Managerial Accounting in Today's Environment Suggest at least four reasons that indicate that managers need to be knowledgeable about, understand, and use accounting information, even if not working as accountants. Enumerate and briefly explain how management accounting and financial accounting differ. Do not reproduce the
PTC LTD -Tutorial Home Work- Week 9 PTC Ltd is an owner managed bakery business that has seen a large increase in sales over recent months. The owner/manager, James Weelan, feels that the business needs a more formal management accounting system and has approached you to ask for advice on some specific areas. To date, Jam
Redsmith Manufacturing Case Study Redsmith Manufacturing produces only a single product in its solo shop called the Grand Mar. Redsmith Manufacturing has been conducting business for 10 years and management has recently decided that they may want to consider adding more products to their line to keep up with the changing tec
Electric Machines makes two grades of gears for industrial machinery: standard and heavy duty. The process requires two steps. Step-1 takes 8 minutes for the standard gear and 10 minutes for the heavy duty. Step-2 takes 3 minutes for the standard gear and 10 minutes for the heavy duty. The company's labor contract requires that
Two bookstores are competing for customers. Both bookstores can decide to offer discounts to attract more customers. Bookstore-A has a 30% probability of offering a discount. The probability that Bookstore-B will offer a discount is unknown, and is represented by P. The payoffs for the bookstores depending on whether discounts a
A gardener can use one of the three brands of fertilizers during the next growing season. The following decision table attached shows the expected gross income per acre for each fertilizer brand and weather condition for the growing season. The chance of dry season is shown by probability P. Find the range of P values where Bran
Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs. Variable Cost per Unit Direct materials $8.25 Direct labor $2.70 Variable manufacturing overhead $6.33 Variable selling and administrative expenses $4.29 Fixed Costs p
A business owner used a revenue function and a cost function to analyze his monthly sales. One month he found that with a sales volume of 600 items he had revenues of $54,000. Another month he had total costs of $20,800 on a sales volume of 400 items. He also finds that the break even point is 20 items. a. Find the revenue f
Assume that you are a member of an accounting consulting firm, advising a law firm on the advisability of selecting a process costing or a job costing structure for your firm. Assume that the law firm provides litigation, estate planning and corporate legal services with multiple levels of billing rates. Which costing method sh
What is the importance and purpose of comparative analysis (vertical and horizontal)?
I need assistance with a paper on Papa John Restaurant corporation. Visit its website and download its 2013 financial statements. http://ir.papajohns.com/annuals.cfm The paper has to be no more than 1300 words in which you conduct a comparative and ratio analysis to measure profitability and liquidity.
The accounting managers wants to hire a management accountant to develop and implement internal controls. The CEO does not understand how this would help the firm. Prepare a memo to tell the CEO the reasons this hire is a good idea. Be sure to explain the following in the memo: *Objectives and characteristics of an internal
Comparison of Performance Using Return on Investment (ROI) Comparative data on here companies in the same service industry are given below: Company
Problem 1 Topaz Company makes one product and has set the following standards for materials and labor: Direct materials Direct Labor Standard quantity or hours per unit..... ? pounds
Please provide any assistance towards solving each part of the problem (i.e. what equations or numbers to use, further explanation of the questions being asked, etc.) Thank you. In recent years, there has been a lot of media coverage about the funding status of pension plans for state employees. In many states, the amount of
Ethical issue Effect of decisions on ratio XYZ's (name of the company) long term debt agreement makes certain demands on the business. For example, XYZ may not purchase treasury stock in excess of the balance of retained earnings. Also, long term debt may not exceed stockholders equity, and the current ratio may not fall below
Ratio company A company B Return on equity 21.50% 32.30% Return on assets 16.40% 17.10% Days sales in receivables 42 36 Inventory turnover 8 6 Gross profit % 51% 53% Net
A company makes remotely controllable model airplane. The company has two divisions, D1 and D2. Division D1 makes airplane model kit. Division D2 assembles and configures model airplane. A new airplane model has been developed of which the company will sell for $160 each. Division D2 of the company has planned to produce 1
XYZ is a toy manufacturer. It manufactures both toy components and finished toys. For a specific type of toys, the manufacturer can sell the components to an assembly company for $10 per set, or assemble the toys itself. The finished toys can be sold for $16 each. XYZ has a total capacity of 500,000 hours, which could be u
Take the role of an investment analyst at X Company. It is your job to recommend investments for your clients. The only information you have are some ratio values for two companies the pharmaceutical industry. Write a report to X Company's investment committee. Recommend on e company's stock over the other. State the reason f
Research and find financial statements for two companies of your choosing. Analyze the statements and compare the two companies, explaining which of the two is a better investment for the shareholder. Include a citation for the financial statements. For instance, compare two technology companies such as Microsoft and the Hewlett
Several years ago, Einstein, Inc bought 40 percent of the outstanding voting stock of Brooks Company. The equity method is appropriately applied. On August 1 of the current year, Einstein sold a portion of these shares. a. How does Einstein compute the book value of this investment on August 1 to determine its gain or loss on
Silverstone's production budget for March called for making 39,700 units of single product. The firm's production standards allow one-quarter of a machine hour per unit produced. The fixed overhead budget for March was $35,333. Silverstone uses an absorption costing system. Units
The standards for one case of liquid weed killer are: Direct materials 6lbs@$7.5/lb. Direct labor 3.6 hrs.@$16/hr Variable overhead (based on machine hours) 1.2hrs.@$5.5/hr During the week ended August 6, the following activity took place: 4, 765 m
Following is a partially completed performance report for a recent week for direct labor in the binding department of a book publisher: Original Budget Flexed Budget Actual Budget Variance Direct labor $10,290 $11,000 The original budget is based on th
DMA, Inc. processes corn into starch and corn syrup. The company's productivity and cost standards follow: From every bushel of corn processed, 14 pounds of starch and 4 pounds of syrup should be produced. Standard direct labor and variable overhead total $0.51 per bushel of corn processed. Sta
Lakeway Manufacturing Co. manufactures and sells cleaning products. The company's research department has developed a new cleaner for which a standard cost miust be determined. The new cleaner is made by mixing 7 quarts of triphate solution and 4 pounds of sobase granules and boiling the mixture for several m
Brass Creations Co. Makes decorative candle pedestals. An industrial engineer consultant developed ideal time standards for one unit of the Cambridge model pedestal. The standards follow, along with the cost accountant's determination of current labor pay rates; Worktype 1 0.19 hour @12.46 per hour Worktyp
Why aren't actual manufacturing overhead costs traced to jobs just as direct materials and direct labor costs are traced to jobs?
Explain the connection between value stream and profit and loss