...ACCT310-1201B-04 | UNIT 3: MANAGERIAL ACCOUNTING | THE SKI PRO CORPORATION | | | 2/26/2012 | | Abstract The Ski Pro Corporation produces and sells a successful line of water skis, in an effort to stabilize sales the company is considering the production of cross – country skis. To reduce losses during the testing phase of the new product line Ski Pro is going to introduce one type of winter ski; if it is successful they will continue the expansion. The new ski is a mass market ski that requires special binding, based on the figures provided for this assignment I am going to answer four questions about how the Minnetonka Ski Pro Corporation should conduct their expansion. All answers will revolve around cost and production. Question 1: Should the Minnetonka Corporation make or buy the bindings for their new line of winter skis? I believe that the Minnetonka Corporation should buy the bindings because it cost less money to buy them rather then make them. Make | Discount | Calculation | Buy | Totals | Labor | $35.00 | -10% | $35 - ($35 * .1) | $ 31.50 | Material | $30.00 | -20% | $30 - ($30 * .2) | $24.00 | Overhead | $15.00 | -10% | $15 - ($15* .1) | $13.50 | | | | Subtotal | $69.00 | | | | + Bindings | 10.50 | Total | $80.00 | | | $79.50 | Question 2: What would be the maximum purchase price acceptable to the Minnetonka Corporation for the bindings? Competitive companies have been known to maximize profits by producing quantity...
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...AMERICAN INTERCONTINENTAL UNIVERSITY ACTIVITY-BASED COSTING & PROCESS COSTING Managerial Accounting The Ski Pro Corporation, which produces and sells to wholesalers a highly successful line of water skis, has decided to diversify in an effort to stabilize sales throughout the year. The company is considering the production of cross-country skis. This assignment requires that a determination be made with regard to how Ski Pro should proceed in their business endeavors. Included in this assignment is an Excel spreadsheet depicting this scenario Ski Pro must first decide whether or not to make or buy the bindings. Ski pro must look at the avoidable costs and compare them with the cost of purchasing the bindings. The avoidable costs must be considered first because these are the costs which would not be incurred if the bindings were not to be made and represent cost savings for Ski Pro. Against these cost savings, Ski Pro would incur the cost purchasing bindings. If the cost savings are higher, it would be best to purchase the bindings. If the costs are lower, it would better for Ski Pro to make the bindings. Avoidable costs are expenses that can be avoided if a decision is made to alter the course of a project or business. Avoidable cost refers to variable costs that can be avoided, unlike most fixed costs, which are typically unavoidable (Investopedia.com, 2012). In this scenario the avoidable costs would be the reduction in the costs if the bindings...
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...for their companies benefits. Others have learned that outsourcing was not such a great idea and that it caused more problems than solved them. The Ski Pro Corporation has now decided to start making cross country skis instead of sticking with just producing water skis. The Ski Pro Corporation now needs to decide if it is better to make the bindings that the new skis require or outsource the making of the bindings. To make bindings or not to make bindings that is the question The Ski Pro Corporation would like to know if they should make the bindings or outsource them to a subcontractor. The Ski Pro Corporation should just make the bindings only because if they outsource it will cost an extra $0.50 per pair. That extra $0.50 spent on outsourcing could eventually add up over time. Calculation: Direct Labor: $35 Direct Material: $30 Total Overhead: $15 Making Bindings: Labor: $35 * 10,000 = $350,000 Material: $30 * 10,000 = $300,000 Overhead: $15 * 10,000 = $150,000 Total Cost: 350,000 + 300,000 + 150,000 = $800,000 Outsource Bindings: Purchase Labor: 350,000 * 10% = $35,000 Purchase Material 300,000 * 20% = $60,000 Variable Overhead: 50,000 * 10% = $5,000 Variable Overhead Costs need to be calculated. First we take the Fixed Overhead which is $100,000. Now we need to calculate the Fixed Overhead Cost per pair of skis. $100,000 / 10,000 = $10 Now we calculate the Variable Overhead Cost. First by identifying that the Total Overhead Cost is $15. Then calculate $15...
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...bags targeting climbing enthusiasts bound for The Himalayas. However, in the late 90s and early 00s with the emergence of 'wilderness chic' it became all the rage though for most of their fans driving a Range Rover to the ParknShop would be the most strenuous expedition undertaken. Spearheaded by like brands Timberland and UGG, it's audience has widen significantly in the last decade. The North Face's logo was designed by David Alcorn in 1971 and consists of a somewhat skewed quarter-circle with two lines threading within it. This logo is an illustration of Half Dome, a gigantic granitic monolith in Yosemite National Park. As an extra, The North Face is presently a subsidiary of the VF Corporation which is headquartered in Stabio, Switzerland. Other subsidiaries administered by said corporation include Timberland, 7 for all mankind, Wrangler and Vans. The North Face's logo has turned into such a ubiquitous sight on anybody shielding themselves from the cold that it is no real surprise that the brand utterly dominates the outdoor market by quite some way. Globally, sales were up 17% last quarter with annual sales now topping $1.4bn (£886m). There seems to be no evident resistance to The North Face's assault on the summit of the adventure market currently. Sales are predicted to achieve double-digit percentage growth in the next five years. For a brand originally founded on the initiative to garb those engrossed in hardcore, Spartan outdoor...
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...Chapter 4 Building Competitive Advantage Page 57 4 Building Competitive Advantage Enterprise in Ireland over the next decade will operate in a global competitive environment that will be considerably more challenging than in the past. The strengths and experience that we have built up will continue to contribute to the success of enterprise, but companies in Ireland will have to differentiate themselves from their competitors in new ways in order to create sustainable competitive advantage. In the past, Ireland has set a standard for change and growth that is admired around the world and we can continue to do so. The biggest barrier to this is complacency: there is a real danger that enterprise in Ireland will be overtaken by more agile competitors in other countries. Overcoming this complacency and taking decisive action requires a renewed sense of national cohesion, with a commitment to execution throughout the entire enterprise community and the support systems. As outlined in Chapter 3, in the years ahead, our ability to build sustainable enterprise in Ireland will depend critically on a unique combination of: Knowledge of customers and market needs The ability to develop new products and services to satisfy those needs A world-class education and training system that is responsive and flexible and that supplies the skills required by the changing needs of enterprise A competitive taxation regime An effective, agile government system. The first two of these...
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...1:38 Part II TIio Opportumtv Case Jim P Preparation Questions 1. 2. 3. Apply the Timmons entrepreneurship framework (entrepreneur—opportunity—resources) to analyze this case. Pay particular attention to the entrepre neur’s traits and how he gathered resources for his venture. Discuss Jim’s fund-raising strategies. What other options might be considered for raising the funds SPC needs? Is this a good investment? Discuss the growth strategy. What additional mar ket(s) would you recommend pursuing as they move ahead? On his way through Logan Airport, Jim Poss stopped at a newsstand to flip through the June 2004 Notional Ge ographic cover story that declared, “The End of Cheap Oil.” Inside was a two-page spread of an American family sitting among a vast array of household posses sions that were derived, at least in part, from petroleumbased products: laptops, cell phones, clothing, footwear, sports equipment, cookware, and containers of all shapes and sizes. Without oil, the world will be a very different place. Jim shook his head. and here we are burning this finite, imported, irreplace able resource to power three-ton suburban gas guzzlers with “these colors don’t run” bumper stickers! Jim s enterprise Seahorse Power Company {SPC) was an engineering start-up that encouraged the adop tion of environmentally friendly methods of power gen eration by designing products that were cheaper and more efficient than 20th-century technologies...
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...1:38 Part II TIio Opportumtv Case Jim P Preparation Questions 1. 2. 3. Apply the Timmons entrepreneurship framework (entrepreneur—opportunity—resources) to analyze this case. Pay particular attention to the entrepre neur’s traits and how he gathered resources for his venture. Discuss Jim’s fund-raising strategies. What other options might be considered for raising the funds SPC needs? Is this a good investment? Discuss the growth strategy. What additional mar ket(s) would you recommend pursuing as they move ahead? On his way through Logan Airport, Jim Poss stopped at a newsstand to flip through the June 2004 Notional Ge ographic cover story that declared, “The End of Cheap Oil.” Inside was a two-page spread of an American family sitting among a vast array of household posses sions that were derived, at least in part, from petroleumbased products: laptops, cell phones, clothing, footwear, sports equipment, cookware, and containers of all shapes and sizes. Without oil, the world will be a very different place. Jim shook his head. and here we are burning this finite, imported, irreplace able resource to power three-ton suburban gas guzzlers with “these colors don’t run” bumper stickers! Jim s enterprise Seahorse Power Company {SPC) was an engineering start-up that encouraged the adop tion of environmentally friendly methods of power gen eration by designing products that were cheaper and more efficient than 20th-century technologies...
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...produits La Hutte ou la Maison du Campeur. 1956 : De La Hutte à INTERSPORT Un changement très net de la clientèle fait naître le logo ovale. Il rompt radicalement avec les habitudes visuelles. Selon les magasins, la part des associations de scoutisme varie de 10 à 90%. Les temps changent… Mais la particularité de l’enseigne La Hutte persiste : créer un esprit coopératif entre magasins. Pour résister à l’influence nord-américaine, quatre groupements nationaux (Allemagne, Pays-Bas, Belgique et France) créent la première association européenne d’articles de sport sous le label INTERSPORT. La planète fait son apparition sur le logo. 1968 : L’internationalisation Pour coordonner cette organisation, Intersport International Corporation est fondée en Suisse en 1968, rassemblant 10 pays, 652 points de vente et réalisant 35 millions de francs de chiffre d’affaires. Les...
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...Cases are often used as a vehicle for discussing the complexities of real-world financial problems. To benefit most from this method of teaching, you will want to come prepared to discuss the cases in detail. By the end of the semester, students should be able to: (1) describe essential characteristics of the finance profession and institutions, (2) be conversant in basic financial jargon, (3) value paper assets (stocks and bonds) and tangible assets (capital budgeting) using the tools of time value of money, including NPV and IRR, (4) explain the various sources of financing, their associated costs, and their advantages and disadvantages, (5) calculate and use financial statements and ratios to analyze a business and create and use pro forma statements for planning and decision-making purposes, (6) appreciate the complexities international business, and (7) demonstrate team skills by actively participating in group written cases. Course Materials Text: Background readings and problem sets are from Ross, Westerfield and Jordan (RWJ), Fundamentals of Corporate Finance, 8th Edition, Richard D. Irwin, Inc., 2008. You will sometimes find that the...
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...Notes for Exam 5- Geography North America Tuesday, November 16, 2010 Physical Geography * Latitude is very important –broad range * Western climates- Mountains (change the climate of the region) * Example: Sierra Nevada and Rockies * Deserts and dryness- Because the mountains are so tall they absorb the precipitation * Further west- very wet * Louisiana- very close to the equator, nothing to stop the storms -2 of the largest countries in the world include (Population)- 1. Canada- 1/10th of the US- 33 million * Lots of empty land in this area 2. The US- 300 million pop * Highly urbanized (D): Megalopolis- Applies to the US and Canada, very big *PROS OF North America 1. -Farming and Ranching and Agriculture * Used to be dominate * 1790: employed 90% of the work force * 1880: dropped down to 50%- because of industrialization * Today: less than 2% * In the US only 1% of population are farmers * Farm populations fell by 2/3 in the beginning of the 20th century * Farms are consolidating * 20% drop in the number of farms * Agriculture has become more meganized (more industrial) More money to keep it going, more land and more machines * Farms are still critical in the US and Canadian economy * 2000: US Alone, $216 billion dollars in farming alone * Land use, agriculture remains dominant * Varies by region * Dairy farming in the east * Live Stock...
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...Finding and Evaluating the Opportunity: Is It Real and Large Enough? E xc e r p t e d fro m Entrepreneur’s Toolkit: Tools and Techniques to Launch and Grow Your Business Harvard Business School Press Boston, Massachusetts ISBN-10: 1-4221-0527-X ISBN-13: 978-1-4221-0527-6 5276BC Copyright 2006 Harvard Business School Publishing Corporation All rights reserved Printed in the United States of America This chapter was originally published as chapter 2 of Entrepreneur’s Toolkit, copyright 2005 Harvard Business School Publishing Corporation. No part of this publication may be reproduced, stored in or introduced into a retrieval system, or transmitted, in any form, or by any means (electronic, mechanical, photocopying, recording, or otherwise), without the prior permission of the publisher. Requests for permission should be directed to permissions@hbsp.harvard.edu, or mailed to Permissions, Harvard Business School Publishing, 60 Harvard Way, Boston, Massachusetts 02163. You can purchase Harvard Business School Press books at booksellers worldwide. You can order Harvard Business School Press books and book chapters online at www.HBSPress.org, or by calling 888-500-1016 or, outside the U.S. and Canada, 617-783-7410. 2 Finding and Evaluating the Opportunity Is It Real and Large Enough? Key Topics Covered in This Chapter • five characteristics of a genuine business opportunity • • where to look for profitable opportunities the process...
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...2007 Deloitte Tax Case Study Competition Regional Case Study This is the story of the Vitalité health and fitness phenomenon created by three American heroes. You’ve worked out in their gyms, bought their nutrition books, and devoured their frozen entrees – and you’ve seen them a hundred times on The Ophira Show! You even spent months wearing their “Cal Pal” to find out how many calories you burned. Here’s the story of how they rocketed to the top and the fallout of their success. Macy. When she was in her mid-20s, Macy Vitale was the picture of confidence and, in keeping with her name, Vitality, with a capital V! She graduated from college with a degree in journalism, and, by the time she was 32, her gorgeous face, perky attitude, and deep understanding of current affairs landed her the position of anchor for the Channel 8 evening news. Macy never took anything too seriously. She was such a natural on camera that it couldn’t count as “work.” Her carefree attitude ended one morning when she overheard the director tell the camera man to shoot Macy only when she was seated behind the desk. He whispered, “She’s starting to look a bit wide in the hips.” As soon as they were off the air Macy, picked up the phone and called Mark Newcomb from “Mad Mark’s Gym.” Mark. Mark isn’t your typical trainer. He is serious! He served in the Special Forces in Kuwait in the early 90s, has Masters Degrees in Health Sciences and Nutrition, and a Ph.D. in Kinesiology and Physiology. He has spent the...
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...ESPN X Games: Commercialized Extreme Sports for the Masses SMGT 798 Allison Renard A Paper Presented to the faculty of Lasell College in Partial Fulfillment of the requirement of the Degree Master of Science in Management. ABSTRACT For years, extreme sports had little to nothing in common with each other except for high risk, and an appeal to women and men from the ages of 12 to 34. Entertainment Sports Programming Network (ESPN), realizing this age group was a prime viewing audience, brought together several extreme sports and created yet another commercialized sporting spectacle. Since 1995, this television network has produced the Summer X Games. After these summer productions proved to be successful television and live spectator events, ESPN expanded into the winter extreme sports. The Winter X Games have been produced since 1997. This paper, which commences with the rise of extreme sports, is an historical and sociological analysis of the creation and growth of the ESPN X Games. While these commercialized adventure and extreme sporting events have had some obvious growing pains, both the Summer and Winter X Games have grown into events, which annually attract thousands of spectators and viewers while offering fame and a few dollars to their participants. INTRODUCTION One need only take a quick glance at the daily news to discover that society in general is still in a state of constant change (Leonard, 1993). In the United States, this is especially true...
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...Corporate Diagnosis | | | Diana Lucia PERDOMO Mauricio BARAHONA Salvador MARTINEZ Louise NICOLAS Katarzyna FLUDRA | The Swiss watches’ company is present all over the world. It has successfully managed environment changes, as well as it resources and competences. This document seeks to analyze the external and internal forces that have influence on the company, in order to determine strengths, weaknesses, threats and opportunities. Nevertheless, the core of this work it to diagnose the interaction between the above, and the Marketing and Communication strategies that Swatch implements nowadays The Swiss watches’ company is present all over the world. It has successfully managed environment changes, as well as it resources and competences. This document seeks to analyze the external and internal forces that have influence on the company, in order to determine strengths, weaknesses, threats and opportunities. Nevertheless, the core of this work it to diagnose the interaction between the above, and the Marketing and Communication strategies that Swatch implements nowadays CONTENT Corporate Presentation 3 External Analysis 9 PESTEL 10 Political 10 Economical 10 Social 10 Technological 10 Ecological 10 Legal 10 Porter's 5 Competitive Forces 12 Mc Kinsey matrix 14 Internal Analysis 16 Value chain 17 Infrastructure 17 Human resource management 17 Technology development 18 Procurement 19 Operations 20 Outbound...
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...SevenEleven annually for every person in Japan. COMPANY HISTORY AND PROFILE Both Ito-Yokado and Seven-Eleven Japan were founded by Masatoshi Ito. He started his retail empire after World . War II, when he joined his mother and elder brother and began to work in a small clothing store in Tokyo. By 1960 he was in sole control, and the single store had grown into a $3 million company. After a trip to the United States in 1961, Ito became convinced that superstores were the wave of the future. At that time, Japan was still dominated by Mom-and-Pop stores. Ito's chain of superstores in the Tokyo area was instantly popular and soon constituted the core of Ito-Yokado's retail operations. In 1972, Ito first approached the Southland Corporation about the possibility of opening Seven-Eleven convenience stores in Japan. After rejecting his initial...
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