er Term B) AC 306-8 Assignments > Unit 6 Assignment-Managerial Reporting Unit 6 Assignment - Man- agerial Reporting Submit Assignment Points 80 Due Sunday by 11:59pm a file upload Submitting Instructions Variable costing is a costing system where we consider taking on additional work to help fill our production capacity. Variable costing is used for short term decisions and excludes fixed overhead costs. In this assignment, we will explore how variable costing can help us determine how to select special orders. Download the AC306 Unit 6 Assignment template[Excel] and complete the problems on each tab. In this assignment .Problem 1 - Absorption vs variable costing Problem 2- ROI and Residual income Problem 3- Calculating Cost of Goods Sold Assignment Objectives Demonstrate Describe managerial and internal uses of cost accounting data. Deliverables When you have finished, rename the file using your first initial. last name, course number and assignment number (for example "JDoe AC306 A6 xlsx). Acme Labs has four separate labs: chemical, blo, mechanical and electrical. Admin, Utilities and insurance. Acme spreads the cost of these three departments to the labs based on the allocation below. The four labs all share the support functions of May Expenses Allocation base 6 Administraive expense number of employees 7 104,950 Utilities 72,600 square feet per lab Insurance 36,000 value of assets in use. 10 213,550 11 Department Employees Square feet Asset values 17 Chem Lab 20 10,000 47,950 13 Bio Lab 88,250 31,500 14 g9 55,500 Mechanical Lab 19 29,800 15 16 Electrical Lab 28 18,500 98,500 Totals 166 113,800 266,200 17 18 INSTRUCTIONS: 19 Enter numbers in blue cells Enter formulas in the yellow cells 20 21 Enter your narrative analysis in the green cells 22 Administrative Expenses Allocation Base % allocation base Cost 23 #employees Department Chem Lab 24 25 Bio Lab 26 Mechanical Lab Electrical Lab 27 28 Totals 29 30 Problem 1 Problem 2 Problem 3 Ready Merge & Center B57 D 30 Utilities 31 Allocation Base % allocation base Cost Department Chem Lab 32 Sqaure feet occupied 33 Bio Lab 34 35 Mechanical Lab 36 Electrical Lab 37 Totals 38 Insurance Allocation Base % allocation base Cost 39 Department Value of Assets in use 40 Chem Lab 41 Bio Lab 47 Mechanical Lab 43 44 Electrical Lab 45 Totals 46 Summary Admin Utilities Insurance Total AT Chem Lab 48 Bio Lab AQ 50 Mechanical Lab 51 Electrical Lab Totals 57 53 54 55 56