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What are some of the critical assumptions behind Cost-Volume-Profit Analysis and why is CVP typically used by organizations more often than time value money tools?
When using a normal costing system, manufacturing overhead is applied using the ______________ manufacturing overhead rate and the _______________ quantity of allocation base.
Write down the strengths and weaknesses of current costing model.
Describe how the following affect the break-even point: increase or reduce in unit sales price, increase or reduce in variable cost per unit, increase or reduce in fixed costs.
Sure Corporation has gathered the following information after its first year of sales. Net sales were $1,600,000 on 100,000 units; selling expenses $240,000 (40% variable and 60% fixed); direct materials $511,000; direct labor $285,000; administra..
Make a distinction between a product item, a product mix, and a product line. Give examples.
Discuss the factors that a company must consider when deciding whether to use a job order or a process cost system. What might be the consequences to a company if they make the wrong choice?
Recognize which costing system - job order or process cost - the following companies would use:
Compute the annual breakeven point in dollar and in unit sales for shop 48? Make a CVP graph showing cost and revenue data for shop 48 from zero level activity up to 17,000 pairs of shoes sold in year, what would be shop 48's net operating income o..
Find a newspaper article or web page report of an item of accounting news, i.e. it refers to a current event, consideration, comment or decision that has been published after November 2013
What is a service or product in McDonald's which can employ activity based costing? What are three activities for activity based costing and the correct cost drivers for them? Give an estimate for application rates of these drivers.
City of Joseph Commercial Bank hired consultants to compute the costs of three products: checking accounts, personal loans, and the Gold visa card. The consultant identified the following activities, costs and activity drivers (annual data):
Evaluate the total cost of the work in process inventory on January 31. Determine the cost of jobs completed during January, and show the proper journal entry to reflect job completion.
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