expensed when occurred (in contrast to a product cost, which is expensed when the inventory is sold through Cost of Goods Sold). SG&A stands for "Selling, General, and Administrative" expense; SG&A is a period cost
Is the variable costing the same as the direct costing?
Too much thanks
thank youu
Thank you! :)
Dear Friends, I have a question:
1/ In the absorption costing system, I think the difference between Absorbed cost and full costing. Absored cost = direct material + direct labor + variable overhead manufacturing + fixed overhead manufacturing for a product or a brand or a product line. full cost= Absored cost + all corporate-related expenses for all product or all brand or all product line. Could you help?. Thank you.
Hello. The difference of absorption and variable costing is how they treat the ‘fixed overhead’.
In absorption costing it is a product cost but in variable costing FxOH is considered as period cost.
I have RUclips lecture videos on this topic. See link: Management Advisory Services Discussions
ruclips.net/p/PL-2o1HBAK0k60uT16flBEZEU8AI-hUNWI
Hi, great video about costing methods mate!!! By the way, i would like to ask you some question.
In situation when units produced > units sold, would you recommend absorption or variable-costing for evaluating management performance? And how if units produced < units sold. Thank you very much. hope u can reply asap.
How did we get the $40000 for Q2 in absorption costing , someone explain pls
I'm doing great in this class!
When he says variable costing , he is referring to marginal costing ?
Yes
this guy is the best lol
😀
Dear Friends,
I have a question:
I want to setup Absorption costing of a product in year 2020. Next, I want to compare actual costing and Absorption costing in this product by month, year. How do I setup?.
COGS = beg inventory + production - end inventory, what is happening to the other 10 balloons, shouldnt they be included in the in Q2 COGS since we didnt sell them?
No because they weren’t sold. We only include the units that were sold, not necessarily produced.
I wish I had seen this much earlier, Wasted money on useless exam packs...
I've been there... they charge students a fortune for material that is often of questionable quality!
4 people don't like hot air balloons
Sir where is marginal accounting?
Absorption accounting is stupid. lol sorry but if I’m running a business it’s useless
Is the variable costing the same as the direct costing?