Reference no: EM131810318
"We have found our answer, activity-based costing it is," exclaimed Roger Lalonde, general manager of a multi-departmental medium-sized manufacturing company. Roger had recently attended a seminar which touted activity-based costing as the solution for all managerial problems.
However, controller Marie Walters was not too sure about the solution. She believed she had a developed a good system to allocate costs to individual departments to compute departmental income. She was nervous about Roger's strong attraction to activity-based costing.
"I wonder what he is thinking and where he wants to go with this new fad" she wondered and headed to Roger's office. Walters: Roger, I can see you are enthusiastic about this new activity-based costing. I think we must be cautious about implementing anything like that.
Lalonde: Why do you say that Marie? Isn't this right up your alley? I was going to come talk to you to lead the charge on this project.
Walters: I don't know if I am as enthusiastic as you are. Think about this, we have a nice system that our department managers understand.
Lalonde: They may understand but I am not so sure all the department managers are happy with the way indirect expenses are assigned to their departments. And you know that our indirect expenses are high.
Walters: I was not aware of that. I'll have to look into this.
Required
Assume the role of Marie Walters; what would you do? What advice would you give to Roger Lalonde?
Make an income statement for the year
: During the year, the company produced 18,400 units and sold 15,200 units. Prepare an income statement for the year
|
What is the gain from the given transaction for blue company
: Blue company sold machinery for $55,000 on December 23 2007. What is the 1231 gain from this transaction? What is the 1245 recapture gain from this transaction?
|
What is danas realized gain and recognized gain
: What is Dana's realized gain and recognized gain resulting from the merger
|
Compute the after-tax rate of return
: Using the answer from Problem 12-9, set up the equation to compute the after-tax rate of return for each scenario:
|
What advice would you give to roger lalonde
: Assume the role of Marie Walters; what would you do? What advice would you give to Roger Lalonde?
|
What value of p would make the game fair
: Consider the following gambling game for two players, Black and white. Black puts black balls and white puts w white balls in a box.
|
What is taxable income for the first year
: What is taxable income for the first year, and how much should the company expect to pay in taxes?
|
What is the taxable income for bc corporation
: BC Corporation has ordinary income from operations of $300,000 (excluding capital gains and losses). What is the taxable income for 2007?
|
What is the characterization of the geometric distribution
: Show the geometric distribution is the only discrete distribution on {0, 1, 2, . .} with this property.
|