Case Study – Bridgestone Behavioral Health Center: CVP Analysis for Planning and Control Case Study – Bridgestone Behavioral Health Center: CVP Analysis for Planning and Control MEMO To: Dr. Thomas Russell, Executive Director, Bridgestone Behavioral Health Center From: Sheryl Marshall, Service Consulting Plus, LLC. Date: 8th September 2014 Subject: Financial performance of Bridgestone Behavioral Health Center over the next one year. Dear Dr. Russell, After having done a detailed
Words: 819 - Pages: 4
A1. Budget planning is in essence the process of forecasting and determining a company’s financial goals for both the long term and short term. Competition Bike, Inc. has come up with a budget schedule for year 9 operations. Based on its previous years and past financial numbers there are several areas of concern. First research and development is a concern because in the years that they invested more money in research and development it seemed sales where at its highest. Research and development
Words: 2148 - Pages: 9
Key Answer Key 1. Direct materials used = 6,000 + 7,000 – 1,000 = 12,000. Cost of goods manufactured = 12,000 + 5,000 + (600 + 500 + 1,900 + 3,500) + 800 – 3,000 = 21,300. Cost of goods sold = 4,000 + 21,300 – 5,300 = 20,000. Gross margin = 31,800 - 20,000 = 11,800 2. B 3. D 4. D Sales 350,000 – CGS 160,000 = 190,000 5. B Sales 350,000 – CGS (variable) 160,000 – Var Sell and Adm 35,000 – Var Adm 15,000 = 140,000 6. C
Words: 672 - Pages: 3
CM = sales – vc CM/unit = SP – VC BE/unit = FC/CM = FC/(SP-VC) BE/$ = TFC/CMR Margin of Safety = Sales – BE Degree of operating leverage = CM/operating income E4-13 Solution CMR = CM/sales =7.60/19 =0.40 Unit variable cost = $19 x 0.5=60 -$11.40 Unit CM = 19 – 11.40 =7.60 BE units = 874000/7.60 = 115000 BE sales revenue = 19 x 115000 = 2185000 BE sales revenue E4-26 Price VC CM # of units 1) Product Price – VC = CM x sales mix = package CM Vases 100 75 25
Words: 480 - Pages: 2
ACC 560 WK 5 Quiz 5 - All Possible Questions To Purchase Click Link Below: http://strtutorials.com/ACC-560-WK-5-Quiz-5-All-Possible-Questions-021.htm ACC 560 WK 5 Quiz 5 - All Possible Questions TRUE-FALSE STATEMENTS 1. An activity index identifies the activity that has a causal relationship with a particular cost. 2. A variable cost remains constant per unit at various levels of activity. 3. A fixed cost remains constant in total and on a per unit basis
Words: 1544 - Pages: 7
I. Introduction Columbia Memorial Hospital is a 300-bed acute care hospital that employs 160 staff physicians. Columbia is one of 75 hospitals owned and operated by Health Services of America, a for-profit, publicly owned company. In addition to inpatient and outpatient services, Columbia operates an emergency department within the hospital and a stand-alone walk-in (urgent care) clinic two miles from the hospital and near a major shopping mall. Due to its superior facilities, outstanding
Words: 2009 - Pages: 9
whether to introduce a new product or service line, to determine the appropriate sale price and the consequent market position for the firm’s product. Question 1) “Contribution” represents the portion of sales revenue that is not consumed by variable costs and so contributes to the coverage of fixed costs. To compute profit contribution that can be earned by carrying 1 ton of tapioca from Balik Papan to Singapore, dock to dock, and 1 ton of general merchandise goods from Singapore to Balik Papan
Words: 1446 - Pages: 6
behavior patterns ü Estimate the relation between cost and activity using account analysis and the high-low method ü Regression analysis Ø CVP ü Cost- volume-profit analysis for single products & multiple products ü Effect of operating leverage ü Contribution margin and resource constraints 회계기준 기업 재무회계 관리회계 이익 극대화 원가 높은 이익 정확한 이익 재고자산 매출원가 계획, 통제 의사결정 투자자 직접재료비 직접노무비 제조간접비 유용한 정보 변동비 고정비 혼합원가 경영자 원가회계 Management Questions § Planning • Last Year, sold 20,000 bar
Words: 2257 - Pages: 10
hours Variable costs per revenue hour Furthermore, by distinguish the variable costs and fixed costs, we can construct the contribution margin income statement for SDS at March level, assuming 205 hours for intracompany usage (Q3): Revenues Intracompany 82,000 Commercial 110,400 Total Revenues 192,400 Variable expenses (power + hourly personnel) 9,844 Contribution margin 182,556 Fixed expenses Rent 8,000 Custodial services 1,240 Computer leases 95,000 Maintenance 5,400 Depreciation 26,180 Salaried
Words: 340 - Pages: 2
players. In return for the extra business the hotel/s offer you free or discounted accommodation for the college scouts. | Breakeven analysis and contribution margin. If the variable cost of putting the college scouts in hotels (which is a large cost of $4,000) could be eliminated or reduced significantly it would greatly affect the contribution margin of the cup (CM = Sales – VC) as variable costs would decrease significantly. It would also decrease the breakeven point in revenue. | Issues could
Words: 300 - Pages: 2
