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Management Accounting

Standard cost versus Actual cost

Phoenix Manufacturers makes blank computer disks. It takes one-eighth of a pound of direct materials and one minute of direct labor at standard per disk. Direct materials cost $2.60 per pound at standard, and the standard direct labor rate is $6.00 per hour. During April, 35,200 disks were made, and the company experienced

Retail Management Scenario: Proposal to expand sporting goods department

You are a retail store manager (big box retailer) that needs to present the district team with a proposal. A family owned sporting goods store is closing. You (the store manager) need to come up with a proposal and give the presentation to the district team on expanding the sporting goods dept. You need whether

Finding the Optimal Output and Price Level

Currently the total cost is given by TC = 100 + 10Q +Q^2 for sale shoe manufacturing company. The demand equation is given by P =-5Q +130. How many units should the company produce to maximize its profit? What is the price that company charges? What are the profit, total revenues, and total cost of the company?

Opportunity Cost and Annual Income

Rnee Behr, MD is a psychiatrist who is in heavy demand. Even though she has raised her fees considerably during the past 5 years, Dr. Behr cannot accommodate all the patients who wish to see her. Behr has conductd 6 hours of appointments per day, 6 days per week, for 48 weeks per year. Her fee averages $150 per hour. Her v

New machinery was installed to replace a number of employees, who were paid an extra month's wages and dismissed. This amount was added to the cost of the machinery. Discuss the propriety of the charge. If it was improper, describe the proper treatment.

New machinery was installed to replace a number of employees, who were paid an extra month's wages and dismissed. This amount was added to the cost of the machinery. Discuss the propriety of the charge. If it was improper, describe the proper treatment.

WMEJ is an independent television station: Cost per Broadcast

WMEJ is an independent television station run by a major state university. The station's broadcast hours vary during the year depending on whether the university is in session. The station's production-crew and supervisory costs are as follows for July and September. Cost Item Cost Behavior Cost Amount Broadcast Hours

Company's Energy Cost Behavior

Jonathan Macintosh is a highly successful Pennsylvania orchardman who has formed his own company to produce and package applesauce. Apples can be stored for several months in cold storage, so applesauce production is relatively uniform throughout the year. The recently hired controller for the firm is about to apply the high-low

WMEJ University Television Station: Cost per Broadcast Hour

WMEJ is an independent television station run by a major state university. The station's broadcast hours vary during the year depending on whether the university is in session. The station's production-crew and supervisory costs are as follows for July and September. Cost Item Cost Behavior Cost Amount Broadcast Hours

Task-Cost

Riverside Florists uses an activity-based costing system to compute the cost of making floral bouquets and delivering the bouquets to its commercial customers. Company personnel who earn $210,000 typically perform both tasks; other firm-wide overhead is expected to total $50,000. These costs are allocated as follows: Bouq

Equivalent Units of Activity, Cost per Equivalent Unit, Returns

Scrooge and Zilch, a public accounting firm in London, is engaged in the preparation of income tax returns for individuals. The firm uses the weighted-average method of process costing for internal reporting. The following information pertains to February. (£ denotes the British monetary unit, pounds sterling.)* Returns in

Redwood Company: Schedule Total Selling Costs of Knitting Boxes

Redwood Company sells craft kits and supplies to retail outlets and through its catalog. Some of the items are manufactured by Redwood, while others are purchased for resale. For the products it manufactures, the company currently bases its selling prices on a product-costing system that accounts for direct material, direct labo

Managerial Accounting for Decision-Makers at any Level

1)How are managerial accounting concepts useful for a decision-maker at any level in an organization? Make sure to include different levels of decision-makers in your reply. 2)In what ways can management accountants enhance the performance evaluation procedures in organizations? Should performance evaluation be based on numer

Management/risk at each level of the corporation is brought

The course is Corporate Risk Management. Justine and Early Engineering, Inc. wants to assure that they fully integrate the risk register at the corporate, SBU and project levels. The risk management process looks like: Management: Strategic Level: Corporation Risk: Finance Tactical Le

Lights, Camera, and More

1. Lights, Camera, and More sells filmmaking equipment. The company offers three purchase options: (1) pay full cash today, (2) pay on-half down and the remaining one-half plus 10% in one year, or (3) pay nothing down and the full amount plus 15% in one year: George is considering buying equipment from lights, Camera, and Mor

Break-Even in Units for Revenue to Equal Total Cost

22 Assume a fixed cost for an investment in a piece of equipment of $15,000, a variable cost to produce each unit of product with the equipment at $10, and a selling price for the finished product of $25. Which of the following is the break-even in units that would have to be produced and sold for total revenue to equal total co

Managerial Economics Problems

Please help with the following problems. Suppose that the economist of Corporation XYZ estimates the following long run cost function for a product M that the company produces and sells. TC = 5Q2 + 10Q +180 The market price for product M is fixed at P = $70 a. What is the total fixed cost? b. What is the total vari

Portland Company produces parts for medical devices. Standard cost variances.

Portland Company produces parts for medical devices. These parts are made of pre-cast titanium metal and are used primarily in the construction of ventricular assist devices (VADs). The VAD is implemented alongside a patientâ??s native heart and designed to take over the pumping ability of the heartâ??s left ventricle, and a

Managerial Accounting - Capital Investment Decisions

Some nonfinancial factors included in capital investment decisions are more important now than they were 20-25 years ago. Give some examples of the types of nonfinancial factors that managers would consider more important in today's capital investment decisions than they were in the past.

Case Study/Managerial Accounting: Springfield Express

Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available: Number of seats per passenger train car 90 Average load factor (percentage of seats filled) 70% Average full passenger fare $160 Average variable cost per passenger $70 Fixed operating cost per

Unit Product Cost

Job 827 was recently completed. The following data have been recorded on its job cost sheet: Direct Materials - $61,050 Direct Labor Hours - 1332 DL Wage Rage - $14 / hr Machine Hours - 1480 # Units Completed - 3700 The company applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rat

Calculating income elasticity of demand advertising elasticity

Suppose you have the following hypothetical demand or sales function. Qx= -4Px+2Py+0.20I+0.04A and PX = $200, (price of good X) PY =$230, (price of good Y) I = $1,500 (disposable per capita income) A =$12,000 (advertizing expenditures) 1. Calculate the income elasticity of demand for product X when I= $1,500. How c

Managerial Accounting

Assume that a commercial airplane manufacturing company's annual fixed costs for the widebody passenger jet are $1,425 million, and its variable cost per airplane is $90 million. The price for a 240-passenger plane with a range up to 4,010 miles is about $105 million per plane. Compute the company's break-even point in numb

Managerial Accounting: Importance of Price and Volume

1. Why is it important to investigate both price (rate) and volume (efficiency) variances when rewarding employees for satisfactory work when performance evaluations are based on meeting budgets? 2. What are some qualitative considerations that might be helpful in employee performance evaluations?