Erica Acree
Managerial Accounting Week 6 Assignment
BE 12-1
Rihanna Company $450,000/60,000= 7.5 years cash payback period
BE 12-4
NPV= $ -11,816.15. The reduction in downtime has to be worth at least
Q1
Estimated Sales
Finished Goods Inventory
Q2
10000
2500
Q3
14000
3500
Q4
15000
3750
18000
4500
Units to be produced
Direct Materials per Unit
Janurary
4000
2
Total pounds needed
Add - Desired ending
Identify the problem and assign responsibitliy
Determine and evaluate possible courses of action
Make a decision
Review results of the decision
Revenues
Costs
Net Income
Alternative A Alternative B Ne
Cost of equipment Net Annual Cash Flow
Cash Payback Period (yrs)
$
450,000 $
60,000
7.5
Discount Factor for 8 periods
Present Value @ 9%
5.53482
Present Value of Net Cash Flows
34,000*5.53482
$
188,18
Fixed Costs
Promotion
Brochures
Admn
Auditorium
Airfare &Acco
Fee
Total
BEP
Enrollment
Per head Revenue
Total Revenue
Costs
VC
Contribution
Fixed Costs
SURPLUS
50% Prof
Total Income
Total Expenses
VC
Erica Acree
Managerial Accounting week 5 Assignment
BE7-1
1. Identify the problem and assign responsibility
2. Determine and evaluate possible courses of action
3. Make a decision
4. Review results of
Erica Acree
Managerial Accounting Week 3 Assignment
BE3-7
Trek Company
April 2016
Units transferred out
WIP(April)
5,[email protected]%
5,[email protected]%
Total equivalent
units
Materials
40,000
Conversion Costs
40,000