increased compared to the previous year and of Year 6 especially when there has been an economic situation. With the change of the amount of units sold that will also alter the budgeted dollar amount for its raw materials- components’ total cost is $965,250 and the total cost for frame materials is approximately $1.3 million. The accounts payable at $229,203 is too high. CB has always done a better job in paying debts in the past; in Year 6, Competition Bikes had net sales of about $4.5 million with
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Appendix A Service Department Costing: An Activity Approach Solutions to Questions A-1 Interdepartmental service costs exist whenever two service departments perform services for each other. Under the step method, the costs of the service department performing the greatest amount of service for the other service departments are allocated first, the costs of the service department performing the next greatest amount of service are allocated next, and so forth through all the service departments
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the games using lines of code as the activity would be the most relevant. Lines of code would provide an actual report of the actual work that was done on each game from the product development center. By taking the total development product center cost and dividing them by the total number of lines of code gave them a cost of $63.76 per line of code. Using this dollar amount I was able to allocate the product development costs to each different game. The other costs which include, manufacturing
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d. All direct costs are variable costs. 6) Within the relevant range, if there is a change in the level of the cost driver then a. total fixed costs and total variable costs will change. b. total fixed costs and total variable costs will remain the same. c. total fixed costs will remain the same and total variable costs
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Chapter 19 BALANCED SCORECARD: quality, time, and the theory of constraints 19-1 Quality costs (including the opportunity cost of lost sales because of poor quality) can be as much as 10% to 20% of sales revenues of many organizations. Quality-improvement programs can result in substantial cost savings and higher revenues and market share from increased customer satisfaction. 19-2 Quality of design refers to how closely the characteristics of a product or service meet the needs and wants of
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Blackshop Bistro Analysis Blackshop Bistro is a family-run restaurant, which serves top quality cuisine at a premium price. Jan Cerny, the father, acted as the waiter and oversaw all operations. His wife Eva is a dietician who also did the bookkeeping and helped out the chef, an immigrant from Czechoslovakia. Their oldest son Alec and John who is a certified chef, are able to help out on evenings and weekends. Its ordering process is typical of full-service restaurants. Arriving customers
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Waltham Motors Division Sharon Michaels, the division controller, is concerned regarding the performance at Waltham Motors Division for the month of May. The company lost a major customer contact during this time, and she needs the performance report analyzed. Sharon Michaels must report the information to the corporate headquarters of Marco Corporation. Waltham Motors is a subsidiary of Marco Corporation and was acquired in late 2003. This analysis is for the month of May 2004. Accounting
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Harrah’s Entertainment Inc. February 7, 2011 The goal of introducing the Gainsharing program was to increase employee motivation so they provide outstanding customer service. The differentiating factor in regaining and keeping bigger market share was through customer satisfaction. The Gainsharing program was effective in increasing both customer satisfaction and employee loyalty. Turnover went down from 70% to 50% in one year. It also proved to be an effective motivator to the food
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Sonia L. Godoy Business Economics GM545 Summer 2010 term Slissy@hotmail.com 1. Everyone’s Gasoline problem The Gasoline Prices are so unpredictable one day they are up and next day they are down. As we can see in figure one the crude oil and Gas prices are related. As any product when there is a higher demand for it the supply has to be increase giving the sellers an upper hand in pricing. There are also other reasons as to why prices might rise like Pipe Leaks which are shortage of
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population of 24,000. Year 2016 2017 2018 2019 2020 2021 Number of patients 1,500 1,650 1,815 1,997 2,196 2,416 Charge fee per visit 40 40 40 40 40 40 Total revenue 60,000 66,000 72,600 79,860 87,846 96,631 Variable expenses: Medical supplies 6 9,000 10,890 11,979 13,177 14,495 15,944 Service bureau 1 1
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