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7-1CHAPTER 7Incremental AnalysisASSIGNMENT CLASSIFICATION TABLEStudy ObjectivesQuestionsBriefExercisesExercisesAProblemsBProblems1.Identify the steps inmanagements decision-making process.1, 2112.Describe the conceptof incremental analysis.3, 4213.Identify the relevantcosts in accepting anorder at a special price.532, 3, 4, 141A1B4.Identify the relevantcosts in a make-or-buydecision.6, 745, 6, 142A2B5.Identify the relevant costsin determining whether tosell or process materialsfurther.8, 9, 105, 67, 8, 9, 143A3B6.Identify the relevant coststo be considered inretaining or replacingequipment.11710, 11, 144A4B7.Identify the relevant costsin deciding whether toeliminate an unprofitablesegment.12812, 13, 145A5B7-2ASSIGNMENT CHARACTERISTICS TABLEProblemNumberDescriptionDifficultyLevelTimeAllotted (min.)1AMake incremental analysis for special order and identifynonfinancial factors in the decision.Simple20302AMake incremental analysis related to make or buy,consider opportunity cost, and identify nonfinancialfactors.Moderate30403ADetermine if product should be sold or processed further.Moderate30404ACompute gain or loss, and determine if equipment shouldbe replaced.Moderate30405ACompute contribution margin and prepare incrementalanalysis concerning elimination of divisions.Moderate30401BMake incremental analysis for special order and identifynonfinancial factors in the decision.Simple20302BMake incremental analysis related to make or buy,consider opportunity cost, and identify nonfinancialfactors.Moderate30403BDetermine if product should be sold or processed further.Moderate30404BCompute gain or loss, and determine if equipment shouldbe replaced.Moderate30405BCompute contribution margin and prepare incrementalanalysis concerning elimination of divisions.Moderate20301BLOOMS TAXONOMY TABLE7-3Correlation Chart between Blooms Taxonomy, Study Objectives and End-of-Chapter Exercises and ProblemsStudy ObjectiveKnowledgeComprehensionApplicationAnalysisSynthesisEvaluation*1.Identify the steps in managementsdecision-making process.BE7-1Q7-1Q7-2E7-1*2.Describe the concept ofincremental analysis.Q7-3Q7-4E7-1BE7-2*3.Identify the relevant costs inaccepting an order at a specialprice.Q7-5BE7-3E7-2E7-3E7-4E7-14P7-1AP7-1B*4.Identify the relevant costs in amake-or-buy decision.Q7-6Q7-7BE7-4E7-5E7-6E7-14P7-2AP7-2B*5.Identify the relevant costs indetermining whether to sell orprocess materials further.Q7-8Q7-9Q7-10BE7-5BE7-6E7-7E7-8E7-9E7-14P7-3AP7-3B*6.Identify the relevant costs tobe considered in retaining orreplacing equipment.Q7-11BE7-7E7-10E7-11E7-14P7-4AP7-4B*7.Identify the relevant costs indeciding whether to eliminatean unprofitable segment.Q7-12BE7-8E7-12E7-13E7-14P7-5AP7-5BBroadening Your PerspectiveReal-World FocusExploring the WebDecision MakingAcross theOrganizationDecision MakingAcross theOrganizationAll AboutYouActivityManagerial AnalysisDecision MakingAcross theOrganizationEthics CaseCommunication7-4STUDY OBJECTIVES... View Full Document

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