By far the best explanation on this subject. Did not understand the book or my teacher. Thank you so much!
@mariecrz109 жыл бұрын
I wish I had found you at the beginning of this semester, and not the end. Your videos are the missing piece I needed to figure out managerial accounting!
@calvin8642 жыл бұрын
bro has the best explanation ever
@Pleyox8 жыл бұрын
Thank you for posting this, I don't think one could ask for a more clear and concise explanation of the step method.
@anthonyjaffee8779 жыл бұрын
You're videos are excellent. Thanks!!
@harrisonneider66279 жыл бұрын
You're saving me, I have a cost accounting test tuesday. Thank you.
@markvandonsel31437 жыл бұрын
This is one of the most informative videos I have ever seen. Thanks.
@monikasan68605 жыл бұрын
Hands down. Best explanation on KZbin.
@pacocheung922 жыл бұрын
Omg, much better than my uni lecturer
@jasonleokk57617 жыл бұрын
Great explanation, very clear and good use of example to demonstrate the concept. Thanks !
@ksynctrl7 жыл бұрын
thank you! this is a great help to ace my cost accounting exams
@stilettochick899 жыл бұрын
This video helped me so much, thank you for sharing this!
@jina_log8 жыл бұрын
Really nice and easy to understand. Thank you so much for sharing!
@michelesantilhano46498 жыл бұрын
this is completely incredible. Thank you sooooo much. I cannot thank you enough. YOu are life savers. I got it. Thank you Thank you thank you
@probablyhyperfixating5 жыл бұрын
Im at a very braindead moment in the semester and this made things so much easier! I actually feel like i am supposed to be in college again😂 thank you!
@poketube4689 жыл бұрын
Thank You, you are saving me a lot of time!
@Obelus_OG6 жыл бұрын
This has been a huge help. My CengageNow assignment wants 2 or 3 extra steps, but I know it well enough to take an exam now. Thanks!
@Obelus_OG6 жыл бұрын
Notepirate yeah, see there’s all these extra gaps, and I assumed it was because it wanted me to show how much overhead was being subtracted with each step. So when I did that, it told me I had most of it wrong, though the final totals are correct. imgur.com/a/Yzn5q
@ultiultijanjan71817 жыл бұрын
really effective for me .. easy to understand ....
@fransiscacecilianiche721010 жыл бұрын
thanks a lot.. this is help me so much .. :)
@mahsabayandoriha59897 жыл бұрын
the best explanation ever, thx a lot!!
@deepandasgupta1578 жыл бұрын
its very easy to understand.... thankyou...
@dhivya98903 жыл бұрын
Thank you so much seriously it helped me a lot
@NotepirateDave3 жыл бұрын
Glad it helped!
@kuangtan20047 жыл бұрын
thx Dave, just now I had no idea on how to do my assignment... now I had the idea already :D
@kuangtan20047 жыл бұрын
Sure dave. Because of ur KZbin video I survive my Degree 1st year of accounting... I'm now in my 2nd year 2nd semester.it all thank to u. U are my savior
@kevinmmathew34532 жыл бұрын
Thank you Sir
@loripreskitt17797 жыл бұрын
Watched it again. I think I understand.....
@psych0analyst8 жыл бұрын
Omg, you're awesome. I hope this doesn't show up on my CPA exam. But thank you!!
@psych0analyst8 жыл бұрын
It wasn't on my test!! Thank god
@quaqmireful8 жыл бұрын
+Kristen Bui Wouldn't it be better if it shows up in your CPA exam, as you'd certainly understand it already :D
@tumuatlatasi32718 жыл бұрын
Thank you for the video.
@CodyAlstonLee10 жыл бұрын
This is awesome!
@ClassicalMchannel4 жыл бұрын
thanks a lot for your video. Really clear :)
@abdelrahamanabdalla65469 жыл бұрын
Thats perfect man .. Thank you
@suniaaziz83705 жыл бұрын
Hey I have a question! I have studied that the larger cost should be add in the lower cost service department so why did u add security in HR? I think HR should’ve added in security! Please clear the confusion ☺️
@toddgaetke3245 жыл бұрын
Our instructor had told us that you always allocate from support to revenue using the support dept. with highest OH costs and your video shows otherwise. Which is correct?
@ruihua21308 жыл бұрын
you're my god!!! you save my life
@vin72818 жыл бұрын
Thank you
@rogercorcoran5129 жыл бұрын
Hi Dave, brilliant tutorial just have a quick question. If in your example you had 3 support departments such as HR, security and Admin. How would you decide the order to step down the costs?
@hemukhushi10 жыл бұрын
Video is good but just need to ask that the total cost of support of each department is not tallying for instance Security total cost is 92000 but the amount finally allocated is 62727 to retail and 20909 to restaurant which do not add to 92000 possibly because some cost is allocated to its own department but I suppose that also should be allocated to service department finally
@Lwurzy9 жыл бұрын
Wow Straght nd forward thnx man...
@huiin50108 жыл бұрын
Can we allocate from HR department to Security, retail and restaurant first. Then we allocate Security to retail and restaurant?
@treshnefix10 жыл бұрын
Very good video! Just a question, how do you determine whether you want to allocated security first then HR or vice versa?
@fionaliu92999 жыл бұрын
this video helped a lot! thanks xD
@eg12p345 жыл бұрын
Thanks mate. :)
@tsatsiletsoara97377 жыл бұрын
nice one bruh 👌👐
@ThePedram0092 жыл бұрын
Does the Step Down method increase the overall cost in comparison to the direct method?
@iamaseemaggarwal5 жыл бұрын
bruh, too good!
@welele90108 жыл бұрын
Does the same logic apply when there are three or more support departments?
@outbackfrank6323 жыл бұрын
This is incorrect, you should have started with the HR department since it was larger than the Security dept.
@lixiaoling1028 жыл бұрын
Hi, Thanks for your video, it is really clear and awesome! However, I do not understand why we dont allocate the Security @ 7:30? Could you explain again? Thanks
@lixiaoling1028 жыл бұрын
Is it because HR doesnt allocate cost to Security...?
@KhanIOM8 жыл бұрын
Thanks Dave! But why did you use the denominator 680 at 3:30 but used denominator 650 at 7:50??
@muchachaviaja8 жыл бұрын
+Aareez Khan Hey, did you find out if that figures are correct? I think that yes, because in the 7:50 there's no need to add that 30 ro 650 as we've already closed that part (so we don't look at it anymore), but I am searching for confirmation..
@ruihua21308 жыл бұрын
hello, if there are three support departments what can i do at first step.
@gabrielshetterley96635 жыл бұрын
While I find this video, and the prior one (#32), very helpful, since the clarity of my professor is a clear a mug, I would if it more helpful if you showed all the work on the screen. I feel there are is still some math being done that is "just assumed."
@sagnikbaksi88829 жыл бұрын
this was awesome, if i have any practice exam questions can i please ask them here? my dad is in the hospital and i cannot afford any payments for learning right now thanks
@sagnikbaksi88829 жыл бұрын
ok i just put one , i appreciate the understanding
@niklaswilhelmruther71059 жыл бұрын
sorry, but shouldnt u add the costs of HR to the costs of the security departement for the new base? i think u did it the other way around in the video and added the lower departments costs to the ones of the bigger departments costs -> security to HR, which is wrong isn't it? thanks in advance for an answer
@niklaswilhelmruther71059 жыл бұрын
***** thanks dave, i now get it!! :)
@SkillzKillzBR9 жыл бұрын
How come at 3:30 you took 30/680 but at 7:50 you took 400/650, with a different denominator?
@KhanIOM8 жыл бұрын
+SkillzKillz Did you find the answer? I'm confused!
@joshuavarghese95147 жыл бұрын
The 680 mentioned earlier includes 30 from 'Security' to find out which Support Department is contributing more to the other Support department. I.e, is Security "Supporting" HR more, OR the other way around. The 650 is the allocation base (400+250), we've excluded the 30 now because the whole idea of allocating is to take from 'Support' and give it to 'Revenue' departments. Therefore the cost is now split between 400/650 and 250/650. Hope this was helpful!
@myrtlemoseley64028 жыл бұрын
Can someone tell me what happened to the $6441 allocated from HR?
@lutzmayer68616 жыл бұрын
He was only looking for the department with higher allocation. 6441 lower so not relevant
@6XxDJxX99 жыл бұрын
There's something I don't quite get. How come the 50 of HR hours isn't included in the denominator when dividing, it kind of makes sense to me since the 50 HRs are within the $146000 cost. Can you do 30/(30+50+400+250)=0.04,------, 400/730=0.55, 250/730=0.34, then do the percentage 0.04/(0.04+0.55+0.34),-------, 0.55/0.96, 0.34/0.96. Then you times the HR department cost of $146000.
@6XxDJxX99 жыл бұрын
Nevermind.... I tried my way and calculated it. They both have the same percentage but mine requires more steps which is stupid I guess. But hey it works!
@yuxinluo80758 жыл бұрын
Sir. how to rank it when there are three support departments ?
@quaqmireful8 жыл бұрын
+yuxin Luo You'd have to go back to the concept of which support dept provides the 'greatest service (in terms of cost)' as compared to the other two support dept.
@rhealagbo81608 жыл бұрын
that "400/650" and "250/650", why did u divide it by 650 in the hr department to retail and restaurant? i thought you disregard hr department so it means "50" under hr must also be disregarded? someone help me pls. :))))
@gozdavid96718 жыл бұрын
+Rhea Lagbo yes 50 under hr also will be disregarded. cause you are allocating service departments not revenue
@loripreskitt17797 жыл бұрын
At 8:39, why is denominator 650 instead of 680? It has all clicked up until this point. Before...security to h.r- 2/22......security to retail- 15/22.....Added in the 2 security employees from HR. I may just be doomed. Thanks for posting the video though.
@joshuavarghese95147 жыл бұрын
The 680 mentioned earlier includes 30 from 'Security' to find out which Support Department is contributing more to the other Support department. I.e, is Security "Supporting" HR more, OR the other way around. The 650 is the allocation base (400+250), we've excluded the 30 now because the whole idea of allocating is to take from 'Support' and give it to 'Revenue' departments. Therefore the cost is now split between 400/650 and 250/650. Hope this was helpful!
@loripreskitt17797 жыл бұрын
Thank you!
@bubs7727 Жыл бұрын
This is reciprocal, not step down lol
@meh-hair-Vaughn9 жыл бұрын
If I could, I would buy you a new car (even though I have never owned a car)