399

INDEX

A

Abnormal spoilage, 301 Absolute advantage, 134 Absorption (full) costing, 327, 346 Accelerator theory, 131 Access controls, 71, 86 Accounting rate of return (ARR), 182 Accounts payable (trade credit), 222 Accounts receivable financing, 223 Activity-based budgeting, 331 Activity-based costing (ABC), 302 Activity-based management, 303 Adaptive expectations, 133 Advantages, 226 Advantages of issuing common stock, 227

Advantages of issuing preferred stock, 228

Aggregate demand and supply, 129 AICPA Content and Skills Specification Outlines, 27

Alphanumeric characters, 70 Amortization

Bonds Premium/discount, 180

Annuities Future value of, 178, 179 Present value of, 179

Annuity due, 179 Application controls

Manual (user) controls, 88 Programmed, 87

Applications programming, 83 Applications software, 67 Appraisal cost, 278 Arbitrage pricing model, 231 Artificial intelligence (AI), 69 Assessing, 139 Asset utilization (activity) ratios, 271, 273

Asset-backed public offerings, 223 Audit software, 72 Authentication, 80 Autocorrelation, 336 Autonomous investment, 131 Average collection period, 271 Average fixed cost (AFC), 126 Average total cost (ATC), 126 Average variable cost (AVC), 126 Avoidable costs, 181

B

Backflush costing, 220 Backup, 88 Backup and recovery, 72, 87 Balance of payments, 135 Balanced scorecard, 264 Banker’s acceptance, 217 Batch, 68 Batch (control) total, 87 Batch processing, 68

Batch-level costs, 302 Benchmarking, 276, 345 Benchmarks, 276 Best practices, 276 Bit, 70 Black-Scholes option-pricing model, 176

Blanket inventory lien, 223 Bond yields, 225 Bonds

Amortization Premium/discount, 180

Investments, 180 Valuation example, 181

Bond-yield-plus approach, 232 Boundary protection, 86 Breakeven point, 325 Budget, 345 Budgetary slack, 345 Budgeting, 329

Activity-based, 331 Example budgets

Cash, 330 Direct materials, 330 Factory overhead, 336 Production, 330

Flexible, 336 Kaizen, 331

Buffer, 66 Buffer memory, 66 Business cycles, 130 Business risks, 138, 173, 229 By-products, 304 Byte, 70

C

Call back, 86 Call feature, 225 Capital (capital expenditures) budget, 331

Capital account, 136 Capital asset pricing model (CAPM) method, 231

Capital budgeting, 181 Accounting rate of return (ARR) method, 182

Excess present value (profitability) index, 183

Internal rate of return (IRR) method, 183

Net present value (NPV) method, 182 Capital budgeting function, 213 Capital rationing, 184 Carrying costs, 218 Cartridge tape, 65 Cash conversion cycle, 213 Cash flow hedge, 175 Cash flow ROI, 270 Cash management, 215 Cause-and-effect, 277

Fishbone, 277 Ishikawa, 277

Central processing unit, 65 Centralized processing, 69 Certificates of deposit (CD), 217 Check digit, 87 Classical economic theory, 134 Client-server architecture, 75 Closed-loop verification, 88 Coefficient of correlation, 194 Coefficient of determination, 334 Coefficient of variation, 190 Collateral trust bond, 225 Commercial paper, 217, 223 Committed costs, 181, 345 Common-size, 275 Comparative advantage, 134 Compensating balances, 215, 222 Competitor analysis, 141 Compiler program, 68 Compounding of interest, 178 Computer exception reports, 88 Computer output to microfilm or microfiche (COM), 67

Computer service organizations (bureaus, centers), 81

Computer-integrated manufacturing, 308

Computer-processed controls, 88 Computers, see also Technology

Auditing and, 63 Effects on IC, 82 Types of, 65

Concentration banking, 216 Confidence level, 335 Congeneric merger, 236 Conglomerate merger, 236 Console, 66 Constant returns to scale, 126 Consumer price index, 132 Consumption function, 123 Contingency processing, 87 Continuous improvement, 277 Contribution margin, 325, 327, 337, 345

And pricing decisions, 342 Control, 346 Control activities, 85 Control charts, 278 Control environment, 82 Control total, 87 Controllable contribution, 337 Controllable costs, 345 Controllers, 66 Conversion, 225 Conversion costs, 308 Convertible securities, 228 Corporate governance, 35

Audit committee, 37 Compensation committee, 38 Executive compensation, 36 Legal structure of corporations, 35 Monitoring devices, 36 NASDAQ, 38

COPYRIG

HTED M

ATERIAL

400 Index

New York Stock Exchange (NYSE), 38

Nominating/corporate governance committee, 37

Corporate governance function, 213 Correlation analysis, 306 Cost assignment, 308 Cost center, 336 Cost drivers, 302 Cost flows, 295 Cost leadership, 143 Cost management, 345 Cost of capital, 230 Cost of common equity, 231 Cost of debt, 230 Cost of goods sold, 295 Cost of preferred equity, 231 Cost of quality, 278 Costing methods

Absorption (full), 327 Direct (variable), 327

Costing systems, 294 Activity-based costing, 302 By-product costing, 304 Job-order costing, 295 Joint product costing, 303, 308 Process costing, 299

Cost-plus pricing, 342 Cost-push, 132 Costs of production, 126 Cost-volume-profit analysis, 325, 345

Assumptions of, 327 Examples of, 326 Multiproduct firms, 326

Coupon rate, 225 Cross-elasticity of demand, 122 Cross-sectional analysis, 275 Cross-subsidization, 303 Cumulative average-time model, 307 Currency swaps, 175 Current account, 135 Current ratio, 271, 274 Current yield, 225 Customer perspective, 264 Cycle time, 219, 308 Cyclical unemployment, 131

D

Data control, 84 Data control language (DCL), 71 Data definition language (DDL), 71 Data file structure, 70 Data flow diagram, 91 Data independence, 71 Data library, 84 Data manipulation language (DML), 71

Data mart, 69 Data mining, 69 Data organization, 70 Data preparation, 83 Data structure, 70 Data warehouse, 69 Database, 70 Database administration, 83 Database controls, 71

Database management system, 71 Database servers, 75 Database structures, 71 Database systems, 70, 71 Debenture, 225 Debt covenants, 225 Debt financing, 226 Debt to equity, 271 Debt to equity ratio, 275 Debt to total assets, 271, 275 Debt utilization ratios, 271, 275 Debug, 68 Decentralized processing, 69 Decision tables, 91 Decision trees, 191 Decomposition of time series, 333 Decreasing returns to scale, 126 Default risk, 225 Defective units, 301 Deflation, 131 Demand, 119 Demand curve shift, 120 Demand-pull, 132 Deming Prize, 277 Depression, 130 Derivatives, 174

Currency swaps, 175 Forwards, 175 Futures, 175 Interest rate swaps, 175 Options, 174 Swaption, 175

Desk checking, 68 Detail file, 70 Diagnostic routines, 86 Differential (incremental) cost, 181, 345

Differential cost analysis, 344 Direct access processing, 68 Direct costing, 327 Disadvantages, 226 Disadvantages of common stock, 227 Disadvantages of preferred stock, 228 Discount rate, 133 Discounted payback, 182 Discretionary costs, 181, 345 Distributed, 69 Distributed data processing, 69 Distributed database, 71 Distributed systems, 75 Dividend payout ratio, 271, 273 Dividend policy, 234 Dividend-yield-plus-growth-rate approach, 232

Documentation Flowchart, 90

Dual transfer pricing, 343 Dun & Bradstreet Information Services, 220

DuPont ROI Analysis, 267

E

Echo check, 86 Econometric models, 333 Economic order quantity (EOQ), 218 Economic profit, 127

Economic profit and EVA, 269 Economic value added measure, 267 Edit, 68 Efficient frontier, 193 Elasticity of supply, 125 Electronic commerce, 67, 77 Electronic commerce and electronic data interchange, 67

Electronic data interchange (EDI), 67, 78

Electronic funds transfer (EFT), 78, 216

Employee stock ownership plans, 229 Encryption, 80, 86 End-user computing (EUC), 77 Enterprise Resource Planning (ERP), 67

Enterprise Resource Planning (ERP) Systems, 220

Enterprise risk management, 47 Components of ERM, 47 Limitations of ERM, 49

Equity, 227 Equity and debt securities, 217 Equity risk premium, 170 Equivalent units of production, 300 Eurobonds, 224, 226 Eurodollar certificate of deposit, 217 European Quality Award, 277 Excess present value index, 183 Execution, 264 Expectations theory, 174 Expected return, 171

Arithmetic average return, 171 Geometric average return, 171

Expert system, 69 Exponential smoothing, 333 Extensible business reporting language (XBRL), 73

Extensible markup language (XML), 73

External failure cost, 278 External labels, 87 Externalities, 125 Extranet, 74

F

Factoring, 223 Fair value hedge, 175 Federal agency securities, 217 Field, 70 Field check, 87 Field size check, 88 File, 70 File protection ring, 87 File servers, 75 Financial budget, 329, 346 Financial intermediaries, 175 Financial leverage, 229 Financial management function, 213 Financial performance measures, 267 Financial perspective, 264 Financial planning, 328 Financial planning models, 346 Financing current assets, 221 Financing function, 213

Index 401

Firewall, 74 First-in, first-out (FIFO) method, 301 Fiscal contraction, 133 Fiscal expansion, 133 Fiscal policy, 133 Fixed asset turnover, 271, 274 Fixed costs, 346 Flat yield curve, 174 Flexible budget, 336, 345 Float, 215 Floatation or selling costs, 232 Floating rate bonds, 226 Flowcharting, 89

Common symbols, 89 Types of, 90

Forecasting, 139 Forecasting methods, 333 Foreign bonds, 226 Foreign currency hedges, 175 Foreign exchange rates, 136 Foreign investment, 137 Forwards, 175 Free cash flow, 269 Frictional unemployment, 131 Full cost, 343 Full costing, 327 Future value, 179 Futures, 175

G

Gateway, 74 GDP, 128 GDP deflator, 132 General controls for computers, 85 General environment, 138 Going private, 229 Going public, 228

Advantages of, 229 Disadvantages of, 229

Goodness of fit, 334 Government budget surplus (deficit), 132

Gross margin, 271, 273 Gross National Product (GNP), 128

H

Hardware, 65 Hardware and software access controls, 86

Hardware, computer, 65, 76 Hash total, 87 Hedging, 175 Hedging to reduce interest rate risk, 224

Hierarchical database, 71 High-low method, 305 Horizontal analysis, 275 Horizontal merger, 236 Humped yield curve, 174 Hurdle rate, 184 Hypertext markup language (HTML), 73

Hypertext transfer protocol (HTTP), 73

I

Income bond, 225 Income effect, 122 Income elasticity of demand, 121 Income tax, 133 Increasing returns to scale, 126 Incremental budgeting, 346 Incremental cost, 344 Incremental unit-time learning model, 307

Indifference curves, 122 Induced investment, 131 Industry analysis, 139 Inferior goods, 122 Inflation, 131 Informal line of credit, 223 Information and communications, 84 Information systems, 63 Input controls, 87 Input devices, 66 Interest

Compounding, 178 Interest rate, 132

Effective, 173 Stated, 173

Interest rate swaps, 175 Internal business processes perspective, 264

Internal control Components of

Control activities, 85 Control environment, 82 Information and communication, 84

Monitoring, 84 Risk assessment, 84

Decision table, 91 Effect of computer on, 82 Flowcharting, 89, 90

Internal controls, 41 Control activities, 42 Control environment, 42 Controls over business processes, 44 Information and communication, 43 Limitations, 44 Monitoring, 43 Reporting on, 47 Risk assessment, 42

Internal failure cost, 278 Internal labels, 87 Internal rate of return (IRR), 183 International cash management, 216 International Monetary Fund (IMF), 136

International trade, 134 Internet, 73 Intranet, 74 Inventory, 308

Cost flows, 295 Models of

Economic order quantity (EOQ), 218

Just-in-Time (JIT), 219 Inventory conversion period, 214 Inventory financing, 223 Inventory management, 217

Inventory management and MRP, 219

Inventory turnover, 271, 274 Inverted (abnormal) yield curve, 173 Investment, 131, 180 Investment center, 336 IP address, 74 ISO quality standards, 277 ISP (internet service provider), 74

J

Job-order costing, 295 Overhead, 296 Spoilage, 301

Joint costs, 303, 308 Sell or process further decision, 304, 344

Joint products, 303 Junk bonds, 226 Just-in-Time (JIT), 219 Just-in-Time (JIT) Production, 219 Just-in-Time (JIT) Purchasing, 219

K

Kaizen, 277 Kaizen budgeting, 331 Keynesian theory, 134 Key-to-disk, 66 Key-to-tape, 66

L

Labor variances, 338 Law of diminishing marginal utility, 122

Learning and growth perspective, 264 Learning curves, 307 Leasing, 227 Least squares (regression) method, 306

Letter of credit, 223 Leverage, 229 Leveraged buyout, 229 LIBOR, 224 Life-cycle budgeting, 346 Limit (reasonableness) test, 87 Liquidity preference (premium) theory, 174

Liquidity ratios, 271, 274 Local area networks (LAN), 72, 75 Lockbox system, 215 Logic check, 88 London Interbank Offered Rate (LIBOR), 222

Long-term debt, 224 Loop, 68

M

Magnetic disk, 65 Magnetic ink character reader (MICR), 66

Magnetic tape, 65 Magnetic tape reader, 66 Make or buy (outsourcing) decisions, 344

402 Index

Malcolm Baldrige National Quality Award, 277

Management by exception, 346 Manufacturing cells, 219 Manufacturing contribution margin, 336

Marginal cost (MC), 126 Marginal product, 127 Marginal propensity to consume (MPC), 123, 129

Marginal propensity to save (MPS), 123, 129

Marginal revenue, 127 Marginal revenue product, 127 Market equilibrium, 125 Market price, 343 Market ratios, 271, 275 Market segmentation theory, 174 Market/book ratio, 271, 275 Marketable securities management, 217

Markov techniques, 333 Master budget, 346 Master file, 70 Materials variances, 337 Maturity risk premiums, 174 Memory dump, 68 Menu driven input, 87 Mergers

Tax treatment, 236 Metropolitan area network (MAN), 72

Microcomputers, 65, 76 Missing data check, 87 Mixed (semivariable) costs, 309, 346 Monetarist theory, 134 Monetary policy, 132 Money, 132 Money market accounts, 217 Money market funds, 217 Monitoring, 84, 139 Monopolistic competition, 140 Monopsony, 141 Mortgage bond, 225 Moving average, 333 Multicollinearity, 336 Multiple regression, 306, 335, 346 Multiprocessing, 68 Multitasking, 68 Mutually exclusive projects, 184

N

Naive models, 333 Natural monopolies, 140 Negotiated transfer price, 343 Neo-Keynesian theory, 134 Net Domestic Product (NDP), 128 Net present value (NPV), 182 Net present value profile, 184 Networked database, 71 Networks, computer, 72 Nominal gross domestic product, 128 Nominal interest rate, 132 Non-value-added activities, 302 Normal goods, 122 Normal profit, 127

Normal yield curve, 173 North American Free Trade Agreement (NAFTA), 135

O

Object program, 68 Object-oriented database, 71 Object-relational database, 71 Official bank checks, 216 Official reserve account, 136 Off-line, 66 Okum’s law, 130 Oligopoly, 140 Online, 66 Online analytical processing (OLAP), 69

Online entry, 66 Online real-time, 68 Online real-time systems, 68 Online transaction processing (OLTP), 68

Open-market operations, 132 Operating budget, 329, 346 Operating lease

Financial statement elements with scheduled rent increases, 227

Operating leverage, 229 Operating profit margin, 271, 273 Operating system, 67 Operation-costing system, 302 Operations, 84 Opportunity cost, 181, 343, 344, 346 Optimal capital structure, 233 Options, 174 Ordering costs, 218 Ordinary annuities, 178, 179 Outlay (out-of-pocket) cost, 181, 346 Output devices, 67 Outsourcing, 145 Outsourcing (make or buy) decisions, 344

Overhead, 308 Accounting for, 296 Overapplied/underapplied, 297

Disposition of, 297 Variance analysis of, 338

Three-way, 339 Two-way, 339

P

Pareto chart, 277 Parity check, 85 Patch, 68 Payables deferral period, 214 Payback, 182 PDCA, 277 Perfect (Pure) competition, 139 Performance reports, 345 Period costs, 301, 308 Peripheral equipment, 66 Permanent current assets, 221 Personal disposable income, 123, 132 Phillips curve, 132 Physical access controls, 86 Planning, 346 Pledging of receivables, 223

Point-of-sale (POS) recorders, 67 Point-to-point, 79 Poka-yoke, 278 Portfolio returns and risk, 172

Efficient portfolio, 173 Expected returns, 172 Variance, 172

Portfolio risk, 193 Potential GDP, 128 Preferred stock, 228 Present value, 177, 179 Prevention cost, 278 Price ceiling, 125 Price elasticity analysis, 141 Price elasticity of demand, 121 Price floor, 125 Price/earnings (PE) ratio, 271, 275 Pricing of products and services, 340, 342

Cost-plus pricing, 342 Target pricing, 343 Transfer pricing, 343

Prime costs, 308 Prime rate, 222 Private debt, 224 Private network, 73 Private placement, 224 Probability analysis, 188 Process costing, 299

Equivalent units of production, 300 Example of, 300 Flow of units, 299 Spoilage, 301

Processing controls, 88 Processing methods, 68 Producer price index, 132 Product costs, 301, 308 Product differentiation, 143 Product pricing, 342 Profit center, 336 Profitability index, 183 Profitability ratios, 271, 273 Program flowchart, 90 Project management, 340

ABC analysis, 341 Critical Path Method (CPM), 341 Gant chart, 341 Line of balance, 341 Milestone chart, 341 Milestone schedule, 341 Network diagram, 341 PERT cost, 341 Program Evaluation and Review Technique (PERT), 341

Project crashing, 341 Statement of work (SOW), 341 Work break-down structure (WBS), 341

Proof (control) total, 87 Property tax, 133 Proprietary networks, 79 Proxy server, 74 Public long-term debt, 224 Public networks, 73, 79 Pure monopoly, 139

Index 403

Q

Qualitative factors, 344 Quality award programs, 277 Quantitative factors, 344 Quantitative methods

Correlation, 306 High-low method, 305 Regression (least squares), 306 Scattergraph method, 305

Quick (acid) ratio, 271, 274 Quota, 134

R

RAID (redundant array of independent disks, 66

Random access, 65 Rate of return, 342 Rational expectations, 133 Real GDP, 128 Real interest rate, 132 Real options, 192 Reasonableness (limit) test, 87 Receivable turnover, 271 Receivables collection period, 214 Receivables management, 220 Receivables turnover, 273 Recession, 130 Record count, 87 Redeemable, 225 Redundant data check, 88 Registered bonds, 226 Regression analysis, 306, 333 Relational database, 71 Relevant costs, 181, 344, 346 Relevant range, 309, 325, 346 Reporting

Types of reports WebTrust, 78

Reserve requirements, 132 Residual income, 268 Residual income profile, 268 Responsibility accounting, 336, 346 Return on assets, 271, 273 Return on equity, 271, 273 Return on investment (ROI), 267 Revolving credit agreements, 223 Risk

Credit or default, 173 Estimating risk

Normal distribution, 171 Interest rate, 173 Market, 173 Risk averse, 171 Risk-neutral, 171 Risk-seeking, 171 Systematic, 172 Unsystematic, 172

Risk and return, 170 Risk assessment, 84 Risk preference function, 173, 193 Risk-adjusted discounted rate, 190 Risk-management function, 213 Risks in using derivatives, 175

Basis risk, 175 Credit risk, 175 Legal risk, 175

Market risk, 175 Robust design, 278 Router, 74 Run, 68

S

Safety stock, 218 Sale-leaseback transactions, 227 Sales tax, 133 Scanner, 66 Scanning, 139 Scattergraph method, 305 Scenario analysis, 191 Schedules

Cost of goods manufactured, 295 Cost of goods sold, 295

Securitization of assets, 223 Security provisions, 225 Segment contribution, 337 Segment reporting and controllability, 336

Segregation controls, 83, 85, 86 Sell or process further decision, 304, 344

Sensitivity analysis, 191 Sequential access, 65 Serial bonds, 225 Service bureau/center, computer, 81 Service department cost allocation, 298

Direct method, 298 Step method, 298

Service pricing, 342 Share repurchases, 235 Short-term bank loans, 222 Short-term differential cost analysis, 344

Allocation of scarce resources, 344 Closing a department/segment, 344 Outsourcing (make or buy), 344 Sale of obsolete inventory, 344 Sell or process further, 304, 344 Special orders, 344

Simulation models, 191 Sinking fund provisions, 225 Six-sigma quality, 277 Software, 67, 76, 86 Source program, 68 Sources of short-term funds, 222 Special order decisions, 344 Speculation, 175 Spin-offs, 228 Split-off point, 303 Spoilage

Job-order costing, 301 Process costing, 301

Standard costs, 337, 346 And pricing, 343 Variance analysis, 337

Standard error of the estimate, 335 Stepped (semifixed costs), 308 Stock dividends, 235 Stock splits, 235 Stock warrants, 227 Stockouts, 218 Storage devices, 65, 66

Strategic alliances, 144 Strategic planning, 143 Strategy maps, 265 Structural unemployment, 131 Structured query language (SQL), 71 Subordinated debenture, 225 Substitution effect, 122 Sunk costs, 344 Sunk, past, or unavoidable costs, 181, 346

Supply, 124 Supply chain, 218 Supply chain management, 144, 218 Supply curve shift, 124 Supply-side theory, 134 Swaption, 175 SWOT (strengths, weaknesses, opportunities and threats) analysis, 143

System, 63 System development lifecycle, 83 System flowchart, 90 Systematic risk, 172 Systems analysis, 83 Systems design and process improvement, 64

Systems programming, 83

T

Target costing, 346 Target market analysis, 142 Target pricing, 343 Tariff, 134 Taxes, 133 Technology, auditing with

Application controls, 87 Computer systems

Characteristics of, 65, 72 Types of, 63 Vs. manual systems, 63

Computers, types of, 65 Data file structure, 70 Data organization, 70 Database systems, 71 Documentation

Data flow diagrams (DFD), 91 Decision tables, 91 Flowcharting, 89

Common symbols, 89 Types of, 90

Effect of computer on internal control Control activities, 85 Control environment, 82 Information and communication, 84

Monitoring, 84 Risk assessment, 84

Effect of IT on internal control, 82 Electronic commerce, 77 Electronic data interchange, 78

Value-added network (VAN), 79 End-user computing, 77 General controls, 85 Hardware, 65 Information systems, 63 Local area networks (LAN), 72, 76 Manual vs. computer system, 63

404 Index

Microcomputers, 65, 76 Networks, 72 Processing methods

Batch, 68 Centralized, 69 Decentralized, 69 Direct access, 68 Distributed, 69 Online real-time, 68

Service bureau/center, 81 Software, 67

Telecommunications, 72, 80 Temporary current assets, 221 Term structure of interest rates, 173

Flat yield curve, 174 Humped yield curve, 174 Inverted yield curve, 173 Normal yield curve, 173

The F-Statistic, 335 The multiplier, 129 The t-Statistics, 336 Three-tier architectures, 75 Throughput time, 308 Time value of money

Amortization of bond interest, 180 Annuities, 178, 179 Applications of, 180 Compounding interest, 178 Factor tables, 178 Future value

Of an amount, 178 Of an annuity due, 180 Of an ordinary annuity, 178

Present value Of a future amount, 178 Of an annuity due, 180 Of an ordinary annuity, 179

Time-adjusted discount rates, 190 Time-adjusted rate of return, 183 Times interest earned, 271, 275 Total asset turnover, 271, 274 Total quality control, 277 Total Quality Management (TQM), 277

Tracking stocks, 228 Trade discounts, 215 Transaction file, 70 Transfer pricing, 137, 343, 346 Treasury bills (T-bills), 217 Treasury Inflation Protected Securities (TIPS), 217

Treasury notes, 217 Trend analysis, 334 Trojan horse, 74 Trust receipt, 224 Turnaround documents, 66 Types of computers, 65

U

Unemployment, 131 Uniform resource locator (URL), 73 Unsystematic risk, 172 Utility program, 67

V

Validity check, 87 Value engineering, 343 Value-added activities, 302 Value-added network (VAN), 79 Value-added tax, 133 Value-based management, 267 Variable (direct) costing, 327, 346

Variable costs, 346 Variance analysis, 337

Disposition of variances, 340 Labor, 338 Materials, 337 Overhead, 338

Venture capital, 228 Vertical analysis, 275 Vertical merger, 236 Virtual storage, 68 Virus, 74

W

Wages taxes, 133 Warehousing, 224 Web browser, 74 Web server, 74 WebTrust, 78 Weighted-average cost of capital, 233 Weighted-average inventory method, 300

Wide area networks (WAN), 72 Working capital management, 213 World Wide Web (the Web or www), 74

Worm, 74

Y

Yield to maturity, 225

Z

Zero-balance accounts, 215 Zero-coupon method, 176 Zero-coupon rate bonds, 226