BOOK-TO-BILL RATIO Definition

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BOOK-TO-BILL RATIO is the ratio of orders taken (sic booked) to products shipped and bills sent (sic billed). The ratio is a measure of whether a company has more, equal to or less than the orders than it can likely produce and deliver. The book-to-bill ratio is primarily of interest to investors or traders in the high-tech sector.

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STANDARD COST SYSTEM is an accounting system designed to properly allocate costs of direct labor, indirect labor, materials, overhead, and selling/ general/administrative accounts on a unit basis for the purpose of accurately costing products and the subsequent control of those costs in managing the production, marketing, purchasing, and administrative functions of the business.

SR see STOCK RESERVE.

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