Operational Decision Making
This section of the course will focus on the question of how to use accounting
information to make a variety of decisions regarding how to operate a company. The
types of decisions we will
Part 1 Miscellaneous questions
i 4 pts) Below is the equation for WIP inventory. Fill in the missing piece.
Transfers from materials
Manufacturing labor and overhead
ii 8 pts) Fill the blanks
Practice Midterm Solution
Part 1 Miscellaneous questions
i 4 pts) Transfers to finished goods or cost of goods manufactured
ii 8 pts) E, D, A, C
iii 4 pts) MV F
iv 4 pts) This could either be descriptive (eg, the increase in profit due to v
Torrance Inc. has fixed costs of $3,000,000 and variable costs of $4 per unit. Assume that Torrance can
produce as many units as it can sell.
1) Torrance is contemplating three possible prices, $8, $10, and $12. For each of th
CVP Exercise: Capacity Setting
A manufacturer has the following costs:
fixed costs of $5,000,000 related to its corporate headquarters (administration)
and marketing activities (unrelated to the number of plants);
step costs of $3,000,000 p
Water Company Solution
Santa Monica shop operations
Big Bear shop operations
Cost per bottle
Solution for ABC Exercises
a) The steps in overhead allocation are the same as before, except that there are four cost
pools, each of which must be allocated separately. Following are the allocations:
Cost Allocation for a Baking Company
The Mama Williams Cookie Company produces two varieties of cookies: regular
chocolate chip and cayenne pepper chocolate chip. The company is owned by Michael
Williams and operates out of his kitchen in W
Cost allocation and ABC
I) The San Bernardino Valley Spring Water Co. produces bottled flavored carbonated
water at its plant in San Bernardino and sells the water at two shops, one in Santa Monica
(50 miles west on Interstate 10), and one
Production Title: Pythagoras, Strand C, Video 5
Total Length: 1 minute, 24 seconds
Title: Phagoras Title I Music: Upbeat
me; oo:o:o-oo:os:oo _ MUS'C- Upbeat
Narration: This is Sue Popovich.
In 50 Words
growth depends on
effectively measuring the three facets
of customer loyalty
related to retention,
advocacy and purchasing behaviors.
A new measurement
approach and rating
system can help
The Millennial Consumer
The Boston Consulting Groups Center for Consumer and Customer Insight applies a unique,
integrated approach that combines quantitative
and qualitative consumer research with a deep
understanding of business st
$129.99 (no Bluetooth)
Nike Fuel Band
Customer Life Cycle
Source of consumer knowledge
Your marketing concerns
How to maximize your
client and prospect profit?
Focus on the customer
Your marketing retruns depends on
Number of (valuable) clients
Value of each customer
Length of the re
to clock on
to clock off
1. Our clientele includes several multinational companies.
2. We wanted to buy the house but the vendor was asking for $300,000.
3. The government brought in several market reforms to strengthen th
If we don't change our course, we'll end up where we're headed.
Energy is the source for all growth and complexity.
PEAK EVERYTHING ?
(heinberg, klare, skrebowski, campbell, hopkins, hagens, simmons, energywatchgroup, green new deal group)
money, money, money
must be funny
in the rich man's world
kilowatt-hour as currency unit?
the current were swimming against is our currency
money is one of the most powerful political tools availab
responsible business - a world in transition - systems and solutions thinking worksheet
In view of the problems with:
opportunities for businesses
(but no solutions for social-ecological systems)
Overhead Allocation for a Concessionaire
Recall the concession operator at the Staples Center, who sells two products, beer and
pretzels, at Lakers basketball games. The following statistics apply to beer and pretzels: