Can you please help me to solve this problem all 8 sections

ACC 550 Hampshire Company Case Study Section I: Cost-Volume-Profit Analysis The Hampshire Company manufactures umbrellas that sell for $12.50 each. In 2014, the company made and sold 60,000 umbrellas. The company had fixed manufacturing costs of $216,000. It also had fixed costs for administration of $79,525. The per-unit costs of each umbrella are as follows: Direct Materials: $3.00 Direct Labor: $1.50 Variable Manufacturing Overhead: $0.40 Variable Selling Expenses: $1.10 Using the information above, perform a cost-volume-profit (CVP) analysis by completing the steps below. All CVP calculations should be completed in the Hampshire Company Spreadsheet. Note: The CVP analysis satisfies Part A of Section I. 1. Compute net income before tax. 2. Compute the unit contribution margin in dollars and the contribution margin ratio for one umbrella. 3. Calculate the break-even point in units and dollars of revenue. Note: This is a required part of the CVP analysis and satisfies Part C of Section I. 4. Calculate the margin of safety: a. In units b. In sales dollars c. As a percentage 5. Calculate the degree of operating leverage. 6. Assume that sales will increase by 20% in 2015. Calculate the percentage of before-tax income for this increase. Provide calculations to prove that your percentage increase is correct based on the operating leverage calculated in step 5. 7. Compute the number of umbrellas that Hampshire is required to sell if it plans to earn $150,000 in income before taxes by using the target income formula. Proof your calculation. 8. A company that specializes in tours in England has offered to purchase 5,000 umbrellas at $11 each from Hampshire. The variable selling costs of these additional units will be $1.30 as opposed to $1.10 per unit. Also, this production activity will incur another $15,000 of fixed administrative costs. Should Hampshire agree to sell these additional 5,000 umbrellas to the touring business? Provide calculations to support your decision. Additionally, complete Parts B and D of Section I as outlined in the Final Project Guidelines and Rubric document. Section II: Inventory Management The information below represents the beginning and ending inventory amounts along with the production and sales for the month in umbrella units. Beginning Inventory: 0 Umbrellas Production: 80,000 Umbrellas Sales: 60,000 Umbrellas Ending Inventory: 20,000 Umbrellas Using the information provided above and the costs and sales information provided in Section I, complete the following in the Hampshire Company Spreadsheet in order to assist you in responding to all components of Section II: Prepare a variable costing income statement. Prepare an absorption costing income statement. Additionally, complete Parts A through E of Section II as outlined in the Final Project Guidelines and Rubric document. Section III: Benchmarking The management of the Hampshire Company would like to implement benchmarking. Standard costs have been established and are presented below. You will want to complete a variance analysis to include efficiency and price variances for materials (cloth and handle assemblies) and labor based on the following data: Units Produced = 80,000 Units Sold = 60,000 Direct Materials Purchased and Used Actual square yards of cloth purchased and used: 128,000 Actual price incurred per yard: $1.25 Actual handles purchased and used: 80,808 Actual price per handle/rib/stretcher assembly: $0.99 Direct Manufacturing Labor Used Actual direct labor hours used: 15,748 Actual price per hour: $7.62 Direct labor costs: $120,000 Standard Rates Standard labor hours per unit: 0.20 Standard labor price per hour: $7.50 Square yards material per unit: 1.50 Standard price per yard: $1.15 Handle/rib/stretcher assembly per unit: 1 Standard price per handle assembly: $1.05 Companies can use variance analysis and benchmarking to measure performance within their own company and against competitors. This can be done by setting standards/budgets and comparing a completed variance analysis to results from prior periods or comparing them to competitors' results. Using the information provided above, complete the following calculations (steps 1 and 2) in the Hampshire Company Spreadsheet. This will assist you in responding to all components of Section III. 1. Calculate price variances for material and labor and denote whether they are favorable or unfavorable. 2. Calculate efficiency variances for material and labor and denote whether they are favorable or unfavorable. In order to measure performance and make use of the variance analysis completed, management understands the need to compare results with their competitors. Following the steps outlined below, you will research benchmarking and propose the most effective approach for your company. Respond to Parts A through C of Section III as outlined in the Final Project Guidelines and Rubric document. Section IV: Alternative Costing Method Hampshire has always produced stick umbrellas. However, it is considering expanding its production to include collapsible umbrellas. This consideration has been spurred by Tours Today, a touring company that is interested in providing its customers with collapsible umbrellas imprinted with its logo. The management at Hampshire is currently working out a deal with the touring company to produce 3,000 collapsible umbrellas and believes it can sell those umbrellas for $14.00 each. Here are the costs that can be directly traced to this special order: Direct Materials: $9,300 Direct Labor Hours: 600 Hourly Rate of Direct labor: $8.00 In the traditional costing approach, overhead is applied at the rate of $24.60 per labor hour. This expansion in production will add additional overhead costs. The total overhead costs (assuming production of the stick and collapsible umbrellas) to include the cost pools and cost drivers are provided in Table 2. An alternative costing method that might benefit Hampshire is the implementation of activity-based costing (ABC). Hampshire would like to implement an ABC approach to analyze the production of this special order of collapsible umbrellas. The controller has assembled the following information: Stick Units Sold 60,000 Selling Price $12.50 Direct Material Cost per Unit $3 Direct Labor Cost per Hour $7.50 Variable Manufacturing Overhead $0.40 Variable Selling Costs $1.10 Labor Hours per Unit 0.2 Sales Orders 120 Purchase Orders 50 Production Runs 45 Material Moves 86 Machine Setups 130 Machine Hours 525 Inspections 200 Shipments 60 Table 1: Direct Cost Information and Activities Activity Order Processing Purchasing Material Handing Machine Setup Production Assembly Inspecting Shipping Collapsible 3,000 $14.00 $3.10 $8.00 $0.40 $1.10 0.2 1 3 6 10 6 32 10 3 Activity Cost Activity Cost Driver $35,000 Number of Sales Orders $36,000 Number of Purchase Orders $28,000 Material Moves $14,000 Machine Setups $99,000 Production Runs $80,000 Machine Hours $11,000 Number of Inspections $7,500 Number of Shipments Table 2: Activity Cost Pools and Cost Drivers Another alternative to traditional costing and ABC is time-driven activity-based costing (TDABC). You will need to determine which of these three methods would be the best approach for the Hampshire Company. The following article may assist you in your analysis: Time-Driven Activity-Based Costing. Additionally, you may want to use the Shapiro Library to conduct further research on the three methods. You will need to defend your position when answering the prompts for the written portion of this section. Using the information provided above, complete the following in the Hampshire Company Spreadsheet in order to assist you in responding to all components of Section IV: 1. Calculate the allocation rates for each cost driver using ABC. 2. Use the traditional costing approach to calculate the total cost and the unit cost of the stick and collapsible umbrellas. 3. Use ABC to compute the total costs and the unit cost for the stick and collapsible umbrellas. 4. Compute the difference between the product cost per stick and collapsible umbrellas using the unit cost that you computed with the traditional approach and the one that you computed using ABC. Based on your calculations from steps 1-4, respond to Parts A through C in Section IV as outlined in the Final Project Guidelines and Rubric document. Section V: Memo to Management The management of the Hampshire Company is very interested in measuring performance. They would like you to recommend a strategy to increase business performance. They are not sure whether they should focus on product differentiation or cost leadership. Research additional performance tools to include the balanced scorecard. During your research, consider what performance measurements you would use based on the four perspectives. Provide examples. In your recommendation, you will want to include the outcome of your previous quantitative analysis and research performed related to cost-volume-profit (CVP), variable and absorption costing, just-in-time (JIT), standard costs, variances, and benchmarking. You will want to review key points and make recommendations based on your current research and prior analysis completed and research performed. Your two- to three-page memo to management must be submitted as a Word document and must include your responses to Parts A through C of Section V as outlined in the Final Project Guidelines and Rubric document. AC 550 Milestone One Guidelines and Rubric C Overview: The final project for this course is the creation of a quantitative analysis that includes an Excel spreadsheet accompanied by a memo to management. Accountants provide management with the logistics of e bu a are crucial for opera an a company' overall ine aily ion ucce . In any bu i i of ine the utmost importance to be aware of all finances and internal processes. C accountants focus solely on the internal processes of a business and are tasked ost with eliminating any unnecessary costs in order to maximize profits. For the final project, you have been tasked with conducting a quantitative analysis that looks into the internal processes of a company. Based on your analysis, you will formulate recommendations to management that aim to improve internal processes and increase profits for the company. Prompt: For this milestone, submit a draft of the cost-volume-profit analysis (S ection I of the final project), including all of the critical elements listed below. Refer to the Hampshire C ompany C Study document, as this provides details on how to complete this milestone. All calculations for your quantitative analysis ase should be completed in the Hampshire C ompany S preadsheet. Y will provide a rough draft of your qualitative analysis in a Word document. Once you have ou completed your analysis, submit your Word and Excel documents. S pecifically, the following critical elements must be addressed: I. C ost-Volume-Profit Analysis C ost-volume-profit (CVP) analysis is a useful tool for informing short-term economic planning within an organization. In this section, a CVP analysis will be conducted and used to inform business decisions and recommendations. A. Perform a C analysis based on cost classifications. VP B. Explain how a CVP analysis can assist management with short-term economic planning. Support your response with examples from your CVP analysis. C. Accurately compute the break-even quantity and break-even revenue. D. Determine whether the company is breaking even. What are the C analysis implications on planning? VP If you would like a refresher course on using various features of Excel, sign in to Atomic Learning an \"Excel\" in e ype earch box. This will provide you with options to select the specific level of training that you need (intro, intermediate, or advanced) and the specific version of Excel that you have (e.g., 2011 or 2013). The trainings are broken down into small, meaningful chunks. Therefore, you should be able to find specific topics at each level that will meet your needs. Guidelines for S ubmission: The written portion of this submission must be a one- to two-page Word document with 12-point Times New R oman font, double spacing, and one-inch margins. S ources should be cited according to AP style. Use the Hampshire Company S A preadsheet to submit your calculations as an Excel file. Instructor Feedback: This activity uses an integrated rubric in Blackboard. S tudents can view instructor feedback in the Grade Center. For more information, review these instructions.