Managerial Accounting: Creating Value in a Dynamic Business Environment
12th Edition
ISBN: 9781260417074
Author: HILTON, Ronald
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Question
Chapter 15, Problem 28E
1.
To determine
Prepare a table like the one prepared in Panel C of Exhibit 15-1 to summarize S Incorporation’s price, quantity, and revenue data.
2.
To determine
Prepare a graph like the one prepared in Panel A of Exhibit 15-1 to imitate the data produced in requirement (1).
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Students have asked these similar questions
1. You have been provided with the following data regarding shipments and costs for Brighton Boutiques:
Number of Shipments Received Cost per Receiving Report
$202
185
120
105
70
80
87
115
100
$300
$200
$100
$-
0
142
154
20
162
Required: Plot the data points on a scatter graph, and then using the high-low method, determine the cost function of the
line that will connect the high and low points on the graph. Does the cost function appear to be linear in nature?
200
175
Graph Template
40
80
60
Number of Shipments
100
120
140
Container Solutions
produces plastic storage bins for household storage needs.
1(Click
the icon to view additional information.)
Sales prices and variable costs are as follows:
2(Click
the icon to view the costs.)
Read the
requirements3.
Requirement 1. Which product should
Container Solutions
emphasize? Why?
Complete the product mix analysis to determine the contribution margin per machine hour.
Container Solutions
Product Mix Analysis
Regular
Large
Sales price per unit
Variable cost per unit
Contribution margin per unit
Units per machine hour
×
×
Contribution margin per machine hour
Which product should
Container Solutions
emphasize? Why?
Container Solutions
should emphasize the production of
(1)
because this product has the higher
(2)
Requirement 2. To maximize profits, how many of each size bin…
On the Data Tables - Student tab in your Excel spreadsheet, update the given information section of the Income
Statement for Hello Company with the data below:
Units
Price per unit
Variable expense per unit
Total Fixed Costs
Income Statement
SCENARIO 1
Product A
Product B
Product C
Required:
2. Using the Data Table What-if Analysis tool in Excel, determine the Units and Operating Income (Loss) for each
product based on the following scenarios. (Hint: Don't forget that the warehouse can only hold up to 45,000 units.)
Scenario 1: Pete wants to find the mix of units that will result in the highest overall Operating Income, perform this
analysis using a two variable data table. Product A can vary between 32,000 units and a maximum of 37.000 units.
Product B can vary between 5,000 units and a maximum of 10,000 units. Both Products A and B are manufactured
in 1,000-unit increments. The production level of Product C is the same each month at 3,000 units.
SCENARIO 2
Product A
Product B
Product…
Chapter 15 Solutions
Managerial Accounting: Creating Value in a Dynamic Business Environment
Ch. 15 - Prob. 1RQCh. 15 - Prob. 2RQCh. 15 - List and briefly describe four major influences on...Ch. 15 - Prob. 4RQCh. 15 - Prob. 5RQCh. 15 - Prob. 6RQCh. 15 - Define the following terms: total revenue,...Ch. 15 - Prob. 8RQCh. 15 - Prob. 9RQCh. 15 - Prob. 10RQ
Ch. 15 - Prob. 11RQCh. 15 - List the four common cost bases used in cost-plus...Ch. 15 - List four reasons often cited for the widespread...Ch. 15 - What is the primary disadvantage of basing the...Ch. 15 - Prob. 15RQCh. 15 - Prob. 16RQCh. 15 - Prob. 17RQCh. 15 - Explain the phrase price-led costing.Ch. 15 - Prob. 19RQCh. 15 - Prob. 20RQCh. 15 - Could tear-down methods be used effectively for...Ch. 15 - Briefly describe the time-and-material pricing...Ch. 15 - Explain the importance of the excess-capacity...Ch. 15 - Prob. 24RQCh. 15 - Describe the following approaches to pricing new...Ch. 15 - Prob. 26RQCh. 15 - Briefly explain the potential negative...Ch. 15 - Prob. 28ECh. 15 - Prob. 29ECh. 15 - Prob. 30ECh. 15 - The marginal cost, marginal revenue, and demand...Ch. 15 - Prob. 32ECh. 15 - Refer to the cost and production data for the Wave...Ch. 15 - Prob. 35ECh. 15 - The following data pertain to Royal Lighting...Ch. 15 - Prob. 37ECh. 15 - Badger Valve and Fitting Company, located in...Ch. 15 - North American Pharmaceuticals, Inc. specializes...Ch. 15 - MPE, Inc. will soon enter a very competitive...Ch. 15 - Prob. 41PCh. 15 - Prob. 42PCh. 15 - Prob. 43PCh. 15 - Alexis Kunselman, president of Pharsalia...Ch. 15 - Southern Tier Heating, Inc. installs heating...Ch. 15 - Omaha Synthetic Fibers Inc. specializes in the...Ch. 15 - Prob. 47PCh. 15 - Prob. 48CCh. 15 - Zylar Industries is a manufacturer of standard and...
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