Question One (25 marks)
Based on module 7 – Budgeting
Retail outlets purchase snowboards from Slopes Ltd., throughout the year. However, in anticipation of late summer and early autumn purchases, outlets ramp up inventories from January through May. Outlets are billed when boards are ordered. Invoices are payable within 60 days. From past experience, Slopes’ accountant projects 20% of invoices are paid in the month invoiced, 50% are paid in the following month, and 30% of invoices are paid two months after the month of invoice. The average selling price per snowboard is $450.
To meet demand, Slopes increases production from December through March, because the snowboards are produced a month prior to their projected sale.
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(b) Determine which alternative Grace Inc should select to maximise net income.
Show your calculations.
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Marking Criteria:
Application of CVP to question 2a 9 marks
Application and interpretation of CVP to question 2b 16 marks
Question Three
Based on module 8 – Costing in an entity (25 marks)
Alex’s Fine Art Studio is a company offering art services. The owner Alex Touch has been contacted by the manager of Ruthven Cars Company who complained about the price charged for some art work. On the same day Alex was also contacted by the manager of Books Galore who was delighted with the work and the price charged.
Alex uses a cost-based approach to pricing (billing) each job. Currently it uses a single direct-cost category (professional labour hours) and a single indirect-cost pool (general support). Indirect costs are allocated to jobs on the basis of professional labour-hours per job. Professional labour costs at Alex’s Fine Art Studio are $70 an hour. Indirect costs are allocated to jobs at $105 an hour. Total indirect costs in the most recent period were $21 000. The job files show the following:
Professional Labour
Ruthven Cars Company 104 hours
Books Galore 96 hours (Assume these two jobs were the only jobs completed in this period.)
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Required:
(a) Compute
I am now a professional snowboarder that is with my friends at Mammoth Mountain, the local resort, preparing for the X- Games slopestyle competition that is a few days away. The slopestyle competition is a snowboarding course that consists of rails and jumps. To score a run in a slopestyle course each rail or jump
Waking up and looking outside, the snow is several inches deep covering the grass, the street, and the snow-banks are knee high. These are the perfect conditions, for one thing, snowboarding. A snowboarder knows the prime conditions to ride and will do anything to make sure they are on the mountain ready to go when those conditions arise. In preparation for snowboarding, you’ll need to consider the temperature, where you will be riding, and what type of gear is needed for the conditions.
Throughout time, the progression and evolution of snowboarding has increased greatly. It has gone from non existence in the late 1970’s, to one of the most watched action sports in a matter of thirty-five years. The upward takeoff and popularity of snowboarding relies on two people, Jake Burton and Shaun White. Jake Burton back in 1977 had the vision for what snowboarding would be, but Shaun White had what it took to manifest that vision. Evidence has shown that time brings change in sports, history has repeated itself with snowboarding, this history reflects the time & changes that has occurred in America.
Snowboarding has an amazing background and explanation of how it came to be. It all started with the people who surfed and skateboarded. They wanted something similar to do in the winter. Sherman Poppen was the creator of the snurfer (an early snowboard) in 1965. Sherman was one of the skateboarders who wanted to surf but lived in Michigan. One day he nailed two skis together and attached a rope with a handle to the front thus creating the snurfer. Sherman then called his friends, who were engineers for the Brunswick Corporation and asked them to make some of the snurfers. The Brunswick Corporation made skis, bowling balls, bowling alleys, and bowling pins. The snurfer took the world by storm, but people wanted a safe way to ride. Eventually Jake Burton Carpenter started making a new model called the ski board and this was the first company for snowboards. Jake Burton was a Stockbroker who fell in love with snowboarding and decided to take the risk and start making them. He became the founder of the
Alex Pardee’s horrifically moving artwork has captured the interest of many around the world. His unique style has inspired that of many upcoming artists to create equally disturbing and fantastic pieces. Not only does he have thousands of sketches, paintings, and short stories to shed light on the warped convolutions of his mind, but he has a less than perfect back story and wicked sense of sarcasm to verify it. That’s all part of what makes him so fascinating. An intelligent and talented man, Alex Pardee is an icon of persistence and individuality for thousands upon thousands of aspiring artists and seemingly lost inhabitants of
I got all my rental gear for example, my board, helmet, and my boots. The club had it own room where members could leave your belongings and get a lift ticket. Once I got all my gear on and put my ticket on, I was ready to hit the slopes. The first step to learning how to snowboard are the basics skills for example, standing up, back heal stop, toe stop, and shredding. Learning these skills only took 2 days, but the other guys were struggling for a couple more days. When everyone has the basics down, we must keep riding the hills to get better. We rode on two hills called the EZ rider and the terrain. The EZ riders is more for beginners, it’s not as steep as other hills, wider trails, and easier chair lifts to get off. The terrain is a little harder it has jumps, rails, and other obstacles, steeper than most hills, and faster chair lifts. Riding the same hills repetitively slowly became tiresome. With even switching from hill to hill it felt like I was making the same movements, swaying my board side to side. The others guys happen to catch on to the technique faster than I was able to, but that never stopped me. Them getting better only pushed me harder because I wanted to be better than them and eventually I will be.
Sign-A-Rama Ontario has a simple costing system that has been developed through decades of experience in the industry. Primarily, the company utilizes a job costing system since each job is different and is performed to the customer’s specifications. According to Ms. Lamb, who is also in-charge of monitoring the costing system, the cost of each job
Imagine this: you’re on the starting line, feet strapped firmly into boots on your snowboard. The start horn sounds, and you’re off, flying down the slope, jumping obstacles and landing tricks. Slopestyle snowboarding has gained popularity as an Olympic sport, even if it is pretty young. The lack of time the sport has been around doesn’t mean it isn’t well developed. It has a history, and many people competing with a set scoring system and rules.
The first time I went snowboarding I was 9 or 10. Me, my mom, my dad, and Lucas drove up to Mars Hill, North Carolina. The place we went was a small resort named Wolf Ridge Ski Resort. Wolf Ridge has 15 trails including one bowl, one black, nine blues, and four greens. The black diamonds are the equivalent to blues in colorado or utah. Since it was my brother and I’s first time we found a rental place the night we got into Mars Hill and rented boots and boards for the very next morning. We were so excited, my brother and I got up super early in our family's hotel room and drove the short 5 min drive up through the mountains. We got there around 7:30 and the lifts started running at 9:00. We had brought skateboard helmets, small jackets almost hoodie
3. The new system allows charging additional services required by the clients, generating more revenue. 4. Knowing which are the cost drivers , it will be possible to control costs more effectively (reducing fixed costs and increasing net margin) 5. Market analysis with direct competitor in the region suggests that studio prices are at least 21% lower and one bedroom suite prices are at least 40% lower than the competition in the new pricing model. Comparison with the general market suggests similar findings. MAIN REPORT
P&R Ski and Snowboard Shop sells a range of items related to skiing and snowboarding; we will also sell items suitable for
The patron and the artist often have a somewhat complicated relationship. The patron describes to the artist what they want in the painting, and it’s in the artist’s best interest to follow instructions carefully, or they might not be paid. At the same time, however, it would be best for the patron to give the artist some creative freedom, as they understand the elements of art best. The price of the art may be determined by any number of things. It could be set by characteristics of the painting, like the type of paint used, the materials, the size of the painting, or the number of people featured in the composition. For example, paintings containing ultramarine blue would be more expensive because it is made with lapis lazuli, a very expensive semi-precious stone.The prices could also be determined by the guild or another outside influence. Griet mentions in the book she suspected that Maria Thins struck up the deals for Vermeer. Depending on the severity of the discrepancy, a patron could find another artist, or an artist can simply solve the problem the patron has with the work. For example, if there was a small detail the patron was unhappy with, it could be fixed relatively quickly and easily. If the patron was unhappy with the piece in its entirety, and the artist was unwilling to comply with their requests, it would not be completely out of the question for the patron to find a different artist.
That is why Burton Snowboards continually bringing new products to the customers. Accessories, Apparel, Outerwear, Gloves, Boots, Layering and Boards come in different sizes and styles that suit all kinds of customers. Even bags come in all sizes. The demand on children snowboarding market is rising because more and more families have starting to take snowboarding as a hobby, not only the parents can enjoy it, children also have the privilege to snowboard in style.
Endo Snowboard Company’s snowboards are fairly new (two years) to the market and are currently waiting to penetrate the major markets in North America and abroad. A two year manufactures’ warranty is provided with all Endo Snowboard Company‘s snowboards.
At its peak burtons controlled over 40 % of the US snowboarding market and remains the market leader despite growing competition.