Marketing Finance : Sales Revenue : 1.

Accrual Basis Accounting Under the accrual basis accounting, revenues and expenses are recognized as follows: Revenue recognition: Revenue is recognized when both of the following conditions are met: a. Revenue is earned. b. Revenue is realized or realizable. Revenue is earned when products are delivered or services are provided. Realized means cash is received. Realizable means it is reasonable to expect that cash will be received in the future. Expense recognition: Expense is recognized in the period in which related revenue is recognized ( Matching Principle). Cash Basis Accounting Under the cash basis accounting, revenues and expenses are recognized as follows: Revenue recognition: Revenue is recognized when cash is received. Expense recognition: Expense is recognized when cash is paid. Timing differences in recognizing revenues and expenses There are potential timing differences in recognizing revenues and expenses between accrual basis and cash basis accounting. Four types of timing differences a. b. c. d. Accrued Revenue: Revenue is recognized before cash is received. Accrued Expense: Expense is recognized before cash is paid. Deferred Revenue: Revenue is recognized after cash is received. Deferred Expense: Expense is recognized after cash is paid.

QUALITATIVE FORECASTING METHODS qualitative forecasting methods are based on educated opinions of appropriate persons 1. delphi method: forecast is developed by a panel of experts who anonymously answer a series of questions; responses are fed back to panel members who then may change their original responses - very time consuming and expensive - new groupware makes this process much more feasible 2. market research: panels, questionnaires, test markets, surveys, etc. 3. product life-cycle analogy: forecasts based on life-cycles of similar products, services, or processes 4. expert judgement by management, sales force, or other knowledgeable persons

QUANTITATIVE FORECASTING METHODS TIME SERIES FORECASTING METHODS time series forecasting methods are based on analysis of historical data (time series: a set of observations measured at successive times or over successive periods). They make the assumption that past patterns in data can be used to forecast future data points. 1. moving averages (simple moving average, weighted moving average): forecast is based on arithmetic average of a given number of past data points 2. exponential smoothing (single exponential smoothing, double exponential smoothing): a type of weighted moving average that allows inclusion of trends, etc. 3. mathematical models (trend lines, log-linear models, Fourier series, etc.): linear or non-linear models fitted to time-series data, usually by regression methods 4. Box-Jenkins methods: autocorrelation methods used to identify underlying time series and to fit the "best" model COMPONENTS OF TIME SERIES DEMAND

1. average: the mean of the observations over time 2. trend: a gradual increase or decrease in the average over time 3. seasonal influence: predictable short-term cycling behaviour due to time of day, week, month, season, year, etc. 4. cyclical movement: unpredictable long-term cycling behaviour due to business cycle or product/service life cycle 5. random error: remaining variation that cannot be explained by the other four components

Basic Financial Concept : 1. Capital and Revenue:

The main objective of accounting is to ascertain the true profit or loss and to reveal the financial position of a business at the end of financial year. To achieve the objectives, the business must take a clear distinction between its capital and revenue items. The distinction between capital and revenue items is essential for their correct treatment in the final accounts. Any incorrect treatment of those two items in the final accounts adversely affects the operating results and financial position of the business. Capital is the wealth invested by an investor for producing additional wealth. The original figure of wealth is known as capital. Making of additional wealth with the investment of original capital is known as revenue. Thus, capital is the source of the basis of revenue. In other words, capital is invested in the business to earn revenue. For example, a trader has started a business with $ 1,00,000 and earns a profit of $ 30,000 during the year. The original investment of the trader, i.e $ 1,00,000 is the capital and the profit of $ 30,000 earned by the investor out of the investment is the revenue. Capital items concerned with the payment for assets and receipt from the owners and outsiders. It is the item of the balance sheet. It is of long-term nature and its benefit is long-lasting. In fact, capital items are assets, liabilities and capital that determine the financial strength of the business. Revenue item is concerned with the payment for producing or buying goods and receipt from sale of goods and services. Those revenue incomes and expenditures are the items of trading and profit and loss accounts. It is of short-term nature. Its benefit expires within the year. In fact, revenue items are incomes and expenses, which determine the operating result (profit or loss) of the business.

The following capital and revenue concepts are relevant for accounting purpose

* Capital and revenue expenditures * Capital and revenue receipts * Capital and revenue losses * Capital and revenue profits * Capital and revenue reserves

Cost Accounting :
A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step of production as well as fixed costs such as depreciation of capital equipment. Cost accounting will first measure and record these costs individually, then compare input results to output or actual results to aid company management in measuring financial performance.

Investopedia explains 'Cost Accounting'

While cost accounting is often used within a company to aid in decision making, financial accounting is what the outside investor community typically sees. Financial accounting is a different representation of costs and financial performance that includes a company's assets and liabilities. Cost accounting can be most beneficial as a tool for management in budgeting and in setting up cost control programs, which can improve net margins for the company in the future.

Management Accounting :

The process of preparing management reports and accounts that provide accurate and timely financial and statistical information required by managers to make day-to-day and short-term decisions. Unlike financial accounting, which produces annual reports mainly for external stakeholders, management accounting generates monthly or weekly reports for an organization's internal audiences such as department managers and the chief executive officer . These reports typically show the amount of available cash , sales revenuegenerated, amount of orders in hand, state of accounts payable and accounts receivable, outstanding debts, raw material and inventory , and may also include trend charts, variance analysis, and other statistics. Also called managerial accounting.

Investopedia explains 'Financial Accounting'

The key difference between financial and managerial accounting is that financial accounting is aimed at providing information to parties outside the organization, whereas managerial accounting information is aimed at helping managers within the organization make decisions.

The financial management means: To collect finance for the company at a low cost and To use this collected finance for earning maximum profits. Thus, financial management means to plan and control the finance of the company. It is done to achieve the objectives of the company.

The planning, directing, monitoring, organizing, and controlling of the monetary resources of an organization.

Impact of marketing on society http://ezinearticles.com/?The-Impact-of-Marketing-in-the-Society---Can-We-Really-Make-aDifference?&id=3346630 DIFFERENT TYPES OF MARKETS Consumer Goods Market Industrial Goods Market(http://www.slideshare.net/flock3/marketing-consumer-and-industrialgoods) Service Market http://www.managementstudyguide.com/definition-and-characteristics-ofservices.htm Social Market http://www.social-marketing.com/Whatis.html

Sales forecasting http://www.transtutors.com/homework-help/industrial-management/forecasting/qualitative-models-offorecasting.aspx http://www.slideshare.net/GrahamRobertson/how-to-be-better-at-brand-forecasting baki mala sales forecast cha jast nai milala tula milala tar sang mala ok