...CHAPTER 4 ACTIVITY-BASED PRODUCT COSTING QUESTIONS FOR WRITING AND DISCUSSION 1. Unit costs provide essential information needed for inventory valuation and preparation of income statements. Knowing unit costs is also critical for many decisions such as bidding decisions and accept-or-reject special order decisions. represent a significant proportion of total overhead costs. 8. Low-volume products may consume nonunit-level overhead activities in much greater proportions than indicated by a unit-level cost driver and vice versa for high-volume products. If so, then the low-volume products will receive too little overhead and the high-volume products too much. 2. Cost measurement is determining the dollar amounts associated with resources used in production. Cost assignment is associating the dollar amounts, once measured, with units produced. 9. If some products are undercosted and others are overcosted, a firm can make a number of competitively bad decisions. For example, the firm might select the wrong product mix or submit distorted bids. 3. An actual overhead rate is rarely used because of problems with accuracy and timeliness. Waiting until the end of the year to ensure accuracy is rejected because of the need to have timely information. Timeliness of information based on actual overhead costs runs into difficulty (accuracy problems) because overhead is incurred nonuniformly and because production also may be nonuniform. 10. 11. ...
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...1. List a few major challenges you think would impact the future economic well being of the United States. Explain why these are crucial challenges and how they can be overcome. Your response must make references to short term fluctuations as well as long-term economic growth prospects. As I see it, the U.S. national debt is one thing that will have a huge impact on the future economic well being of the United States. As of July 19, 2015, the U.S. national debt equals $18,158,174,556,882.73 (U.S. National Debt Clock), which is 101.53% of the gross domestic product (Trading Economics, 2015). From an individual’s perspective this exorbitant national debt will potentially lead to higher taxes, reduced benefits (for example Social Security), and higher interest rates. The national debt has continued to increase approximately $2.05 billion dollars per day since September 2012 (Trading Economics, 2015). If the U.S. government doesn’t find a way to curb the current expansionary fiscal policy, the United States could find itself in a situation similar to Greece over the past few weeks. As a healthcare provider and someone who sees the firsthand effects of the current system on patients and healthcare organizations, I am very interest in healthcare reform and its impact on the Federal budget deficit. With healthcare expenditures in the U.S projected to reach 34% of the GDP by 2040, the case for healthcare reform is a no-brainer, and President Obama’s monetary policies sought...
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...Islamic Republic of Pakistan was established in 1947, a country of 170 million people, full of natural resources and more than 60 years of independence but still not respected in the world community. Remaining part till today is living on IMF, World Bank and foreign donations. Majority of the population is living in rural areas without basic necessities of life. It is a country where financial gap between rich and poor is widening day by day. From the last 10 years, extremism is increasing. Almost every kind of problem exists in Pakistan, including electricity load-shedding, bad economy, less educational facilities, less hospitals, inflation and no pure water in many parts. These problems exist in Pakistan right from its independence which as mentioned above was more than sixty years ago. Despite it being rich on raw resources thus far Pakistan is a developing country with limited development in every era due to the problems it faces. In the following text we will shed some light on some of the major problems faced today by Pakistan as a country. 1. POVERTY: According to an analysis poverty has increased roughly from 30% to 40% during the past decade. Consider that if 40%of a country’s population is earning their life below the poverty-line in which the people are deprived of basic necessities of life such as clothing, shelter,food, education and medication, such families and their children will be forced to think of their survival only. 2. ILLITERACY Pakistanis...
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...Many American Indian communities are impoverished, with some tribes reporting unemployment as high as 85%. Existing jobs are found mainly within the tribal government, Bureau of Indian Affairs, state social services, the school systems, and the Indian Health Service (IHS) Hospital. Additionally, years of failed government policies have left reservation economies with limited economic opportunity. The government placed reservations in areas away from fertile land, population centers, water supplies and other vital resources, compounding economic challenges with geographic isolation. While it is important to know these economic challenges, it is also important to know that tribes are dynamic, open to new ideas, and committed to improving their communities and their children’s future. Poverty-related statistics: Employment: Native Americans have the lowest employment rate of any racial or ethnic group in the United States (Bureau of Labor Statistics, 2012). In...
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...Ethical and Economic Challenges Related to Policy Decisions Natalie Stone Walden University Ethical and Economic Challenges Related to Policy Decisions In the article, “Review of prostate cancer drug Provenge renews medical cost benefit debate,” Stein poses a valid question. Who determines if Medicare reimburses a life-prolonging drug? Stein reviewed arguments from prostate cancer patients, economists, and health care policy specialists regarding Provenge, an expensive drug aimed to treat late stage prostate cancer. The Provenge drug trail concluded that it would potentially extend patient lives by approximately 4 months. (Stein, 2010) Ethically, is it reasonable to allow the government to determine if someone receives health care treatment? In my opinion, the government is not preventing the patient from receiving treatment, instead considering non-payment for some treatments. If a patient chooses to continue treatment, they would be responsible for the cost. In cases where the cost versus outcome is widely reciprocal, I feel that non-payment is acceptable. In the article aforementioned, Provenge costs about 270,000 per person and the median life was prolonged by 4 months. (Stein, 2010) "At some point, if we keep paying these very high prices for treatments that provide very limited benefit, we're going to reach the point where we can no longer afford health care," said Alan Garber, a professor of medicine and economist at Stanford University.” (Stein, 2010, para...
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...TermPaperWarehouse.com - Free Term Papers, Essays and Research Documents The Research Paper Factory AdTech Ad Join Search Browse Saved Papers Home Page» Business and Management Containing Human Resource Costs During Economic Challenges In: Business and Management Containing Human Resource Costs During Economic Challenges Abstract Being able to remain or become globally competitive while facing challenges within today's economy is a challenge for all types of companies and organizations. When faced with struggling budgets outsourcing and or downsizing are often seen as the only possible solutions for businesses to stay afloat. Trying to maintain competitiveness while downsizing and or outsourcing brings about additional challenges for human resource management organizations. Containing Human Resource Costs During Economic Challenges The current economy brings challenges to every level of a corporation, including human resource management. Maintaining an effective budget is not always easy and becomes even more difficult with the strains of an economic crisis. While the elimination of unnecessary materials and or processes may help in curtailing costs and spending, it is not always an easy task; and an even more difficult task involves the elimination of actual jobs. As companies are faced with having to cut costs, eliminating jobs is sometimes an unfortunate solution. Human resources management is defined as the...
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...Abstract Being able to remain or become globally competitive while facing challenges within today's economy is a challenge for all types of companies and organizations. When faced with struggling budgets outsourcing and or downsizing are often seen as the only possible solutions for businesses to stay afloat. Trying to maintain competitiveness while downsizing and or outsourcing brings about additional challenges for human resource management organizations. Containing Human Resource Costs During Economic Challenges The current economy brings challenges to every level of a corporation, including human resource management. Maintaining an effective budget is not always easy and becomes even more difficult with the strains of an economic crisis. While the elimination of unnecessary materials and or processes may help in curtailing costs and spending, it is not always an easy task; and an even more difficult task involves the elimination of actual jobs. As companies are faced with having to cut costs, eliminating jobs is sometimes an unfortunate solution. Human resources management is defined as the process of managing human talent to achieve an organization's objectives (Bohlander & Snell, 2010). Being able to effectively execute the process of human resources management relies on several factors. Being able to compete, recruit and staff globally; embrace new technology; manage change; manage talent; respond to the market and contain costs are imperative to...
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...IBUS 750-Exploring Global Business May 31, 2014 Economic and Social Challenges in the United Kingdom and Their Impact on Business. The Great Recession was a crisis that affected economies worldwide. During this time, some countries only experienced small declines in Gross Domestic Product (GDP) and declines in international trade while others experienced more severe repercussions such as increased unemployment rates, economic decline, increased poverty populations, higher crime rates, and other calamities. These challenges have caused the demise of businesses, mass employment layoffs, and a decreased ability to take financial risks across the world. Many countries and businesses are continuously struggling to rebuild their wealth and prevent major financial losses from occurring in the future. As a result of this crisis, the United Kingdom faced economic disparities due to a persistently high unemployment rate, stagnant economic growth, and excessive government borrowing. These factors have resulted in social and economic challenges that affect various businesses attributes including reduction in wages, availability of mortgages, talent constraints, global talent acquisition efforts, the need for innovation, global expansion, and an increase in self-employed individuals. The Great Recession had a major impact on the United Kingdom. One of the most detrimental affects of this crisis was the rise in unemployed citizens across the nation. Due to...
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...“Integrity: Panacea for Socio-Economic and Political Challenges in Nigeria” Nigeria is a nation blessed with vast human and mineral resources. Ironically, her economy is struggling to leverage the country’s vast wealth to displace the economic and political challenges that affects its population.1 Beyond the recent impressive financial projections, a good number of Nigerians still live on less than $1.00 (One dollar) a day, which is about N160.00 (One Hundred and Sixty Naira), and more Nigerians have resorted to a life of crime with some becoming ready tools in the hands of some politicians. Poverty reduction and job creation, as promised by our political leaders, have not kept pace with population growth, implying social distress for an increasing number of Nigerians. Integrity and moral values have been jettisoned to few people, who have little or no impact in the system of government and corruption has been embraced as a tool of inordinate wealth accumulation. Social vices are committed with high level of impunity and the epidemic of the ‘get rich at all cost syndrome’ has infiltrated all age levels in our society, most especially the youths; future leaders of tomorrow. Undermining, “As a partridge that broods but does not hatch, so is he who gets riches, but not by right; it will leave him in the midst of his days, and at the end he will be a fool” (Jeremiah 17:11 NKJV). In ascribing reasons for these socio-economic imbalance and political instabilities in Nigeria...
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...China-ASEAN Economic Relations: Development And Future Challenge. Abstract: In recent 15 years, The development of China-ASEAN trade and economic relations has of great significance, not only for both sides but also for the whole East-Asia region. This paper to discuss the latter that is regional implications of 15 years’ development of China-ASEAN trade and economic relations and find the problem and challenge in China-ASEAN trade relations, as well as provide some further consideration for both sides’ trade and economic relations. Introduction Since the economic reforms and open-door policy of1978-79, China's economy has been growing rapidly and more particularly since 1990 when growth has averaged 10% a year. China's external trade has been growing at an even faster rate of 15% a year since 1990, and it has also annually drawing from the lessons of the financial contagion of 1997. Economic links between ASEAN and China through trade, investments and tourism have prospered throughout the 1990s. Perhaps, equally important, China's maintenance of the value of the renminbi (RMB) during the economic crisis of 1997, served as a regional anchor preventing what could possibly have been successive rounds of competitive devaluations. This clearly prevented the crisis from becoming more acute for ASEAN countries and yet this put China’s own exports at risk, as much cheaper goods from the crisis-plagued region competed with Chinese goods. Another important milestone that contributed...
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...Along Change | Socio-economic Challenges of South Africa and Policies That Could be Implemented | | John JH Scheffer 22770933 | | 14 April 2015 Class Participation Assignment for CCMM515 | Introduction Since the dawning of a new era in 1994 South Africa has faced many challenges. Naturally change brings a long a new frontier and as one would expect many rough terrains. South Africa has thus far been a colossal beast charging through the constant strife of these rough terrains despite the constant lashing of its riders ever since it received its independence, however many fear the last straw is about to be placed on this beasts back. Current affairs threaten the future economic viability of South Africa and although recent assertions have been made to ensure the economic growth, the governments have done little or nothing to achieve these goals. Whether because of sheer incompetence, narrow vision focused on the past or the lack of proper management is arguable however there is little to be achieved by discussing the shortcomings of the government. This essay focuses on a more challenging viewpoint where the current socio-economic challenges of South Africa will be discussed and the policies that could be implemented to resolve these issues. The propositions in this paper are proposals that would be suggested for implementation as policies to resolve socio-economic issues if I were president...
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...M2 - Compare the challenges or selected business activities within selected organisation in two different economic environments In this task I will compare the challenges to selected business activities in two different economic environments. | Supply | Economic | Waitrose | Availability of raw materials and labour – Waitrose are impacted by this because the less raw materials there are, the harder it is for them to meet the demand on products. Waitrose will increase the supply of a product depending on the demand of this, and the demand on the product could also influence the price.Logistics to produce products profitably – Waitrose are impacted by this as they would have to run analysis checks on the supply chain (they would have to hire someone who is skilled in this department) they would have make sure they are producing products in the most cost effective way that is possible. Without their Competition for raw materials – Waitrose are impacted by this as they need raw materials for their business to strive, with developing countries having a bigger influence in the purchases of raw materials it is harder for Waitrose to get these materials at the price and rate that they want these products at. Waitrose have to take advantages of the periods in which raw materials is at a lowered price. | Stability – This impacts Waitrose as stability in the marketplace will allow them to forecast how well they think the business will do in the coming months, it will also allow them...
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...M2: Compare the challenges to selected business activities within a selected organisation, in two different economic environments Compare – what are the similarities and what are the differences Country: UK Economic variable | Effect on supply | Effect on demand | GDP (growth (low growth), recession) | The suppliers will start reducing their supplies to Toyota, which further decrease the GDP of the country. Toyota will also start producing fewer cars to be sold if less people are buying and upgrading their cars. | If less people have extra money to spend on goods, they’ll be looking after their car, which means all the cars that they’ve made are stuck on the production line, untouched and wasting away. | Inflation | Inflation prices in the UK are high compared to other countries i.e. china that produce and make things at cheap prices, if they prices go up for raw materials, Toyotas profit margin decreases or they can drive their prices up. | High inflation rates means demand will fall because as suppliers increase their prices, Toyota will want to have roughly the same profit margin, so their prices go up and with GDP at an all time low, less people will be buying their cars | Interest rates (cost of credit) | Companies borrow large sums of money if there looking to expand their operations, low interest rates could result in banks restricting the amount they give out and who they loan to, so if it’s a relatively small business, which might not be able to pay...
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...(M2) Compare the challenges to selected business activities within a selected organisation, in two different economic environments. It is very common in large businesses to expand abroad but there are a lot of factors to be considered when planning to start operation in a different country as countries differ depending on their background, policies, infrastructure and stability. In this report I will compare the challenges to business activities within Tesco Plc. In two different economic environments: China and UK. I have chosen China and UK as two contrasting countries and my chosen business is Tesco Plc., a large retail store in the UK. China is the 2nd most populated country in the world and is the largest economy in the wold in contrast UK has a significantly smaller population than China and is the second largest economy in the world. Chinese businesses have become much more efficient and China is now the largest Asian economy by a long way: meaning that if Tesco wanted to expand into China it would face a lot of competition and successful businesses with similar products. Tesco’s main most popular products are food and beverage where China is one of the world’s top producers of cereals: wheat, rice and sugar also meat, fruit, vegetables, tea and coffee which shows that in case where Tesco decides to start operating in China this could be considered as a challenge as locals would refuse to buy food from a retailer such as Tesco when they’ve got their own products. The...
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...Describe the influence of two contrasting economic environments on business activities within a selected organisation. M2: Compare the challenges to selected business activities within a selected organisation, in two different economic environments. This assignment is asking me to describe the influence of two contrasting economic environments on business activities within a selected organisation. Nike is a global brand specialising in the design and manufacture of athletic apparel, footwear, accessories and equipment; it is headquartered in the United States, Europe, and the Asia Pacific Region. Its products are available through over 20,000 retail outlets, including those in its own footfall outlets, e.g. Nike Factory stores. This study considers the contemporary business environment of Nike using a PESTLE approach, paying particular attention to any human resources management (HRM) issues that may arise under each heading. Overall, it is argued here that Nike has attempted to address various business and social challenges by harmonising its value proposition to ‘Consumers, shareholders, business partners, employees, and the community.’ There are many external environmental factors that can affect your business. It is common for managers to assess each of these factors closely. The aim is always to take better decisions for the firm’s progress. Some common factors are political, economic, social and technological (known as...
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