FrantzTMBA5130-8-8-1 - FrantzTMBA5130-8-8-1 1 NORTHCENTRAL...

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FrantzTMBA5130-8-8-1 1 NORTHCENTRAL UNIVERSITY ASSIGNMENT COVER SHEET Student: Thomas E Frantz THIS FORM MUST BE COMPLETELY FILLED IN Follow these procedures: If requested by your instructor, please include an assignment cover sheet. This will become the first page of your assignment. In addition, your assignment header should include your last name, first initial, course code, dash, and assignment number. This should be left justified, with the page number right justified. For example: FrantzTMBA5130-8-8-1 8-8-1 Save a copy of your assignments: You may need to re-submit an assignment at your instructor’s request. Make sure you save your files in accessible location. Academic integrity: All work submitted in each course must be your own original work. This includes all assignments, exams, term papers, and other projects required by your instructor . Knowingly submitting another person’s work as your own, without properly citing the source of the work, is considered plagiarism. This will result in an unsatisfactory grade for the work submitted or for the entire course. It may also result in academic dismissal from the University. MBA5130-8 Professor Craig Martin Managing Business Finances Create an Economic and Management Accounting Plan Faculty Use Only <Faculty comments here> <Faculty Name> <Grade Earned> <Date Graded>
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FrantzTMBA5130-8-8-1 2 MBA5130-8 Week 8 Assignment 1: Create and Economic and Management Accounting Plan Thomas Frantz Professor Craig Martin, Ph. D February 7, 2017
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FrantzTMBA5130-8-8-1 3 Introduction Every industry must deal with the ebbs and flows of its nation’s (and often the world’s) economy. The soft drink industry is no exception. The soft drink industry is a multi-billion- dollar global industry that includes carbonates, juices, concentrates, bottled water, functional beverages, smoothies, and ready to drink coffee and tea. Within this report, I will provide and discuss a microeconomic analysis of the soft drink industry, including how any recent developing trends may affect the demand for this product. I will then provide and present a macroeconomic analysis of the United States economy and the impact it may have on the demand for this product. Finally, I will provide a list of key management accounting practices that this company must put into place to support its planned expansion. This list will include full explanations of each practice describing how and why the practice is necessary to manage the growth that will come with development. Microeconomic Analysis of the Soft Drink Industry Revenues in the United States soft drink market exceeded $158 billion in 2014. These funds represent a 2.6% growth rate for the industry despite a decline in the sale of carbonated beverages which still provides the largest percentage of revenue for the industry. As Table I below indicates, the carbonated soft drink (CSD) sector of the soft drink industry represents over sixty percent of the total beverage market revenue within the United States (Marketline, 2015).
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