View the step-by-step solution to:

Hello, I really need this last question for my accounting course to be completed and I appreciate if anyone can answer it as soon as possible.

Hello, I really need this last question for my accounting course to be completed and I appreciate if anyone can answer it as soon as possible. 

Lanier Company manufactures expensive watch cases sold as souvenirs. Three of its sales departments are: Retail Sales, Wholesale Sales, and Outlet Sales. The Retail Sales Department is a profit center. The Wholesale Sales Department is a cost center. Its managers merely take orders from customers who purchase through the company’s wholesale catalog. The Outlet Sales Department is an investment center because each manager is given full responsibility for an out-
let store location. The manager can hire and discharge employees, purchase, maintain, and sell equipment, and in general is fairly independent of company control.
Mary Gammel is a manager in the Retail Sales Department. Stephen Flott manages the Wholesale Sales Department. Jose Gomez manages the Golden Gate Club outlet store in San Francisco. The following are the budget responsibility reports for each of the three departments.

I have attached documents of the question but if for some reason you cannot access them, this is a link to the question. It's number BYP21-2



(a) Determine which of the items should be included in the responsibility report for each of the

three managers.

(b) Compare the budgeted measures with the actual results. Decide which results should be called

to the attention of each manager.

Background image of page 1
Background image of page 1

This question was asked on Jul 20, 2016.

Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors and customizable flashcards—available anywhere, anytime.


Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access or to earn money with our Marketplace.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
  • -


    Browse existing sets or create your own using our digital flashcard system. A simple yet effective studying tool to help you earn the grade that you want!

    Browse Flashcards