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Refer to the chapter opener regarding David Schottenstein and his company, Astor and Black. All successful businesses track their costs, and it is especially important for start up businesses to monitor and control costs.
Required:
1. Assume that Astor and Black uses a job order costing system. For the basic cost category of direct materials, explain how a job cost sheet for Astor and Black would differ from a job cost sheet for a service company.
2. For the basic cost categories of direct labor and overhead, provide examples of the types of costs that would fall into each category for Astor and Black.
Sixty percent of the customers of a fast food chain order the whopper, French fries and a drink. If a random sample of 15 register receipts is selected, what is the probability that 10 or more will show that the above three food items were ordered?
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read using shareholder value to evaluate strategic choices by nick fera management accounting november 1997. the
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