February 23‚ 2014 QUAN 6610 Book Report The Goal: A Process of Ongoing Improvement by Goldratt and Cox KEY IDEA The Goal centers around the protagonist Alex Rogo‚ who is a manager at a manufacturing and production plant for UniCo that is performing badly and is given three months to improve or face closing. His old physics professor‚ Jonah‚ is his guide and mentor through the story‚ using the Socratic Method‚ as Alex and his team learn to formulate what later becomes the Theory of Constraints
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Sales Material costs Direct Labor (DL) 40% fringe on DL Machine time expense Production run expense Setup time expense Administer parts expense Total expense Operating income Return on sales $75‚000.00 $25‚000.00 $10‚000.00 $4‚000.00
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system‚ website‚ and accounts receivable system. The debit/credit system and the website are already automated while the accounts receivable system is currently manual. The debit/credit system records all the expenses of the company‚ may it be capitalization expense or daily operating expense. It also records the sales from the job orders. The website simply advertises the company’s sold units and shows the company site map. The accounts receivable system holds the schedule of payment of the clients
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05%. While profitability of WBC is higher than NAB’s‚ NAB’s financial leverage was greater than WBC’s thus producing a higher ROE. NAB also has a higher Net Income compared to WBC. WBC has a higher Average Expense Multiplier of 16.42 compared to NAB of 15.31 as WBC has lower operating expenses and lower assets compared to NAB. NAB has a marginal higher Average Asset Utilization of 8.02% compared to WBC’s of 7.95% due to NAB having greater amount of Net Sales and WBC having a lower amount of Total
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Production Budget: Learning Objective of the article: 1. Define and explain production budget. 2. Prepare a production budget. Definition and Explanation of Production Budget: Theproduction budgetis prepared after thesales budget. Theproduction budgetlists the number of units that must be produced during each budget period to meet sales needs and to provide for the desired ending inventory. Production needs can be determined as follows. | Budgeted sales in units-------------------
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How do fundamental and quantitative analysis differ? In fundamental analysis managers analyze the unique aspects of a firm. For example‚ a manager doing fundamental analysis on Microsoft would study Microsoft’s new products‚ understand Microsoft’s profit margins‚ threats from specific competitors‚ etc. You use this information to forecast the future cash flows of Microsoft to estimate the fundamental value of Microsoft. In quantitative analysis you do not analyze a specific firm. Instead‚ you
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Course: Managerial Accounting (ACCTG 4B) – Fall 2014 Lab Assignment No: 8 (Chapter 23) Assignment Due Date: 10/30/14 by 6:00AM Instructions Complete the following problems; make sure to include your calculations. Any incomplete work or partially completed will automatically receive zero points. PART I: Herron Company has budgeted the following unit sales: 2008 Units April 25‚000 May 50‚000 June 75‚000 July 45‚000 Of the units budgeted‚ 40% are sold by the Southern Division at an average
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After a run in with an old physics teacher‚ Alex Rogo discovers new meaning to the management terms throughput‚ inventory and operational expense during his quest to turn his plant around. Jonah‚ his teacher‚ defines throughput as “the rate at which the system generates money through sale” (Goldratt and Cox). His definition of throughput catches Rogo off guard as it is different from the version he learned. Operations and Supply Chain Management‚ defines throughput as the “output rate that the process
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(“Segment”‚ n.d.) Corporation -- “an association of employers and employees in a basic industry or of members of a profession organized as an organ of political representation in a corporative state”. (“Corporation”‚ n.d.) Overhead -- “business expenses (as rent‚ insurance‚ or heating) not chargeable to a particular part of the work or product”. (“Overhead”‚ n.d.) Capitalism – “an economic system characterized by private or corporate ownership of capital
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creating future benefits. A capital expenditure is incurred when a business spends money either to buy fixed assets or to add to the value of an existing fixed asset with a useful life extending beyond the taxable year. Operating expense‚ operating expenditure‚ operational expense‚ operational expenditure or OPEX is an ongoing cost for running a product‚ business‚ or system. As for the True Star Electronics Company‚ we believe the following the accounting treatment would be appropriate. a. CAPEX
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