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1. Describe moral hazard.
2. ‘Managers should be rewarded only on the basis of their performance measures. They should be paid no salary.' Do you agree? Explain.
3. Explain the management accountant's role in helping organisations design stronger incentive systems for their employees.
4. Explain the role of benchmarking in evaluating managers.
What is a rolling budget? Why are they prepared? Describe why some types of companies would employ a rolling budget instead of a master budget.
Jason recorded an adjustment of $110,000 due to the overstatement (from mathematical error) of 2011 depreciation expense. Prepare a retained earnings statement for 2012.
Kristen is unsure about whether she should use her own car or rent a car to go on an extended cross-country trip for two weeks during spring break. What costs above are relevant in this decision? Explain.
Hip-Hop Co. manufactures and markets several products. Management is considering the future of one product, electronic keyboards, that has not been as profitable as planned.
What percentage of gross domestic product does spending for federal programs represent? What percentage does state and local government spending represent?
Analyse annual reports of your chosen companies in light of the reporting requirements imposed on accountants (conceptual framework) and corporate governance principals from director's perspective.
Determine the variable cost per haircut and the total monthly fixed costs - Compute the break-even point in units and dollars
Explain these objections to the accountant's convention cost-volume-profit model
Assign the joint land and improvement costs to the lots using the value basis of allocation and compute the average cost per lot in the Canyon section and in the Hilltop section.
Prepare the journal entries to record the sale of the bonds, any adjusting entries, and the payment of the interest through December 31, 2003, using the effective interest method.
Prepare Company financial statements
Prepare an income statement for the year ended December 31, 20X6, by using direct costing and prepare an income statement for the year ended December 31, 20X6, by using absorption costing.
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