somewhat more-refined allocation system, using material cost and machine hours to allocate overhead related to material receiving and handling. A third possible system in which overhead would be allocated based on transactions (an activity-based costing system, or ABC system) is described in the case by the manufacturing manager in such a way that the costs of products under that system can be estimated and compared to the costs under the other two alternative systems. With three sets of product costs
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CHAPTER 4 ACTIVITY-BASED COSTING CHAPTER REVIEW UNIT COSTS 1. Functional-based and activity-based costing assigns costs to cost objects such as products and customers. Once costs are assigned to the cost object, the unit cost is calculated by dividing the total cost assigned to the units produced by the number of units produced. 2. Unit cost information is used to: ■ value inventory ■ determine cost of goods sold, which affects income ■ determine bids to give to potential
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MANAGEMENT S T R AT E G Y MEASUREMENT M A N AG E M E N T AC C O U N T I N G G U I D E L I N E Customer Profitability Analysis By Marc J. Epstein Published by The Society of Management Accountants of Canada, the American Institute of Certified Public Accountants and The Chartered Institute of Management Accountants. N OT I C E TO R E A D E R S The material contained in the Management Accounting Guideline Customer Profitability Analysis is designed to provide illustrative information
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ACCT 640 Case 2 Performance Drinks, LLC ACCT 640 Case 3 Performance Drinks, LLC Click below link for Answer http://workbank247.com/q/acct-640-case-2-performance-drinks-llc-acct-640-ca/12454 http://workbank247.com/q/acct-640-case-2-performance-drinks-llc-acct-640-ca/12454 Performance Drinks, LLC is owned by Dave N. Port. Performance Drinks produces a variety of sports centered drinks. They began operations in 1993 shortly after Mr. Port graduated with his M.B.A. That report is following:
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III. Two Stage Cost System Analysis The two stage method is always used in Activity-Based Costing, which assigns resource costs to cost objects base on separate activities. In stage one, the total overhead costs are allocated to the separate activities base on different resource drivers. In stage two, the costs of activities are allocated to each cost object base on cost drivers. In this case, because the wages and depreciation costs can be traced directly to each workstation, we only need to
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MAA 703 Management Accounting Trimester 1, 2011 Assignment - A Group Case Study Due date: Monday 23 May 2011. Marks: 20% Length: approximately 1500 words This is a group assignment. Only in very exceptional circumstances will permission be given to complete an individual assignment. Details regarding assignment submission will be provided later. Please note the following requirements AND FOLLOW THEM CAREFULLY: • Your assignment should be presented as a Word document
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Effects of Technology on Accounting Information Systems James King University of Phoenix: ACC/340 Accounting Information Systems I Instructor: Ray Dahmer June 27, 2011 Effects of Technology on Accounting Information Systems The information age and the resulting technological advances have made an impact on every functional area of the accounting industry including auditing, taxation, financial, and managerial accounting (Bagranoff, Simkin, & Norman, 2008). Information systems consist
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Chapter 5 5.1 Fixed costs are not related to the volume of services delivered. Semi-fixed costs are fixed at two or values within relevant ranges. 5.2 Total fixed costs and total variable costs. 5.3 a) The cost-volume profit analysis is applied to organization’s costs and revenue structure that analyzes the effect of volume changes on cost and profits.b) It’s useful because they evaluate causes of action regarding pricing and introduction of new services. 5.4 a) The differences between per-unit
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ACC 560 Week 1 Homework Chapter 1 (E1-5, E1-9, E1-10 and E1-2A) For more course tutorials visit www.tutorialrank.com ACC 560 Week 1 Homework Chapter 1 (E1-5, E1-9, E1-10 and E1-2A) E1-5 E1-5 Gala Company is a manufacturer of laptop computers. Various costs and expenses associated with its operations are as follows. 1. Property taxes on the factory building. 2. Production superintendents’ salaries. 3. Memory boards and chips used in assembling computers. 4. Depreciation on the factory
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1. (TCO 1) Performance reports often compare current period performance with (Points: 4) Performance in a prior period. Planned (budgeted) performance. Both A and B are correct. Neither A nor B is correct. 2. (TCO 1) Marco Diner produced and sold 2,000 bagels last month and had fixed costs of $6,000. If production and sales are expected to increase by 10% next month, which of the following statements is true? (Points: 4) Total fixed costs will increase. Total fixed costs will decrease
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