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Icicle Bay Tours operates day tours of coastal glaciers in Alaska on its tour boat the Emerald Glacier. Management has identified two cost drivers the number of cruises and the number of passengersthat it uses in its budgeting and performance reports. The company publishes a schedule of day cruises that it may supplement with special sailings if there is sufficient demand. Up to 80 passengers can be accommodated on the tour boat. Data concerning the company's cost formulas appear below:
For example, vessel operating costs should be $6,800 per month plus $475.00 per cruise plus $3.50 per passenger. The company's sales should average $28.00 per passenger. The company's planning budget for August is based on 58 cruises and 3,200 passengers.
Required:
Prepare the company's planning budget for August.
Why have you made the choices you have made? What information informed your decision for eachitem - Why have you made the choices you have made? What information informed your decision foreach item?
Camp Manufacturing turns over its inventory 8 times each year, has an average payment period of 35 days, and has an average collection period of 60 days. The firm's annual sales are 3.5 million dollars. Assume there is no difference in the investm..
Braun Company produces its product through a single processing department. Direct materials are added at the beginning of the process.
The accounting industry has been wrestling with changing the rules regarding operating and capital leases.
Is the following statement true Cost allocation refers to the process of assigning direct costs? Discuss.
Stratford Company distributes a lightweight lawn chair that sells for $120 per unit. Variable expenses are $60.00 per unit, and fixed expenses total $180,000 annually.
Discuss the tools and techniques in management accounting that can be used to support an organisation's sustainability objectives.
Last year, Product F76D involved 4 customer orders, 459 assembly hours, and 21 batches. How much overhead cost would be assigned to Product F76D using the activity-based costing system?
Journalize the adjusting entries and create T accounts for all accounts used in part Enter the trial balance amounts into the T accounts and post the adjusting entries.
create a comprehensive master budget and a 2-3 page executive summary for the bottled water
The transfer of cost associated with units completed in both departments.
in this case a full set of budgets will be prepared and presented in appropriate format.nbsp reports will be prepared
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