Company: PQR Pharmaceuticals Inc.

Managerial Accounting Process:

1. Recording Costs:
   • PQR Pharmaceuticals records its cost of goods sold at $60 million, reflecting costs associated with manufacturing pharmaceutical products.
   • Research and development expenses are recorded at $25 million.

1. Analyzing Costs:
   • Conduct product life cycle costing to evaluate the profitability of each pharmaceutical product.
   • Perform cost-benefit analysis to assess the feasibility of developing a new drug.

1. Reporting Costs:
   • Prepare a cost of goods manufactured schedule to calculate the total manufacturing costs.
   • Present an R&D cost report to analyze the allocation of research expenses.

1. Regulatory Compliance:
   • Discuss the impact of compliance costs on overall profitability.
   • Evaluate strategies to mitigate risks associated with regulatory changes.