Mendel Paper Company Mendel Paper Company has been doing relatively well with the sales of computer paper‚ napkins‚ place mats‚ and poster board. With more people eating out‚ the demand for napkins and place mats have increased. Computer paper and poster boards have slowly increased in demand as well. However‚ there is concern at the company with the fixed cost of operations. Marlene Herbert‚ the plant superintendent‚ said‚ “As we have automated our operation‚ we have experienced increases in fixed
Premium Costs Variable cost Cost
Outsourcing BUS 630: Managerial Accounting Outsourcing The pros and cons of outsourcing varies by industry‚ size of organization‚ organizational structure‚ and many other components. The pros and cons are highlighted and the fall of Satyam to encompass a full range of accounting aspects. All size organizations outsource a portion of his or her business. Therefore‚ taking time to reflect on the points identified in this paper may enlighten or create ideas for consideration regarding outsourcing
Premium Management Economics Outsourcing
Computer Place Poster Paper Napkins Mats Board Total Number of units 30 120 45 80 275 Sales $420 $840 $540 $680 $2‚480 Cost of goods sold: Variable costs 225 612 270 360 1‚467 Contribution margin $195 $228 $270 $320 $1‚013 Unit revenue and costs information: Computer Place Poster Paper Napkins Mats Board Selling price $14.00 $ 7
Premium Variable cost Contribution margin Costs
Auerbach Enterprises Pamela Jay Ashford University BUS630: Managerial Accounting Thomas Wilson June 17‚ 2013 Auerbach Enterprises Auerbach Enterprises is an air conditioning company who manufactures air conditioners for automobiles and trucks. Their business provides these products across North America. In evaluating the type of costing method Auerbach Enterprises would benefit from the most‚ they fall into job order costing system due to the variety of auto and truck air conditioning
Premium Manufacturing Mathematics Costs
will need to download FedEx’s Form 10-K for the fiscal year ended May 31‚ 2005 (file date July 14‚ 2005). You do not need to print this document to answer the questions. Required: • What is FedEx’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy‚ operations excellence‚ or product leadership customer value proposition? What evidence supports your conclusion? • What are FedEx’s four main business segments? Provide two examples of traceable fixed costs
Premium Rate of return Investment Profit
Mendel Paper Company Mendel Paper Company Contribution margin is equal to revenue minus certain costs. The following is the contribution margins by product line for the next fiscal quarter for Mendel Paper Company. Computer Paper = 30‚000 units x $14.00 = $420‚000 30‚000 units x $6.00 = $180‚000 420‚000 – 180‚000 = $240‚000 contribution margin (cm) Napkins = 120‚000 units x $7.00 = $840‚000 120‚000
Premium Revenue Marketing Generally Accepted Accounting Principles
Capacity Practice Problems: 1) Given the following information‚ compute the efficiency‚ utilization and productivity of this repair department. Design (Maximum or peak) Capacity = 50 vehicles per day Effective Capacity = 40 vehicles per day Actual (Demonstrated) Output = 36 vehicles per day Labor actually used = 44 vehicles per day Efficiency= Actual OutputEffective Capacity = 36 vehicles per day40 vehicles per day=90% Utilization= Actual OutputDesign Capacity = 36 vehicles per day50
Premium Shift work Year Time
Week 1 assignment Managerial Accounting BUS 630 Week 1 assignment 1. From all original estimates given‚ prepare estimated contribution margins by product line for the next fiscal quarter. Also‚ show the contribution margins per unit. Product Line Sales Volume Price Variable Cost Contribution Margin/Unit Ratio Comp. Paper 30‚000 $14.00 $6.00 $8.00 57% $8.00*30‚000 = $240‚000 CM Napkins 120‚000 $ 7.00 $4.50 $2.50 36% $2.50*120‚000 = $300‚000 CM Place Mats 45‚000 $12.00 $3.60 $8.40 70% $8.40 * 45
Premium Variable cost Costs Management accounting
even = Fixed expenses / Unit CM $150‚000 / 12 = 12500 Dollar Sales to break even = Fixed expenses / CM ratio $150‚000 / 0.40 = $375‚000 * If 12‚000 pairs of shoes are sold in a year‚ what would be Shop 48’s net operating income or loss? The company is considering paying the store manager of Shop 48 an incentive commission of Shop 48 an incentive commission of 75 cents per pair of shoes (in addition to the salesperson’s commission). If this change is made‚ what will be the new break-even point
Premium Generally Accepted Accounting Principles Variable cost Earnings before interest and taxes
BUS630 WEEK 1 Ashford University MANAGERIAL ACCOUNTING: This week students will: 1. Explain the primary ethical responsibilities of the management accountant. 2. Illustrate the key principles of managerial accounting including cost concepts. 3. Distinguish between the behavior of variable and fixed cost. 4. Explain the significance of cost behavior to decision making and control. 5. Determine the necessary sales in unit and dollars to break-even or attain desired profit
Premium Management accounting Costs Variable cost