...Chapter 1 Cost Accounting: Information for Decision Making Solutions to Review Questions Financial accounting is designed to provide information about the firm to external users. External users include investors, creditors, government authorities, regulators, customers, competitors, suppliers, labor unions, and so on. Cost accounting systems are designed to provide information to internal users (managers). This difference is important, because it affects the design of the systems. Financial accounting systems are based on standards or rules. This allows the user to compare the results of different firms. Managerial accounting systems do not require rules. Each firm is free to develop managerial accounting systems that best serve the needs of the decision makers (managers). B Providing cost information for financial reporting A Identifying the best store in a chain C Determining which plant to use for production The value chain is the set of activities that transforms raw resources into the goods and services end users purchase and consume. The supply chain includes the set of firms and individuals that sells goods and services to the firm. The distribution chain is the set of firms and individuals that buys and distributes goods and services from the firm. The customers of cost accounting are managers, from plant managers to the CEO. Value-added activities are activities that customers perceive as adding utility to the goods or services they purchase. Nonvalue-added...
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...Research or Interview Paper Instructions You can choose 1 of the following two options for your Research or Interview Paper. Your paper will be 7 double-spaced pages for the main content (not including the cover page and reference page). Your choices include: 1. A research paper Steps for writing the research paper: a) Choose a topic in Managerial Economics. b) Submit the topic and the outline of the paper to the instructor anytime for approval. c) A minimum of 3 references besides the textbook are required. Liberty University library has excellent resources for your search for journals. http://www.liberty.edu/index.cfm?PID=178 OR 2. An interview paper Steps for writing the interview paper: a) Choose a topic in Managerial Economics. b) Design at least 5 questions according to the topic. c) Submit your questions to the instructor for approval. d) Contact a local or non-local company for an interview. e) Conduct the interview for answers to your questions. f) The paper must have 3 parts: • The description of the company; • Interview questions and answers; and • Your comments. *The research paper is to be done individually, not as a group. **Do not wait until the last module/week to work on the paper. Do it as early as possible. ***A paper that was written for other classes would not be accepted for...
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...Case Study: Chapter 8 Aaron Lambert Saint Leo MBA 540 Managerial Economics Analyzing Managerial Decisions: Leaving New York for the Farmlands of Illinois While the co-workers may be rightly supportive of the individual’s aspirations, they are likely not qualified to advise him on this matter. The individual claims to have $800,000.00 saved from bonuses at his current place of employment. Based on that information alone, it appears that he is considering walking away from what seems like a fairly secure and profitable situation at his current job and committing to a new and less certain endeavor. With reports implying that demand for corn will soar the farming proposition may seem like a good idea; however, our potential farmer needs to consider other factors. The costs associated with acquiring the land are known and estimated to be $800,000.00, but there are other costs involved that are considerable and quite fixed. He will need to purchase farming equipment and machinery, which will require much more cash upfront in addition to the land. These fixed costs definitely need to be factored into the decision but are omitted in the text. If he has a lot more of that bonus money remaining, he could purchase the machinery outright. If paying cash is not possible he will need to take up a loan, lease, or rent; either option resulting in additional expenses incurred each period. Based on an article published by the University of Illinois in 2014, corn farmers in Illinois...
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...MID-TERM EXAM - 1st Semester, 2012 |Date |Time |Course Title & Code |Room No. | |29 June, 2012 |11.00 am ~ 12.30 pm |501: Accounting System & Auditing |502 | |(Friday) | | | | |30 June, 2012 |7.00 pm ~ 8.30 pm |502: Managerial Economics |402 | |(Saturday) | | | | |06 July, 2012 |3.00 pm ~ 4.30 pm |503: Business Communication |502 | |(Friday) | | | | |07 July, 2012 |7.00 pm ~ 8.30 pm |504: Advanced Management |502 | |(Saturday) | | | | |13 July, 2012 |3.00 pm ~ 4.30 pm |503: Business Communication...
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...Indiana University’s head basketball coach and became a legend there. Coach K. was the head coach at Duke University since 1980. A fact of interest, both of these two men knew each other in an earlier time. Coach Knight had been Mike Krzyzewski’s basketball coach when he played for the United States Military Academy at West Point. It was there they began to build a relationship of trust and respect that would follow and remain with them throughout both of their careers and beyond, as they were also friends. Each of these men have differing ways in which they lead their teams, but there are leadership styles which they shared when it came to coaching. When taking the model which Robert Katz developed we can see there are skills that did account for their success. Coach Knight held two of the leadership traits that were professed by Katz. Those were technical skills and conceptual skills. He had the ability to know exactly was needed and how to make changes based on each individual situation. According to Katz’s model, Coach Knight did not have human skills. He was known for his roughness (e.g; using high levels of profanity and throwing objects onto the court). He did not have human kindness or humble qualities. A professional career basketball player by the name of Isiah Thomas was also coached by Coach Knight. Thomas remarked that Coach Knight was intimidating and used much profanity while coaching him. (Alford, 1990) The contrast is apparent when comparing Coach K. to Coach...
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...tEXECUTIVE SUMMARY The paper identifies different source and causes of different types of conflict in the work place. Analysis of the conflict was done with the aid of Blake and Mouton’s model of conflict management. The paper reflects on a real life observation using brightlands care home. Conflicts observed in the home were analysed and discussed. Manager positions in handling the conflict were also analysed using Blake and Mouton’s conflict management style model. Five conflict management style (competitor, collaborator, compromiser, accommodator and avoider) were used to analysed the conflict were based on the research of Blake and Mouton (1964). Using the conflict scenario, the paper critically discussed various approach towards conflict resolution within and between groups. 1.0 INTRODUCTION Conflict is a normal and natural aspect of life and the working environment hardly do without one form of conflict or the other. Conflict in the workplace is a well known daily phenomenon and it is on the increase. It is worth saying that a conflict free company never existed and will never exist. Tension, cultural differences, aggressions, antagonisms, negative attitude and frustration will usually exists especially wherever men are forced to live and work together. . Burton (1972) said in his book that Conflict, like sex is an essential creative element in human relationships. It is the means to change, the means by which our social values of welfare, security, justice and...
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...Running head: Leadership Styles Leadership Styles Kellie Napper Grand Canyon University LDR 600 Leadership Styles and Development September 18, 2012 Leadership Styles Leaders have many different styles and approaches they take when evolving to becoming a great leader. It takes many years of practice to perfect a craft within certain individuals. Some crafts are more defined than others; never the less these skills are done to win over individuals in work environments and major league football teams. According to Katz (1955) there are three basic administrative needs that should be present for managers to be effective which are conceptual, human, and technical. Coach K’s approach contained both conceptual and human skills. Coach K was able to come up with an approach that was comfortable for both him and the team. He did not want to come with a lot of rules that no one would follow. Growing up Coach K spent a lot of time with his family. As he became an adult his wife and children were very important to him. This is the typed of approach he took with his team. Coach K lacked in my opinion in the technical area. He was not all about a lot of drills and long practices. Coach Knight’s approach contained conceptual and technical skills. Coach Knight had very little room for error. He drilled step by step plays into his players. He believed in practicing long hours and if you could not follow the rules you would be kicked out of practice. Coach Knight taught...
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...1. Main roles of manager is leadership, leading your team, figurehead, people look up to you as a person of authority, liaison, you need to be able to network effectively, monitor, you must be able to monitor your team in both productivity and their wellbeing, spokesperson, you must be able to represent your company, Negotiator, negotiator within your team or department, people development, developing structure, procedures and policies. Hazif’s main role is production manager he is a great team leader and makes sure rules and regulations are met, he monitors his team well with weekly meetings to discuss problems. He has good people development skills giving monthly reviews to his employees on performance helping empower his team. He has introduced job rotation to build employees skills & knowledge. He rewards his team and creates a positive work culture. 2. Meeting Deadlines: Hazif rewards his employees to ensure all orders are completed and delivered in time and targets are met letting us know how Hazif is performing and if he is getting all deliveries out in time. Accidents at work: As part of the quality culture all staff know the importance to health and safety, all accidents should be recorded thus letting us know if Hazif is making sure all employees are sticking to the health and safety guidelines and how he is performing as a manager. 3. The functional or group approach. In 1973 john Adair theorised and developed an action-centred leadership model to...
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...multiple leadership styles from the commanding officers; Colonel Davenport, Brigadier General Savage, and Major General Pritchard of Pine Tree. Through Colonel Davenport, Major General Pritchard, and Brigadier General Savage at the start of the film we can see the distinct difference between their leadership styles. General Davenport shows a high concern for his navigator trying to take blame for a navigation error that was his navigator’s fault. Davenport shows a high concern for his men and a low or medium concern for production lead me to believe middleman management style. General Savage, who seems to have the exact opposite leadership style, is highly task oriented and shows little if any concern for the men of the 918th. Savage has a managerial style mimicking authority compliance. Major General Pritchard shares the same management style as Savage. Shortly after the conversation Davenport is relieved of his duty and Savage is put in control of the 918th. Pritchard and Savage are both men who believe chain of command stemming from the fact that they are in the military. According to them you must adhere to the chain of command at all times no matter the circumstances. They believe in orders and that orders should be followed exactly. Arrival at the 918th After arriving at the 918th Bomber Group, Savage is presented with a group of poorly motivated and disciplined men. He notices the lax of security at...
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...Goleman, D. (1998). The emotional intelligence of leaders. Leader to Leader,(10), 20-26. According to the Goleman, author of “The Emotional Intelligence of Leaders” there is a difference between rational and emotional intelligence. The article detailed that both are essential to success. Studies that were conducted in hundreds of organizations show that that about two-thirds of the abilities that set apart star performers from the rest are based on emotional intelligence, only one-third of the skills that matter relate to raw intelligence and technical expertise. (Goleman 1998) There are some skills that a leader should possess. The author discussed 5 dimensions of emotional intelligence that are a foundation for specific capabilities of leadership. There is self awareness – when we are thinking about something, this helps us in our decision making. Managing emotions- a leader should be able to control his/her emotions. There was a study done at the Stanford University; four year olds were tested using marshmallows; the ones who were able to wait instead of grabbing a marshmallow immediately show self control. It was later determined at the age of 18; the kids who waited are emotional stable versus the ones who did not wait. Another skill that a leader should possess is the ability to motivate others. In order for a leader to be able to successfully motivate others; he or she needs to be optimistic. Optimists are able to handle setbacks and try again. A leader should also...
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...The Leadership Grid Perhaps the best-known model of managerial behavior is the Managerial Grid®, which first appeared in the early 1960s and has been refined and revised several times (Blake & McCanse, 1985). It is a model that has been used extensively in organizational training and development. The Managerial Grid, which has been renamed the Leadership Grid®, was designed to explain how leaders help organizations to reach their purposes through two factors: concern for production and concern for people (Northouse, 2007). Concern for production refers to how a leader is concerned with achieving organizational tasks. It involves a wide range of activities, including attention to policy decisions, new product development, process issues, workload, and sales volume, to name a few. Not limited to things, concern for production can refer to whatever the organization is seeking to accomplish (Blake & Mouton, 1964) (Northouse, 2007). Concern for people refers to how a leader attends to the people in the organization who are trying to achieve its goals. This concern includes building organizational commitment and trust, promoting the personal worth of employees, providing good working conditions, maintaining a fair salary structure, and promoting good social relations (Blake & Mouton,1964) (Northouse, 2007). The grid theory breaks behavior down into seven key elements such as initiative, inquiry, advocacy, decision making, conflict resolution, resilience, and critique. Initiative...
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...Departments In A Bank As soon as it becomes necessary, on account of volume of business, to divide the work in a bank into divisions, each employing a group of clerks, such division is organized into a department having a department head who is usually a teller, a head bookkeeper, or perhaps a junior officer. In the very large banks the executive staff is itself organized into groups, and there may be a vice - president and one or two assistant cashiers in charge of each important department. The work of a department in a large bank is nothing more nor less than the work of a single man in a small bank, apportioned among several men. For example, the receiving teller in a five-man bank will take the deposit, count the cash, examine the checks, assort them as to place payable, enter them upon the proper records and make a settlement or proof at the end of the day. In a large bank each of these operations is performed by a different man or group of clerks under the direction of the receiving teller, who is head of the department. It may be that he himself will do very little if any of the detail work. He becomes the manager. Frequently we find a department within a department, as for example, the money department within the paying teller's department. The ordinary departments, classified as to group, may be described as follows: Paying Teller's Department (Teller): Pays or certifies checks. In charge of the signature book or cards bearing the authorized signatures of all depositors...
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...FUNDAMENTALS OF ACCOUNTING PRACTICE PROBLEMS SOLUTIONS P1-37 (30 minutes) a. Abercrombie & Fitch Income Statement ($ millions) For Year Ended January 29, 2011 Revenue $3,469 Cost of goods sold 1,257 Gross profit 2,212 Expenses 2,062 Net income $ 150 P1-40 (15 minutes) Gap, Inc. Statement of Stockholders’ Equity For Year Ended January 29, 2011 Common Stock and APIC Treasury Stock Retained Earnings Accum. Oth Comp. Inc Stockholders’ Equity January 30, 2010 $2,990 $(9,069) $10,815 $155 $4,891 Sale of stock 4 4 Purchase of stock (1,797) (1,797) Net income 1,204 1,204 Other comp. income 30 30 Cash dividends (252) (252) January 29, 2011 $2,994 $(10,866) $11,767 $185 $4,080 M2-23 (10 minutes) 2011 2012 Beginning retained earnings $89,089 $ 69,634 Add: Net income (loss) (19,455) 48,192 Less: Dividends 0 (15,060) Ending retained earnings $69,634 $102,766 M2-24 (10 minutes) Johnson & Johnson Statement of Retained Earnings For Year Ended January 2, 2011 Retained earnings, January 3, 2010 $70,306 Add: Net earnings 13,334 Add: Other retained earnings changes (63) Less: Dividends (5,804) Retained earnings, January 2, 2011 $77,773 P2-40 (30 minutes) Balance Sheet Income Statement Transaction Cash Asset + Noncash Assets = Liabil- ities + Contrib. Capital + ...
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...Susan Thompson, Managerial Accountant Assistant From: Danielle Wright Breckenridge, Date: January 8, 2015 Subject: Similarities and differences between financial and managerial accounting Hello Susan, I wanted to start by saying welcome aboard. We are glad to have you as a part of the team hear at EEC and I am sure with your experience and accounting background you are going to be a perfect fit. I do understand that you have spend most of your career working in a financial accounting office preparing journal entries, and you have a great understanding of financial accounting however you have no experience with managerial accounting. I am providing this memo in hopes of giving you with an explanation of the similarities and differences between financial and managerial account, give an example of managerial accounting reports, show how management might use information to make decisions and show an example of the horizontal analyzes, vertical analyzes and ratio reports. People may think that financial and managerial accounting is the same thing. On the surface, the actual number crunching of financial data contains a lot of similarities and both accounting types use much of the same data. While it is true there are some similarities, there are also some distinct differences. By taking a closer look at both types of record keeping, these differences become a bit more apparent as they each serve their own function and purpose. |Managerial Accounting ...
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...is a free essay on "Dell's Working Capital" from Anti Essays, your source for free research papers, essays, and term paper examples. Group Case: Dell's Working Capital Fundamentals of Managerial Finance 1) How was Dell's working capital policy a competitive advantage? Dell Computer Corporation in the mid-90s was using a just in time order fulfillment system and accurate forecasting to reduce its inventories to the lowest possible levels in the highly competitive PC market where profit margins are very small. This working capital policy allowed Dell to achieve higher levels of liquidity and inventory turnover than its competitors. As a result Dell was able to have a quicker response than its competitors every time the computer industry released new microprocessors and operating systems which proved to be key in obtaining a privileged competitive advantage over major PC manufacturers of the time, such as Apple, IBM, and Compaq. 2) How did Dell fund its 54% growth in 1996? Dell decided to incorporate key performance metrics such as growth, liquidity, and profitability to monitor and adjust its operating procedures to meet its ROIC (Return on Invested Capital) and CCC (Cash Conversion Cycle) goals. In 1996 Dell reduced its days sales of inventory from 34 to 31, improved they accounts receivables from 47 down to 42 days, and maintained low liquidity risks by keeping cash conversion cycle on an average of 40 days. Dell was able to fund its 54% growth maintaining their...
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