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Managerial Accounting Please see attached 1) Customers that require a low price and lots of customized service are: A) high cost to serve and low
Managerial Accounting Please see attached
1) Customers that require a low price and lots of customized service are: A) high cost to serve and low margin. (I believe this is the answer) B) low cost to serve and low margin. C) high cost to serve and high margin. D) low cost to serve and high margin. 2) Typical sales person's compensation: A) is paid in the form of salary. B) encourages sales only to profitable customers. C) is usually based on customer profit. D) is usually based on sales revenue. 3) Albert Company has the following two customers: Sales Cost of Goods Sold MSDA expenses excluding sales commissions Spurrier $900,000 360,000 Tebow $800,000 160,000 640,000 130,000 If the company pays a 2% sales commission based on revenue, this will encourage a salespersons' efforts to sell to: A) Spurrier, an unprofitable customer. B) Spurrier, a profitable customer. C) Tebow, an unprofitable customer. D) Tebow, a profitable customer. 4) How can the VP of sales at Gator Golf Clubs encourage her salespeople to promote the more profitable model? A) Put all sales persons on salary. B) Provide higher sales commissions for higher priced items. C) Provide higher sales commissions for items with the greatest contribution margin per constrained resource. D) Provide higher sales commissions for higher priced items and items with the greatest contribution margin per constrained resource. 5) One goal of ________ is to design costs out of products in the research, development, and engineering stage. A) cost-plus pricing B) target costing C) Kaizen costing D) traditional costing Use the following information to answer questions # 6, 7 and 8. Alberta Inc. manufactures three different product lines, \"B\Step by Step Solution
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