A new store manager has been provided with performance measures for his evaluation. As he reviews these measures, he is having difficulty understanding three sets of accounting terms variable and fixed costs vs. period and product costs vs. controllable and non-controllable costs. Required: Explain the difference between these terms to the new store manager along with some practical examples of each type to help him get a better understanding of these terms. (Ctrl)- I
Q: Below is a list of activities for Blue Angus Incorporated. Required: For each activity, indicate the…
A: The accounting equation states that assets equal to sum of liabilities and equity. The accounting…
Q: Logan Future Factory is producing its cost of sales budget. Direct materials are budgeted to be 50%…
A: The question is based on the concept of Cost Accounting. Cost of sales is the sum of direct material…
Q: The Gym Company produces weights in different sizes and sells them to gym equipment distribution…
A: Product cost: The product cost is the cost that is incurred specifically in the manufacturing of the…
Q: Mention some ways other than cost-cutting that will improve company operations.
A: When making and analyzing the financial statements of a company we keep an eye on two main…
Q: Lawson Consulting had the following accounts and amounts on December 31. Cash $ 5,000 Dividends $…
A: A balance sheet is defined as a type of financial statement that proves the establishment of an…
Q: variable cost per unit
A: The variable cost per unit is the amount of labor, materials, and other resources required to…
Q: The FIFO method separates work done on beginning inventory in the previous period from work done on…
A: In process costing there is two methods to treat beginning work-in-process inventory. In weighted…
Q: Question What is cash and cash equivalents while preparing cash flow statement?
A: INTRODUCTION: A cash flow statement shows how much money enters and leaves your company in a…
Q: November -The business, Miraflor Proprietorship, was registered as a single propr with the…
A: COA stands for chart of accounts (COA) which is tool of accounts or finance that index of each and…
Q: Suppose management decided to produce both products. If the two models are sold in equal…
A: The contribution margin is calculated as difference between sales and variable costs. The break even…
Q: Blossom Inc. is a calendar-year corporation. Its financial statements for the years 2022 and 2021…
A: The question is based on the concept of Financial Accounting. When ending inventory is overstated it…
Q: Bank Islam entered into an Ijarah contract with Tamrin Bhd to lease an equipment for a period of 4…
A: The term "lease" refers to a particular kind of contract wherein the owner of the asset or property…
Q: Wildhorse Co. has delivery equipment that cost $54,600 and has been depreciated $23,500. Prepare a…
A: The question is based on the concept of Financial Accounting. Where any asset is disposed of at a…
Q: A factory makes wooden chairs.Which of the following items would be most likely to behave as stepped…
A: Stepped Costs Step costs are expenses that stay unchanged for a level of physical activity but…
Q: (a) Calculate the equivalent units of production for materials and conversion costs for the month of…
A: EQUIVALENT UNITS OF PRODUCTION Equivalent Production is represents the production of a process in…
Q: ! Required information [The following information applies to the questions displayed below.] Fred…
A: Gross income is the total income that includes capital gains, wages, business income, dividends,…
Q: The comparative balance sheets for 2021 and 2020 and the statement of income for 2021 are given…
A: Cash flow statement shows the cash inflow and cash outflow of the company that represents the cash…
Q: Service industry; journal entries and CSR Kalogrides & McMillan CPAS incurred the following costs in…
A: The process of originally recording commercial transactions in the books of accounts is known as a…
Q: Applying Factory Overhead. Hatch Company estimates that total factory overhead costs will be $36,000…
A: Factory overheads are the aggregate of indirect materials, labor, and other costs that cannot be…
Q: Partially completed T-accounts and additional information for Dumfries Designs for the month of…
A: Total Manufacturing Cost :— It is the sum of direct material used, direct labour and manufacturing…
Q: Coronado Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops…
A: Liability: Any amount that needs to be paid after a fixed time interval is known as a liability of…
Q: Mean Beans, a local coffee shop, has the following assets on January 1, 2023. Mean Beans prepares…
A: Depreciation expense is recognise to book expenses of Fixed assets over the period of that asset.…
Q: Can you help explain the computations on this problem: E. Corp issued 2,000 $1,000 bonds at 101.…
A: Lets understand the basics. When bond is issued with detachable stock warrent and if we are using…
Q: Before the year began, Brookville Manufacturing estimated that manufacturing overhead for the year…
A: The overheads are the cost that are not related directly to the production of goods and services.…
Q: rim Inc., which owes Habib Co. SAR 900,000 in notes payable, is in financial difficulty. To…
A: Troubled Debt restructuring:- A debt restructuring is a concept where the lender / Creditor allows…
Q: If a company invested $2,000,000 in a stock, and that stock declared bankruptcy in year 3. How would…
A: Bankruptcy: Bankruptcy is the term used by organizations when they are unable to meet their…
Q: Determine the single-value effective tax rate for a corporation that has a federal tax rate of 39%…
A: Effective tax rate is a single tax rate which determines overall tax paid on income. We can say that…
Q: Present value of an annuity Determine the present value of $200,000 to be received at the end of…
A: Time value of money :— According to this concept, value of money in present day is greater than the…
Q: Don't give answer in image format
A: Subscription and Delinquency of Shares A way for a business to raise money. The general public is…
Q: Completing the Payroll Register The Employee Payroll Register presents all the computations…
A: The payroll process is related to calculating the gross pay, all the applicable taxes, allowed…
Q: Luzadis Company makes furniture using the latest automated technology. The company uses a job-order…
A: The overhead underapplied or overapplied is adjusted to cost of goods sold or the inventory accounts…
Q: A Accounts Payable AA Losses due to fire B Accounts Receivable BB Merchandise Inventory E…
A: Straight line method of Depreciation: Depreciation and amortisation, often known as the process of…
Q: accounting policies
A: Accounting policies mean the set of principles laid down by a venture’s management. These policies…
Q: Following are the transactions of Green Energy Company. May 1 The company provided $2,000 of…
A: The accounting equation states that assets equal to sum of liabilities and equity. The accounting…
Q: P19.5 (LO.3) Groupwork (Recognition of NOL) Jennings plc reported the following pretax income (loss)…
A: One of the three key financial statements that summarise a company's financial performance over a…
Q: Wolsey Industries Inc. expects to maintain the same inventories at the end of 2016 as at the…
A: The question is based on the concept of Cost Accounting. Income Statement: It is a part of the…
Q: On 1 January 20X1, Tyler Trading Corp. was incorporated by Jim Tyler, who owned all the common…
A: The accounting income refers to the earned income. The company purchases goods and sell at higher to…
Q: Global Advertising Company handles the advertising and promotion of various clients offering a…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. Accounts…
Q: Required information [The following information applies to the questions displayed below.] Martinez…
A: DIRECT MANUFACTURING COST Cost which is directly associates with the production of Manufacturing of…
Q: What is accounting and how does it help you manage your personal finances?
A: Accounting is process which includes evaluation, summarizing, analysing, posting and reporting the…
Q: Q. On August 1, 2018, Queen Corporation, a newly formed company had the following shares issued and…
A: Issue of shares is one of the important source of finance in the business. This issue of shares can…
Q: pany's records provide the following information concerning certain account balances and changes in…
A: Answer :Sales revenue = Cash collection + Allowance for doubtful account written off - Opening…
Q: Classify business transactions into five key accounts namely revenue, expenses, assets, liabilities…
A: An account is a particular entry in the balance sheet or financial ledger of a business. Accounts…
Q: The following is list of accounts each represented by letter(s). A Accounts Payable AA Losses…
A: A bond is a source of funds that a company issues to another person or company, and those who hold…
Q: "Our auditors identified the following critical audit matter: Significant judgment may be required…
A: ANSWER:- c) 10-k Explanation For correct option:- The 10-K is an annual report that is required to…
Q: The following information was taken from the records of Sheridan Inc. for the year 2025: Income tax…
A: Income Statement - Income Statement includes income earned and expenses incurred during the…
Q: On June 30, 2025, Daniel Jackson Company issued $3,990,000.00 face value of 14%, 20-year bonds at…
A: Bond :— It is one of the type of securities that pays fixed periodic interest and face value amount…
Q: Date 2020 June 1 1 3 3 8 9 13 20 28 28 Date May 31 June 1 6 8 9 10 10 14 20 23 28 30 GENERAL…
A: Cash and cash equivalents - is one of the items of current assets shown in the balance sheet which…
Q: Golden Corporation's current year income statement, comparative balance sheets, and additional…
A: CASH FLOW STATEMENT Cash flow statement is additional information to user of financial statement.…
Q: Select the images below to enlarge. Balance Sheet Murawski Company Balance Sheet December 31 Current…
A: The ratio analysis helps to analyse the financial statements of the business with various elements…
please provide explanation of each and examples thank you
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Discuss how, as warehouse manager for Vinnies Vinyls, you view the different rate of allocated costs the warehouse is being charged compared to the West store. Describe the implications of this. What steps could you take to solve this discrepancy? What alternatives would you consider, assuming management is willing to consider making changes in the rate?As manager of department B in MarIeys Manufacturing, based on the costs you identified in the previous exercise for further research, how does this impact the financial performance of your department, and what might be some questions you want to ask or solutions you might propose to Marleys management?Continuous improvement is the governing principle of a lean accounting system. Following are several performance measures. Some of these measures would be associated with a traditional standard-costing accounting system, and some would be associated with a lean accounting system. a. Materials price variances b. Cycle time c. Comparison of actual product costs with target costs d. Materials quantity or efficiency variances e. Comparison of actual product costs over time (trend reports) f. Comparison of actual overhead costs, item by item, with the corresponding budgeted costs g. Comparison of product costs with competitors product costs h. Percentage of on-time deliveries i. First-time through j. Reports of value- and non-value-added costs k. Labor efficiency variances l. Days of inventory m. Downtime n. Manufacturing cycle efficiency (MCE) o. Unused (available) capacity variance p. Labor rate variance q. Using a sister plants best practices as a performance standard Required: 1. Classify each measure as lean or traditional (standard costing). If traditional, discuss the measures limitations for a lean environment. If it is a lean measure, describe how the measure supports the objectives of lean manufacturing. 2. Classify the measures into operational (nonfinancial) and financial categories. Explain why operational measures are better for control at the shop level (production floor) than financial measures. Should any financial measures be used at the operational level? 3. Suggest some additional measures that you would like to see added to the list that would be supportive of lean objectives.
- Consider the following quality improvement strategy as expressed by a series of if-then statements: If real-time feedback information capabilities improve, then post-sales service time will improve. If post-sales service time improves, then post-sales service quality will increase. If post-sales service quality increases, then customer satisfaction will increase. If customer satisfaction increases, then market share will increase. If market share increases, then sales will increase. If sales increase, then profits will increase. Required: 1. Prepare a strategy map that shows the cause-and-effect relationships of the quality improvement strategy (see Exhibit 13.10 for an illustrative example). 2. Explain how the quality improvement strategy can be tested.The following series of statements or phrases are associated with product life-cycle viewpoints. Identify whether each one is associated with the marketing, production, or customer viewpoint. Where possible, identify the particular characteristic being described. If the statement or phrase fits more than one viewpoint, label it as interactive. Explain the interaction. a. Sales are increasing at an increasing rate. b. The cost of maintaining the product after it is purchased. c. The product is losing market acceptance and sales are beginning to decrease. d. A design is chosen to minimize post-purchase costs. e. Ninety percent or more of the costs are committed during the development stage. f. The length of time that the product serves the needs of a customer. g. All the costs associated with a product for its entire life cycle. h. The time in which a product generates revenue for a company. i. Profits tend to reach peak levels during this stage. j. Customers have the lowest price sensitivity during this stage. k. Describes the general sales pattern of a product as it passes through distinct life-cycle stages. l. The concern is with product performance and price. m. Actions taken so that life-cycle profits are maximized. n. Emphasizes internal activities that are needed to develop, produce, market, and service products.Assume you have been hired by Cabelas Sporting Goods. As part of your new role in the accounting department, you have been tasked to set up a responsibility accounting structure for the company. As your first task, your supervisor has asked you to give an example of a cost center, profit center, and an investment center within the Cabelas organization. Your supervisor is a little unsure of the difference between a profit center and investment center and would like you to explain the difference.
- Kathy Shorts, president of Oliver Company, was concerned with the trend in sales and profitability. The company had been losing customers at an alarming rate. Furthermore, the company was barely breaking even. Investigation revealed that poor quality was at the root of the problem. At the end of 20x5, Kathy decided to begin a quality improvement program. As a first step, she identified the following costs in the accounting records as quality related: Required: 1. Prepare a quality cost report by quality cost category. 2. Calculate the relative distribution percentages for each quality cost category. Comment on the distribution. 3. Using the Taguchi loss function, an average loss per unit is computed to be 15 per unit. What are the hidden costs of external failure? How does this affect the relative distribution? 4. Shortss quality manager decided not to bother with the hidden costs. What do you think was his reasoning? Any efforts to reduce measured external failure costs will also reduce the hidden costs. Do you agree or disagree? Explain.Evaluating selling and administrative cost allocations Gordon Gecco Furniture Company has two major product lines with the following characteristics: Commercial office furniture: Few large orders, little advertising support, shipments in full truckloads, and low handling complexity Home office furniture: Many small orders, large advertising support, shipments in partial truckloads, and high handling complexity The company produced the following profitability report for management: The selling and administrative expenses are allocated to the products on the basis of relative sales dollars. Evaluate the accuracy of this report and recommend an alternative approach.Aaron McKinney is a cost accountant for Majik Systems Inc. Martin Dodd, Vice President of Marketing, has asked Aaron to meet with representatives of Majik Systems major competitor to discuss product cost data. Martin indicates that the sharing of these data will enable Majik Systems to determine a fair and equitable price for its products. Would it be ethical for Aaron to attend the meeting and share the relevant cost data? Explain your answer.
- These are measures not found in the chart of accounts, such as customer satisfaction scores or product quality measures. A. Quality measures B. Non-financial measures C. Financial Measures D. Balanced Scorecard A manager would like to see reduction of the following operational measures, except: A. Spoilage B. Number of customer complaints C. Queue time D. Manufacturing Efficiency1. There is a significant decrease in unit sales. Which of the following would be the LEAST likely action among the different departments? a. Consult with marketing and sales to determine whether there are changes in customer preferences. b. Review changes in technology and determine whether there is obsolescense in the products and the production process c. Inquire with the after-sales service whether there are indications of high level of unresolved customer complaints. d. Communicate with inbound logistics and determine whether raw materials contributed to increase in product failure. 2. The internal cost analysis process involves the following in what order? (A) Identify the links between the process and check for opportunities to lower costs, (B) Identify the value creating processes and the cost of each, (C) Identify the cost driver for each process and the cost per activity level. a. A, B, Cb. C, A, Bc. B, A, Cd. B, C, A 3. This stage of…For each of the following items, identify which of the managementaccounting guidelines applies: cost–benefit approach, behavioral and technical considerations, ordifferent costs for different purposes.1. Analyzing whether to produce a component needed for the end product or to outsource it.2. Deciding whether to compensate the sales force by straight commission or by salary.3. Adding the cost of store operations to merchandise cost when deciding on product pricing, but onlyincluding the cost of freight and the merchandise itself when calculating cost of goods sold on theincome statement.4. Considering the desirability of purchasing new technology.5. Weighing the cost of increased inspection against the costs associated with customer returns of defectivegoods.6. Deciding whether to buy or lease an existing production facility to increase capacity.7. Estimating the loss of future business resulting from bad publicity related to an environmental disastercaused by a company’s factory in…