WEEK 4 Case Analysis—See Angel
Upon reading Chapter 4 in the text book, complete and submit the following exercises/problems: * Exercise 4-3A * Problem 4-25A
Submit your response via the "Connect Accounting" website.
Upon reading Chapter 5 in the text book, complete and submit the following exercises/problems:
Exercise 5-9A pg 227
PARAPHRASE: Since it requires the same amount of time to print each book, the allocation based on time volume (mashine hours) will assign equal amount of overhead costs to each unit of products ($2,76). This produces an inaccurate measure of unit cost because the different types of products consume overhead products differently.
For example Deluxe text requires more photo development than the economy. ABC provides a closer link between resource consumption and cost assignment. Accordingly, the ABC assigns more costs to products that incur more overhead costs. Since the lower volume products are using more resources, the ABC assigns more overhead costs to them. Hence, this is reflected in the costs per unit measures as follows: $9.72 deluxe, $2.32 moderate and $1.35 economy.
Problem 5-19A, DO ON MY OWN!!!
5-21A FINISH ON MY OWN!
c. The external failure costs have reduced, therefore the customer satisfaction must be affected positively.
WEEK 6 Case Analysis—See Angel
Upon reading Chapter 8 in the text book, complete and submit the following exercises/problems:
Problem 8-20A, Chegg 20PA
8-21A, FINISH b, c, d ON MY OWN!!! a. Pro Forma Income Statement
Number of hours are 30,000 | Per Unit Standards | Master Budget | Service revenue | $80 | $2,400,000 | Variable Costs | | | Labor | $40 | $1,200,000 |…