Ã¯Â¿Â½ PAGE \* MERGEFORMAT Ã¯Â¿Â½1Ã¯Â¿Â½ Running Head: FEDEX AND UPS Ã¯Â¿Â½ PAGE \* MERGEFORMAT Ã¯Â¿Â½14Ã¯Â¿Â½ FEDEX AND UPS
COMPARISON BETWEEN FEDEX AND UPS
Managerial accounting information is used in serving the needs of the management of the company. This makes it subject to a cost-benefit analysis and should be developed only if the perceived benefits will be more than the costs of developing it. In this paper, an overview of FedEx and UPS is presented with a brief introduction of their mode of operation and services. Various topics in relation to FedEx and UPS are discussed by comparing the two companies. Depreciation, high-low cost estimation method, fixed and variable costs and the Activity based costing are some of the methods that are analyzed in the paper.
FedEx provides its customers and businesses worldwide with a broad transportation portfolio, e-commerce, and other business services.
The company operates under four segments namely; FedEx Express, FedEx ground, FedEx freight and FedEx services. FedEx offers a range of shipping services for the delivery of packages and freight (Greene, 2009). UPS serves the global market for logistic services such as transportation, distribution, forwarding, ground air and even ocean freight. The company is made up of three segments which include; the U.S domestic package, international package, and the supply chain &Freight. UPS's global small package operations do provide the time-definite delivery of services for the express letters, documents the small packages and palletized freight through air and ground services. United parcel services do provide domestic delivery services within 56 countries and do export services to more than 220 countries and other territories around the globe (Datamonitor, 2000).
FedEx delivers packages around the world, and for it to achieve this task, it has made huge investments in...