MBA642 Week 4 Assignments

MBA642 Week 4 Assignments - Assignment 4.1 Read Chapters 7...

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Assignment 4.1 Read Chapters 7 and 8 and read the respective lecture notes. View the demonstrations from chapters 7 and 8 in the course documents area. The PowerPoint can be viewed at the textbook’s website, which can always be accessed by going to the external links area and clicking on the textbook website. Assignment 4.2 On the discussion board you will find a week 4 forum opened up the 1 st day of the fourth week. In the Week Four Forum, I have set up separate discussion threads on questions from Chapters 7 and 8 that are listed below. Please pick Two of the questions below to post to or follow up on a classmate's post during the week. All of your postings to the discussion board must be made over at least a 2 day time period . 1. How will JIT impact the difference between absorption and variable costing? 2. Explain how income under absorption costing can increase from one period to the next even though selling prices and costs have remained the same. 3. Why is variable costing better than absorption costing for planning and controlling purposes? 4. If production is greater than sales, why is absorption-costing income greater than variable costing income? 5. What is the one difference between the way costs are assigned under variable and absorption costing? 6. Product costs are defined as costs associated with the manufacturing process. How does the operational definition of product cost differ between absorption costing and variable costing? 7. An absorption-costing income statement will report gross profit or gross margin whereas a variable-costing income statement will report contribution margin. What is the difference between these terms? 8. Explain why some believe that absorption cost may provide incentive for managers to overproduce inventory. 9. Which is more consistent with cost-volume-profit analysis, variable costing and absorption costing? 10.
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This note was uploaded on 11/13/2011 for the course MBA 642 taught by Professor Jamesstephens during the Summer '11 term at Bellevue.

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MBA642 Week 4 Assignments - Assignment 4.1 Read Chapters 7...

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