Dakota Case Study

1366 Words6 Pages
Case Study

Dakota Office Supply

Shadi Wadi-Ramahi

Instructor: Roger Waibel

MBA 510
Financial and Managerial Accounting

Master of Business Administration
School of Adult and Extended Learning
Oakland City University

September 30th,2010

* Contents
1 Background Information 3
1.1 People / Key Players 3
1.2 Chronology of Key Relevant Events 3
1.3 Key Facts 4
1.4 Concepts 4
1.5 Assumptions 4
1.6 Point of View 5
2 Problem Statement 5
3 Problem Causal Analysis 5
4 Management Theory, Process, Approach 5
5 Recommendations 6
6 Assessment 6
7 Implications 6
8 Answer to questions 7
9 References 9

1 Background Information
Dakota Office Products (DOP) is a regional distributor of office supplies with
…show more content…
Please see calculations below Dakota Office Products | Income Statement year 2000 for Customer A & B | | | | | Customer A | Customer B | | | | | Dollar | Percent | Dollar | Percent | Sale | $ 103,000 | 121.2% | $ 104,000 | 122.4% | Cost of Items Purchased | $ 85,000 | 100% | $ 85,000 | 100.0% | Gross margin | $ 18,000 | 21.2% | $ 19,000 | 22.4% | Warehousing, Distribution & Order Ent. | $ 11,930 | 14.0% | $ 18,520 | 21.8% | Total Expense | $ 11,930 | | $ 18,520 | | Net Income Before Taxes | $ 6,070 | 7.1% | $ 480 | 0.6% |

4. Customer B has higher overhead cost that actually thought, while customer A ended up with a lower overhead cost. This in return affected the net income. 5. No limitations since all values are given. 6. Customer A pays their invoices faster than customer B, this is
Open Document