Acct 206 Ch 10, 11, 12 Formula Sheet

# Acct 206 Ch 10, 11, 12 Formula Sheet - • Return On...

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Chapter 10 Overview: Performance Report (Layout): (1)Planning (2)-(1) Activity Variances (2) Flexible (3)-(2) Revenue and Spending Variances (3)Actual Chapter 11 Formulas/Overview: Direct Materials Variances -Price Variance: (AQ x AP) – (AQ x SP) -Quantity Variance: (Materials used in production x SR) – (SQ x SP) Direct Labor Variances -Rate Variance: (AH x AR) – (AH x SR) -Efficiency Variance: (AH x SR) – (SH x SR) Variable Manufacturing Overhead Variances -Rate Variance: (AH x AR) – (AH x SR) -Efficiency Variance: (AH x SR) – (SH x SR) *** SR and SP : # of actual units produced x standard output per unit Throughput Time = Process Time + Inspection Time + Move Time + Queue Time Manufacturing Cycle Efficiency (MCE) = Value-added time (process time) / Throughput Time Delivery Cycle Time = Wait Time + Throughput Time Chapter 12 Formulas/Overview: Minimum Required Return Rate = Net Operating Income – Residual Income = Minimum Required Return / Average Operating Assets

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Unformatted text preview: • Return On Investments (ROI) = Net Operating Income / Average Operating Assets -or- Margin x Turnover • Margin = Net Operating Income / Sales • Turnover = Sales / Average Operating Assets • Residual Income = [ Net Operating Income – (Average Operating Assets x Minimum Required Rate of Return)] • Average Operating Assets = Net Operating Income / ROI • Net Operating Income = Average Operating Assets x ROI-or- Residual Income + Dollar Amount of Minimum Required Rate • Dollar Amount of Minimum Required Rate =Average Operating Assets x Percentage of Minimum Required Rate Segmented Income Statement in Contribution Format (Layout): Segmented Contribution Format Income Statement Sales: Variable Expenses: Contribution Margin: (=Sales – Variable Expenses) Traceable Fixed Expenses: Segment Margin: (=Contribution Margin – Traceable Fixed Expenses) Common Fixed Expenses: Net Operating Income:...
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## This note was uploaded on 10/17/2011 for the course ACCT 206 taught by Professor Dr.zachry during the Spring '11 term at Nicholls State.

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Acct 206 Ch 10, 11, 12 Formula Sheet - • Return On...

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