(1)
Overhead: It is the indirect cost which is not directly related to any product. These are the cost which cannot be identified with any product directly. So, the company distributes these costs on the product on some specified basis.
To identify:
The product line with highest overhead cost if it is being assigned on the basis of their sales.
(2)
Overhead: It is the indirect cost which is not directly related to any product. These are the cost which cannot be identified with any product directly. So, the company distributes these costs on the product on some specified basis.
To discuss:
The product line with lowest overhead cost if it is being assigned on the basis of their sales.
(3)
The change observed in the sales volume when compared to the previous year’s data in terms of ratio or percentage.
To compute:
The ratio of change in sale from last year to current year.
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Managerial Accounting
- The following revenue data were taken from the December 31, 2017, General Electric annual report (10-K): For each segment and each year, calculate intersegment sales (another name for transfer sales) as a percentage of total sales. Using Microsoft Excel or another spreadsheet application, create a clustered column graph to show the 2016 and 2017 percentages for each division. Comment on your observations of this data. How might a division sales manager use this data?arrow_forwardThe following revenue data were taken from the December 31, 2017, Coca-Cola annual report (10-K): For each segment and each year, calculate intersegment sales (another name for transfer sales) as a percentage of total sales, Using Microsoft Excel or another spreadsheet application, create a clustered column graph to show the 2016 and 2017 percentages for each division. Comment on your observations of this data. How might a division sales manager use this data?arrow_forwardWachowski Company reported these cost data for the year 2017. Use the data to complete the following table. Total prime costs Total manufacturing overhead costs Total conversion costs Total product costs Total period costsarrow_forward
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- Principles of Accounting Volume 2AccountingISBN:9781947172609Author:OpenStaxPublisher:OpenStax College