All Matches
Solution Library
Expert Answer
Textbooks
Search Textbook questions, tutors and Books
Oops, something went wrong!
Change your search query and then try again
Toggle navigation
FREE Trial
S
Books
FREE
Tutors
Study Help
Expert Questions
Accounting
General Management
Mathematics
Finance
Organizational Behaviour
Law
Physics
Operating System
Management Leadership
Sociology
Programming
Marketing
Database
Computer Network
Economics
Textbooks Solutions
Accounting
Managerial Accounting
Management Leadership
Cost Accounting
Statistics
Business Law
Corporate Finance
Finance
Economics
Auditing
Hire a Tutor
AI Study Help
New
Search
Search
Sign In
Register
study help
business
horngrens cost accounting a managerial emphasis
Questions and Answers of
Horngrens Cost Accounting A Managerial Emphasis
=+4 Using the original data in the problem and the break-even/target profit formulas, show that it would be necessary to sell 800 cat trees to earn the profit calculated in requirements 1a and 1b
=+3 Due to recent changes in local conservation laws, the price of the wood used in the cat trees is expected to increase by $25 for each tree. What effect would this have on the break-even points
=+2 Calculate the break-even point in units assuming TCT uses:
=+b absorption costing.
=+a variable costing
=+1 Prepare an income statement assuming TCT uses:
=+4-52 KKK Variable and absorption costing and break-even points OBJECTIVES 1, 2, 4, APPENDIX 4-1 Tabby Cat Tree Ltd (TCT) builds luxury cat trees and sells them through the internet to cat owners
=+3 Determine how the production of 192000 units should be allocated between the Victorian and New South Wales plants to maximise profit for Local Engineers Ltd. Show your calculations.
=+2 Calculate the profit that would result from the production manager’s plan to produce 96000 units at each plant.
=+All fixed costs per unit are calculated based on a normal capacity usage consisting of 240 working days. When the number of working days exceeds 240, overtime charges raise the variable
=+Fixed manufacturing cost per unit 30.00 15.00 Variable marketing and distribution cost per unit 14.00 14.00 Fixed marketing and distribution cost per unit 19.00 14.50 Total cost per unit 135.00
=+4-51 KK Deciding where to produce (CMA, adapted) OBJECTIVES 1, 2, 4 Local Engineers Ltd produces the same power generators in two plants: a new plant in Victoria and an older plant in New South
=+4 Given Max Wilson’s comments, what should Lyle Hayes do?
=+3 Calculate Allen Ltd’s profit for 2014 if variable costs had been 52% of revenues.
=+2 Calculate Allen Ltd’s break-even revenues if variable costs are 52% of revenues.
=+4-50 KK Ethics, CVP analysis OBJECTIVES 1, 2 Allen Ltd produces a moulded plastic casing, LX201, for desktop computers. Summary data from its 2014 income statement are as follows:Revenues $5 000
=+3 Given John’s estimate of wedges and hot dogs sales once wedges are added to the menu, what is the estimated monthly profit assuming his estimates are realised? Should John go ahead with the
=+2 How many hot dogs and wedges does John need to sell every month in order to break even during the first six months of wedges sales, assuming a constant sales mix of 1 hotdog to every 2 serves of
=+4-49 KK Sales mix, two products OBJECTIVES 1, 2, 7 Half-Time Pty Ltd currently sells hot dogs at the local cricket grounds. In a typical summer month, the stall reports a profit of $13500 with
=+3 Suppose 250000 units are sold but only 50000 of them are deluxe. Calculate the profit. Calculate the break-even point in units.Compare your answer with the answer to requirement 1. What is the
=+2 Calculate the break-even point in units: (a) if only standard carriers are sold and (b) if only deluxe carriers are sold.
=+4-48 KKK Sales mix, two products OBJECTIVES 1, 2, 7 Goldman Ltd retails two products: a standard and a deluxe version of a luggage carrier. The budgeted income statement for next period is as
=+4 Assume that the purchase of the new equipment will mean that two current production workers will be made redundant.Should management instruct the production manager to retrench two workers?
=+3 Assuming the same sales mix, at what total sales level would Pure Water be indifferent between using the old equipment and buying the new production equipment? If total sales are expected to be
=+2 Pure Water is considering buying new production equipment. The new equipment will increase fixed costs by $181400 per year and will decrease the variable cost of the tap and the jug units by $5
=+1 What is the break-even point in unit sales and dollars for each type of filter at the current sales mix?
=+4-47 KKK Multiproduct CVP and decision making OBJECTIVES 1, 2, 4, 7 Pure Water Products produces two types of water filters. One attaches to the tap and cleans all water that passes through the
=+3 What would the profit be if 20000 units of A, 80000 units of B and 100000 units of C were sold? What is the new break-even point in units if these relationships persist in the next period?
=+2 If the sales mix is maintained, what is the total contribution margin when 200000 units are sold? What is the profit?
=+4-46 KK Sales mix, three products OBJECTIVES 1, 2, 7 Belter Ltd has three product lines of belts—A, B and C—with contribution margins of $3, $2 and $1, respectively. The CEO forecasts sales of
=+3 In 2015, Marston uses its own salespeople, who demand a 15% commission. If all other cost behaviour patterns are unchanged, how much revenue must the salespeople generate in order to earn the
=+2 Describe the advantages and disadvantages of each type of sales alternative.
=+4-45 KKK Choosing between compensation plans, operating leverage (CMA, adapted)OBJECTIVES 1, 2, 4, 5 Marston Ltd manufactures pharmaceutical products that are sold through a network of external
=+2 Determine which alternative Almo should select to achieve its net profit after tax objective. Show your calculations.
=+1 If no changes are made to the selling price or cost structure, determine the number of units that Almo Ltd must sell: (a) to break even and (b) to achieve its net profit after tax objective.
=+c Reduce fixed costs by $10000 and lower the selling price by 5%. Variable cost per unit will be unchanged. Sales of 2000 units are expected for the remainder of the year.Required
=+b Lower variable cost per unit by $10 through the use of less expensive direct materials and slightly modified manufacturing techniques. The selling price will also be reduced by $30, and sales of
=+The May income statement reported that sales were not meeting expectations. For the first five months of the year, only 350 units had been sold at the established price, with variable costs as
=+4-44 KKK CVP analysis, income taxes, sensitivity (CMA, adapted) OBJECTIVES 1, 2, 3, 5 Almo Ltd manufactures and sells adjustable canopies that attach to caravans and trailers. For its 2015 budget,
=+4 At what sales level will Mia be indifferent between hiring Jessica or David to squeeze the lemons? At what sales levels would she prefer to hire: (a) Jessica, (b) David?
=+3 David wants more money, so he has offered to squeeze all the lemons Mia needs for $6.80 per day. If Mia hires David instead of Jessica, how many glasses will Mia have to sell each day to break
=+2 Mia wants to earn $12 per day after expenses. How many glasses does she have to sell to earn $12?
=+4-43 KK CVP, alternative cost structures OBJECTIVES 1, 2, 6 Youth Lemonade Stall is run by Mia, who sells lemonade for $2 per glass. Lemons, sugar and water cost $0.60 per glass.Mia’s friend,
=+4 Do this question only if you have covered Appendix 4-2 in your class. EB estimates that the store is equally likely to sell 200, 400, 600, 800 or 1000 arrangements. Using information from the
=+3 If EB signs a sales agreement with a local flower stand, it will save $5 in variable costs per bouquet. How would this affect your answer in requirement 2?
=+2 For what range of sales levels will EB prefer: (a) the fixed rent agreement and (b) the royalty agreement?
=+4-42 KKK Alternative cost structures, uncertainty and sensitivity analysis OBJECTIVES 1, 2, 4, 5, 6 Exquisite Bouquets (EB) makes and sells flower bouquets. EB is considering opening a new store in
=+4 You open the new store on 1 January 2014, with the original salary-plus-commissions compensation plan in place. Because you expect the cost of the shoes to rise due to inflation, you place a firm
=+3 Suppose the target profit is $168000. How many units must be sold to reach the target profit under: (a) the original salary-pluscommissions plan and (b) the higher fixed-salaries-only plan?
=+2 As owner, which sales compensation plan would you choose if forecasted annual sales of the new store were at least 55000 units? What do you think of the motivational aspect of your chosen
=+4-41 KKK CVP analysis, shoe stores (continuation of 4-40) OBJECTIVES 1, 2, 4 Refer to requirement 3 of Problem 4-40. In this problem, assume the role of the owner of WalkRite Shoes.Required 1
=+5 Refer to the original data. If, in addition to his fixed salary, the store manager is paid a commission of $0.30 per unit in excess of the break-even point, what would be the store’s profit if
=+4 Refer to the original data. If, in addition to his fixed salary, the store manager is paid a commission of $0.30 per unit sold, what would be the annual break-even point in: (a) units sold and
=+3 If sales commissions are discontinued and fixed salaries are raised by a total of $81000, what would be the annual break-even point in: (a) units sold and (b) revenues?
=+2 If 35000 units are sold, what will be the store’s profit (loss)?
=+4-40 KKK CVP analysis, shoe stores OBJECTIVES 1, 2, 4 WalkRite Shoes Ltd operates a chain of shoe stores that sell 10 different styles of inexpensive men’s shoes with identical unit costs and
=+4 Redesign the classic corkscrew and increase the selling price to $6 while increasing the variable cost by $1 per corkscrew.The sales level is not expected to change from last year.Required
=+3 Raise the price of the corkscrew to $5. This is expected to decrease sales quantities by 20%.
=+2 Spend $2000 on a new advertising campaign that is expected to increase sales by 50%.
=+1 Do nothing. If TOP does nothing, it expects sales to increase by 10%.
=+4-39 KK CVP, sensitivity analysis OBJECTIVES 1, 2, 5 Technology of the Past (TOP) produces old-fashioned simple corkscrews. Last year was not a good year for sales, but TOP expects the market to
=+6 At a sales level of 22000 units, what maximum amount can be spent on advertising if a 2015 net profit after tax of $70000 is desired?
=+5 If the additional $11250 is spent, what are the required 2015 revenues for 2015 net profit after tax to equal 2014 net profit after tax?
=+4 What is the break-even point in revenues for 2015 if the additional $11250 is spent for advertising?
=+ What is the net profit after tax for 2015 if the additional $11250 is spent and the revenue target is met?
=+3 Mr Ro has set the revenue target for 2015 at a level of $550000 (or 22000 bowls). He believes an additional marketing cost of$11250 for advertising in 2015, with all other costs remaining
=+2 What is the break-even point in units for 2014?
=+Selling price 25.00 Expected sales, 20 000 units $500 000 Income tax rate 30%Chapter 4: Cost–volume–profit analysis 159 M04_HORN3377_02_LT_C04.indd 159 2/09/13 3:22 PM Required 1 What is the
=+4-38 KKK CVP analysis, income taxes (CMA, adapted) OBJECTIVES 1, 2, 3, 4 R. A. Ro & Company Pty Ltd, a manufacturer of quality handmade timber bowls, has had a steady growth in sales for the past
=+3 For 2015, management expects that the unit purchase price of the disks will increase by 30%. Calculate the sales revenue Constellation must generate for 2015 to maintain the current year’s
=+2 Calculate the company’s profit for 2014 if there is a 10% increase in projected unit sales.
=+4-37 KK CVP analysis (CMA, adapted) OBJECTIVES 1, 2, 5 Constellation Ltd’s projected profit for 2014 is $200000, based on a sales volume of 200000 units. Constellation sells disks for$16 each.
=+3 Teddy Bear lost its lease and had to move to another building. Monthly rent for the new building is $3150. At the suggestion of parents, Teddy Bear plans to take children on field trips. Monthly
=+2 Teddy Bear’s target profit is $10500 per month. Calculate the number of children who must be enrolled to achieve the target profit.
=+4-36 KK CVP, target profit, service firm OBJECTIVES 1, 2, 4 Teddy Bear Day-care provides day-care for children from Mondays to Fridays. Its monthly variable costs per child are:Lunch and snacks
=+3 If fixed costs increase by $32000, what decrease in variable cost per person must be achieved to maintain the break-even point calculated in requirement 1?
=+2 Calculate the revenue needed to earn a target profit of $91000.
=+4-35 KK CVP analysis, service firm OBJECTIVES 1, 2, 4 Wildlife Escapes generates average revenue of $5000 per person on its five-day package tours to wildlife parks in Kenya. The variable costs per
=+3 In addition to the information systems costs, what other factors should Bigmart consider before deciding to implement a new B2B system?
=+2 What is the expected cost of each plan?
=+4-34 KKK Uncertainty and expected costs OBJECTIVES 1, 4, 5, APPENDIX 4-2 Bigmart Ltd, an international retail giant, is considering implementing a new business-to-business (B2B) information system
=+4 If sales in June were only 8000 units and Mirabella’s tax rate is 30%, calculate its net profit after tax.
=+3 What is the margin of safety (in units) for June 2015?
=+4-33 KK Contribution margin, gross margin and margin of safety OBJECTIVES 1, 2, 5 Mirabella Cosmetics manufactures and sells a face cream to health and beauty stores in the greater Sydney area. It
=+3 Mr Cruze estimates that he can increase revenues by 15% by incurring additional advertising costs of $13000. Calculate the impact of the additional advertising costs on profit.
=+2 Calculate the contribution margin percentage.
=+Mr Cruze, the owner of the store, is unhappy with the operating results. An analysis of other operating costs reveals that it includes$30000 variable costs, which vary with sales volume, and $15000
=+4-32 KK Contribution margin, decision making OBJECTIVES 1, 2, 4, 5 Cruze Men’s Clothing’s revenues and cost data for 2014 are:Revenues $600 000 Cost of goods sold 300 000 Gross margin 300 000
=+3 SG is worried that contributions may drop by more than $5000000 if it takes the government subsidy. By how much can contributions decrease for SG to be able to buy the same amount of land if it
=+2 SG is considering participating in a new government program that will provide $1000 per hectare to subsidise the purchase of environmentally sensitive land. If SG participates in this program,
=+The Sunrise Group (SG) is an environmentally conscious organisation that buys land with the objective of preserving the natural environment. SG receives private contributions and takes no
=+4-31 KK CVP, not-for-profit organisation OBJECTIVES 1, 2, 4, 5
=+3 Calculate another break-even point for 2014, different from the one described in requirement 2. Explain briefly why Susan has multiple break-even points.
=+2 Suppose Susan anticipates making 500 shipments in 2014. How many picture frames must Susan sell to break even in 2014?
=+b Suppose Susan sells 40000 picture frames in 800 shipments in 2014. Calculate Susan’s 2014 profit.
=+4-30 KK CVP analysis, multiple cost drivers OBJECTIVES 1, 2, 8 Susan Wong is a distributor of brass picture frames. For 2014, she plans to purchase frames for $30 each and sell them for$45 each.
=+3 Assume that Bobbie decides to add the sale of muffins to her product mix. The selling price for muffins is $3.00 and the related variable costs are $0.75. Assuming a sales mix of three cups of
=+2 If the sales mix is four cups of coffee to one lunch roll, how many units of each product does Bobbie need to sell to earn operating profit before tax of $28000?
=+1 How many cups of coffee and how many lunch rolls must Bobbie sell in order to break even, assuming the sales mix of four cups of coffee to one lunch roll given previously?
=+4-29 KKK Sales mix, three products OBJECTIVES 1, 2, 7 Bobbie’s Café sells only coffee and lunch rolls. Bobbie estimates that every time she sells one lunch roll, she sells four cups of
Showing 1 - 100
of 6487
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
Last