Please help me with these problems... this is my last homework for this class and I need to get an A! Thank you so much!!!

1) Customer Profitability Analysis: Boston Depot sells office supplies to area corporations and organizations. Tom Delayne, founder and CEO, has been disappointed with the operating results and the profit margin for the last two years. Business forms are mostly a "commodity" business with low profit margins. To increase profit margins and gain competitive advantages, Delayne introduced "Desk-Top Delivery" service. The business seems to be as busy as ever. Yet, the operating income has been declining. To help identify the root cause of declining profits, he decided to analyze the profitability of two of the firm's major customers: Omega Intemational (OI) and City of Albion (CA) According to the customer profitability analysis that Boston Depot conducts regularly, Boston Depot has the same amount of total sales with both OI and CA. However, the firm earns a higher gross margin and gross margin ratio from CA than those from the sales to OI, as demonstrated here Customer Profitability Analysis Omega International 80,000 (50,000) 14.000 16,000 City of Albion $80,000 (48,000) 4,000 18,000 22.5% ales roduct cost vice fees ( 17.5% of sales) ross margin Gross margin percent 1 20% Boston Depot adds a flat 17.5 percent to all sales for expenses incurred in such activities as handling customers' requests, pick-packing, order delivery, warehousing, and data entry. However, not all customers require the same level of services. Operation Manager, Jamie Steel, points out that CA has been a much heavier service user than OI. She shows the following data to support her belief Distribution Services Activities for OI and CA umber of requisitions equisition line (all pick-packing) Average number of cartons in warehouse OI 300 900 50 CA 700 2,100 500 6 umber of miles per delivery Controller Rod Jay has been investigating ways to determine the costs of performing various activities. He summarized his findings: Total Estimated Estimated Annual ctivity Annual Expense Cost Driver S3,000,000 Requisitions Activity Level 300,000 70,000 600,000 600,000 equisitions handling arehouse 1,050,000Number of cartons 900,000 Pick-pack lines 600,000 Pick-pack lines ick-packing ata entry elivery charge S10 per requisition (delivery) plus S0.30 per mile Steel points out that activities cost money. Two customers who request different service activities most likely are not costing the firm the same Required: 1. Using activity-based costing, compute the charges per unit of service activities. 2. Using activity-based costing, compute the total distribution costs for each of the customers. 3. Is the City of Albion a more profitable customer? 4. Is Omega International a better customer for Boston Depot? 2) Headlines Publishing Company (HPC) specializes in international business news publications. Its principal product is HPC-Monthly, which is mailed to subscribers the first week of each month. A weekly version, called HPC-Weekly, is also available to subscribers over the Web at a higher cost. The company experienced a fast growth in subscribers in its first few years of operation, but sales have begun to slow in recent years as new competitors have entered the market. HPC has the following cost structure and sales revenue for its subscription operations on a yearly basis. All costs and all subscription fees are in U.S. dollars. ixed Cost 306,000 per year ariable Costs Mailing S0.60 per issue .00/subscription 1.50/subseription ommission Administrative ales-Mix Information (based on volume) IPC-Weekly IPC-Monthly Selling Price IPC-Weekly IPC-Monthly 0 percent 80 percent $47/subscription S19/subscription Required Use these data to determine the following: Note Delivery cost is per issue. Must convert it to a cost per subscription. 1. Contribution margin per unit for weekly and for monthly subscriptions. 2. HPC's breakeven point in annual sales units and sales dollars (round answers up, to nearest whole number) 3. HPCs required sales to reach a target be fore-tax profit (B) of $75,000 for the year. What is the breakdown of this overall level of subscriptions into Weekly and Monthly subscriptions? (Round answers up to nearest whole number.) 3) One of the behavioral considerations associated with the budgeting process relates to the difficulty level embodied in the budget (i.e., how difficult or easy it is to achieve budgeted results). Required: 1. Explain the negative consequences of budgetary targets that are too easy or too difficult to achieve 2. What is meant by the term "highly achievable (budget) target"? 3. What are the primary advantages of using "highly achievable targets" in terms of budgetary expectations? 4) Carter Inc. produces two products, A and B. Pertinent per-unit data follow: ales price S268 S225 osts: Direct materials Direct labor Variable factory overhead (based on direct labor hours) Fixed factory overhead (based on direct labor hours) Marketing expenses (all variable) 80 40 43 80 60 40 30 20 401 253211 15 $14 Total costs Operating income There is insufficient labor capacity in the plant to meet the combined demand for both products. Both products are produced through the same production departments. The fixed factory overhead rate is $10 per direct labor hour. Assume that there are no avoidable fixed factory overhead costs Required: 1. Calculate the unit contribution margin for each of the two products 2. Determine which product should be produced in priority, given the labor constraint, and explain why 5) High Point Furniture manufactures a high-quality dining table, which is offered in both oak and walnut. The demand for the tables is 800 units for the oak table and 1500 for the walnut table. The tables are priced at $495 and S995 for the oak and walnut tables, respectively. The materials cost is $210 for the oak table and S430 for the walnut table. In addition, High Point has the following manufacturing information for the four manu facturing processes (receiving, preparation, assembly, and finishing), showing the amount of time (in minutes) required for each table for each process, and the total minutes of time available for each process. Time Required/unit Time Available 100,000 250,000 400,000 120,000 Oak me eceiving reparation ssemblv 80 100 60 Walnut 50 120 250 40 nishing Required 1. Which process(es), if any, are constraints for the current level of demand? 2. Determine through-put margin for the constrained resource 3. Compute throughput margin per constrained resource 3. Prioritize productive capacity based upon how many oak or walnut tables can be manu factured. 6) Greg Peterson was recently appointed vice president of operations for Webster Corporation. He has a manu facturing background and previously served as operations manager of Webster's tractor division. The business units of Webster Corporation include divisions that manufacture heavy equipment, process food, and provide financial services In a recent conversation with Carol Andrews, Webster's chief financial officer, Greg suggested evaluating unit managers on the basis of the business unit data in Webster's annual financial report. This report presents revenues, earnings, identifiable assets, and depreciation for each business unit for a five-year period. He believes that evaluating business unit managers by criteria similar to that used to evaluate the company's top management is appropriate. Carol has reservations about using information from the annual financial report for this purpose and suggested that Greg consider other criteria to use in the evaluation. Required 1. Explain why the business unit information prepared for public reporting purposes might not be appropriate for the evaluation of unit managers' performance 2. Describe the possible motivational impact on Webster Corporation's unit managers if Greg's proposal for their evaluation is accepted. 3. Identify and describe several types of information that would be appropriate for Greg Peterson to use when evaluating the performance of unit managers. (CMA Adapted) 7) The major operating divisions of Grey Company are organized as investment centers for performance-evaluation purposes. The division managers are evaluated, in part, on the basis of the change in the return on investment (ROI) of their units. Operating results for the Division A for the coming year, 2016, based on its existing assets are budgeted as follows: les $5,000,000 ess variable costs 2,500,000 L800,.000 S700,000 ontribution margin ess fixed expenses Operating income Operating assets for the Division A are curretly S3,600,000. For 2016, the division can add a new product line for an investment of S600,000. The new product line is expected to generate sales of $1,600,000 and will incur fixed expenses of$600,000 annually. Variable costs ofthe new product are expected to average 60% of the selling price. Required . ROI a. What is the current ROI? b. What is the new product line's ROI? c. What is the divisional ROI after the new investment d. How does ROI impact management's behavior? Residual Income a. If the required rate of return is 6%, what is the residual income amount? b. If residual income was used to evaluate this opportunity, how would it impact management"s behavior? 2. 8) Corona is a privately held high-end luxury retailer that operates stores in the wealthiest cities and suburbs in the United States. The corporate headquarters is located in New York City. The company has a long history of profitability and a strong national image as the pinnacle of luxury. However, in the past two years Corona's profitability has begun to drop off and many of the top executives fear that the company's most important asset, its brand image, might come into jeopardy if it cannot regain its past profitability. Bernard Stames, Corona's long-time CEO, wonders if the company's aged compensation plan might be at least partially responsible for Corona's tough times. He remembers a time when the company was rapidly expanding by creating several new divisions and aggressively promoting its brand image. It seemed like he was attending a new store opening every week. During those times divisional managers worked hard for their bonuses. It was almost as if there was a competition between divisions as to which could beat their sales plans by the widest margin because that would mean the largest bonuses. This was due to the fact that a significant portion of the managers' compensation was tied to their bonuses. Now the company is not expanding as rapidly and its focus has shifted to promoting current products and growing same-store sales. Furthermore, Mr. Starnes has noticed several troubling trends within the company. First, he has noticed a steady decline in cross-divisional cooperation and coordination. Second, there have been several recent occasions where Mr. Stames had to become personally involved in situations where divisional managers were making decisions that were beneficial to their individual divisions but not strategically aligned with the firm as a whole. Finally, management turnover is becoming somewhat of a problem, especially right after bonuses are awarded at the end of each fiscal year. Required: Suggest a new compensation plan that would help solve the problems Mr. Starnes has noticed at Corona. Show how your answer effectively addresses the strategic goals of the company