Answered Questions

  • Jun 01 2006
    01:17 PM
    4302
    15

    Wat is BEP?BEP-Break Event Point. It indicates no Loss and no Profit
    • Vinayagam

    ch.v.rama krishna rao, chirala

    • Nov 8th, 2007

    Break Even Point is a point where there is no profit and no loss . It is very important for every company to take managerial decisions like how much quantity to be sold to gain desired profit, how many units to be sold to get the desired profit, to find margin of safety etc.,

    vaishnavi

    • Aug 24th, 2007

    Break Even Point is the point where there is no Loss No Profit. The total revenues will be equal to total costs.

  • May 01 2006
    07:03 AM
    5786
    28

    what is mean by Working Capital?
    • vino84_in

  • Apr 20 2006
    05:46 AM
    19077
    12

    What is meant by turnover
    • jyothi_k

    Star Read Best Answer

    Editorial / Best Answer

    vasudeo007  

    • Member Since Jul-2008 | Aug 19th, 2008

    The word "Turnover" has many meanings.

    For a trader/manufacturer/service provider it means total sales (cash+credit).

    While when a bank gives loan to any person or company they see the turnover.

    Here the turnover generally refers to the total credits in any given period in account holder's account.

    While bank's own turnover is the total loans disbursed + outstanding recovery of earlier period - bad debts (loans written off) in this period.

    Considering the disclosure norms in Accounting Standards the announcement of turnover is required. I am not sure for which industries it is mandatory and for which industries it is not. But it is nevertheless announced.

    Balance sheet of any company can be easily window dressed. So to understand whether whatever profits that are shown are really from turnover or not the announcement of turnover becomes necessary.

    In case if a person/investor finds out that the turnover of any company is not high but the company is saying that they have made big profits then he can probe in details as to how the company is making its money.

    In case if the investor finds out that the company is selling the goods to a huge quantity but not making much profits then he can investigate the books of accounts to find out what are the causes of low profitability.

    Vasudeo.