Advantages Of Value Engineering

Accounting , Business
The main benefits or advantages of value engineering can be highlighted as follows:

1. Cost Reduction

Value engineering helps to reduce the cost of production without reducing the quality of the product.

2. Improved Quality

It helps to improve product quality and design to attract more customers.

3. Customers' Satisfaction

It helps to increase customers' satisfaction by fulfilling their expectations and needs without increasing the cost.

4. Simplify The Process

Value engineering simplifies the production process by eliminating unnecessary functions.

5. Higher Profit

Business firm can make more profit because of lower production cost and higher sales volume.

6. Resource Utilization

It promotes proper utilization of resources to enhance production process.
advantages of value engineering

7. Modernizing

Value engineering focuses on modern, cheaper and efficient techniques and approaches to improve the productivity.

8. Standardization

It gives emphasize on the standardization of firms' products and services.
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Advantages And Disadvantages Of Sinking Fund

Accounting , Business
Merits Or Advantages Of Sinking Fund

The main advantages of maintaining sinking fund can be pointed out as follows:

1. Replacement Of Asset

Sinking fund helps the company to replace its fixed assets by providing adequate fund.

2. Redemption Of Bond

It provides fund to redeem preference share, bond and other forms of long-term loans.

3. Improve Goodwill And Faith

It helps to maintain goodwill and faith of the company and also helps to maintain future credibility.

4. Encourage Investment

It encourages the investors to invest in the firm because of its goodwill, faith and credibility.
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5. Financial Stability

Sinking fund promotes financial stability of the business firm.

Demerits Or Disadvantages Of Sinking Fund

Some of the major drawbacks or disadvantages of sinking fund can be pointed out as follows:

1. Reduction In Profit

It reduces the profit to be distributed as dividend.

2. Complexity

It is very complex to maintain sinking fund accounts.

3. Difficulty

Although sinking fund provides fund for the replacement of old assets, it is very difficult to estimate the required amount for new assets/
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Advantages And Disadvantages Of Receipt And Payment Account

Accounting , Business
Merits Or Advantages Of Receipt And Payment Account

The main advantages  of preparing receipt and payment account can be pointed out as follows:

1. Proper Recording Of Cash Transactions

Receipt and payment account records all the cash and check receipts and payments occurred during the period properly.

2. Provides Summary

It provides a summary of all cash receipts and cash payments incurred during a period at a glance. 
advantages disadvantages receipt and payment account
3. Verification Of Cash Book

It helps to verify the cash book of the business firm. So, it ensures the accuracy of company's cash book.

Demerits Or Disadvantages Of Receipt And Payment Account

Major drawbacks or disadvantages of receipt and payment account can be highlighted as folows:

1. No Disclosure Of Profitability

Receipt and payment account cannot disclose accurate profitability of the firm.

2. No Accrual Basis

It does not show cash receipts and payments on accrual basis. 

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3. No Non-cash Transactions

Receipt and payment account fails to show non-cash transactions of the firm.

4. No Surplus Or Deficiency

It records cash and check transactions of the firm but does not disclose the surplus or deficiency of the business during the period.
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Advantage And Disadvantages Of Secret Reserve

Accounting , Business
Benefits Or Advantages Of Secret Reserve

The main advantages of creating secret reserve can be pointed out as follows:

1. Covers Future Loss And Contingencies

Creation of secret reserve helps the organization to cover future contingencies, liabilities and unknown losses.

2. Provides Financial Stability

Secret reserve helps to maintain good financial health of business because it provides financial stability by covering unexpected losses and liabilities. 

3. Internal Financing

It may be used as the source of internal financing to retain assets and other properties.

4. Additional Working Capital

Secret reserve helps to improve operational efficiency of the firm by eliminating the inadequacy of working capital by providing additional funds.

5. Image And Goodwill

It helps to maintain image and goodwill of the business and wins the public confidence. 
advantages disadvantages secret reserve
6. Equalization Of Dividend

It helps to equalize the rate of dividend which gives positive message to the shareholders.

Drawbacks Or Disadvantages Of Secret Reserve

Some of the major disadvantages of secret reserve can be pointed out as follows:

1. False And Inaccuracy

It ignores accounting norms and standard by providing false and inaccurate financial data.

2. Misuse Of Fund

There is a high chance of fraud and misuse of secret reserve by the top level management.

3. Less Profit

Creation of secret reserve decreases the amount of actual profit of the firm. So, shareholders may be disappointed.

4. Borrowing Problem

Secret profit lowers the net profit of the firm. Due to poor profit condition, banks and other financial institutions hesitate to provide loan.

5. Decrease In Share Value

Share value decreases because of  secret reserve which is not good for the shareholders and business.
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Advantages Of Petty Cash Book

Accounting , Business
The main benefits or advantages of  petty cash book can be pointed out as follows:

1. Relief To Cashier

Petty cash book relieves the main cashier because it is prepared by the petty cashier. Main cashier can focus on other major financial transactions of the business.

2. Systematic Recording

It records all the minor expenses of the business properly and systematically and provides information quickly when needed.

3. Assists Controlling

It helps to control tiny expenses of the organization by making comparison between the petty expenses of two periods.
advantages petty cash book
4. Time And Labor Saving

Petty cash book saves the valuable time of main cashier because it is maintained by the petty cashier. Because of scientific recording, it is labor saving also.

5. Minimization Of Errors

Petty cash book helps to minimize errors and frauds because it is checked regularly and reported timely.

6. Preparation Of Main Cash Book

It facilitates preparation of main cash book quickly and easily by minimizing the number of small cash transactions.

7. Division Of Labor

Petty cash book promotes division of labor in the business organization
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Benefits Of Jogging

Education , Science
The main physical and mental benefits of jogging or running can be described as follows:

Physical Benefits Of Jogging/Running

1. Prevents Heart Disease

Regular jogging minimizes the risk of heart disease. It controls high blood pressure, bad cholesterol and blood sugar level. The heart becomes more strong and pump blood properly.

2. Prevents Diabetes

This aerobic exercise lowers the risk of diabetes. Regular jogging is very useful for diabetes patients to control their sugar level. 

3. Prevents Obesity

Jogging helps to lose weight by burning extra calories. It reduces the chance of obesity by controlling unnecessary body fat. So, proper weight can be maintained with the help of running.

4. Improves Sleep

Good sleep is very necessary for physical and mental fitness. Jogging helps us sleep better.

5. Strength Muscles

This physical exercise helps to develop and strengthen our body muscles and increases the fitness level.

6. Improves Respiratory System

Regular jogging or running enhances the capacity of lungs which helps to improve respiratory system.

7. Improves Longevity

Jogging makes both physically and mentally healthy. So, it helps to reduce mortality and improves longevity. 

8. Strengthens Bones And Joints

Jugging is a weight bearing aerobic exercise. So, it helps to strengthen bones and joints in our body.
advantages of jogging
Mental Benefits Of Jogging/Running

1. Reduces Stress

Jogging improves our mental health condition which helps to reduce stress, fear and anxiety.

2. Build Confidence

Our body and mind become strong because of regular running. So, it helps to build confidence by reducing negativity. 

3. Self-sufficient

Jugging encourages us to push our capabilities without any fear and stress. So, it helps us to become more self-sufficient.
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