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Describe the purpose of a flexible budget. Suppose a manager claims flexible budgets are useful because costs are difficult to predict and flexibility is needed to change budgeted costs as input prices change. Do you agree? Explain Please write 1 and half page with proper citation.
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What is the effect of target costing and value engineering on the use of variances?
Newroute Manufacturing has been using activity-based costing to determine the cost of produt X-678. One of the activities, "Inspection," ocbcurs just before the product is finished.
Discuss the most important steps in the operating budget process. Why are these more important than the other steps?
As you run the simulation keep track of your decisions and keep track of the results - both financial and marketing. You can copy and paste the results into Excel or into a Word document.
What is your view on the following statements:
Desai Inc. has the following data, in thousands. Assuming a 365-day year, what is the firm's cash conversion cycle?
What are the components of a budget? Are they same for every organization? Why or why not? Should every organization forecast its operating budget? Why or why not?
Wikki State University (WSU) is preparing its maser budget for upcoming academic year. Currently, 8,000 students are enrolled on campus however, admissions ofice is forecasting a 5 percent growth in student body despite a tuition hike to $75 per c..
Speedy Dress Manufacturing has two workstations, cutting and finishing. The cutting station is limited by the speed of operating the cutting machine. Finishing is limited by the speed of the workers. Finishing normally waits for work from cutting.
Explain how a shift in the sales mix among 3 products (even if the total sales remain the same,as planned, say $500,000 ) could result in both a higher break-even point and a lower net operating income.
Lewis Auto Company manufactures a part for use in its production of automobiles. When 10,000 items are produced, the costs per unit are:
Actual production and sales were 62,900 coffee mugs, actual direct materials usage was 10,000 lbs. at an actual price of $0.17 per lb., actual direct labor usage was 202,000 minutes at a total cost of $30,300
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