No return if unwrapped
SME 2001: Managerial Accounting
Babson College Faculty
SME 2001: Managerial Accounting, Faculty Fall
THIS PRINT COURSEPACK AND ITS ELECTRONIC COUNTERPART (IF ANY) ARE INTENDED SOLELY FOR THE
Baht) Saltware Development inc.
Babo Software Development inc. designs, prograams, produces and services software application
for advertising agencies. A new applica on totrack advertising outcomes based on increased
unit sales of advertised products and
Babson Mugs is considering adding a new line of high end mugs to their collection.
They expect to price the mugs at $30 each and expect to earn a gross profit
margin of 45%. Adding the new line will require an investment of $200,000.
Q U ES TI O N 1
Richardson Motors uses 10 units of Part No. T305 each month in the production of large
diesel engines. The cost to manufacture one unit of T305 is presented below.
(20% of Direct Materials Cost)
Managerial Accounting Jobs
Jobs are very diverse, but involve preparing information
for managers and executives used for strategic and
operational decisions as well as establishing reporting
systems and preparing regulatory reports.
More employment oppo
ABC in class example
Babson Industries (BI) manufactures and sells a variety of electro-mechanical games. BI's
CFO noticed BI cannot make its 45% target gross margin for its high volume games while it easily
achieves the target for its low volume games. T
Basic job order and Giving Voice to Values
Extreme Games Programming (EGP) provides contract video game
programming. The firm bills clients for the time programmers spend working on a
programming job. The billing rate is based on a combination of the actu
Pizza Equipment Company
A review of the internal information for Pizza Equipment Company shows the following.
Direct labor hours
Cost Analysis In Class Exercise
Anna's bakery operates out of a retail storefront. 40% of the store space is used for baking breads
while the rest is used for sales. 75% of utility costs are used in the baking process. Utilities include
a fixed monthly ch