• Step 4: Make reasonable assumptions about data. o It is impossible to have all the actual data needed for this project. o However, you can make reasonable assumptions about data based upon a good understanding of your company. ⚫ Step 5: Use MS excel for the BEP and What-if analysis o Excel will help you to save your time and improve the quality of your work. Project deliverables: Excel spreadsheet(s): 。 CVP analysis ■ Variable costs Fixed costs ■ Price o Break-even analysis Perform target profit analysis (optional) o What-if analysis based upon three scenarios - 1,2, and 3. Apply what-if analysis to price and costs elements such as DM, DL, MO, and other costs. ⚫ Executive summary: MS word file (about 5 pages) o Company overview: o Product and market analysis o Costs and Price .highlights ■ Variable costs . ⚫ Fixed costs ■ Price ° BEP analysis o What-if analysis using three scenarios Conclusion: Project Guideline ACCT 202 Purpose: Students will learn how managerial accounting can bring significant values to business through break-even point analysis project. This case-based project provides a great opportunity for students to apply managerial accounting concepts they have learned in class to real world examples. Through this project, students can also foster critical thinking ability and written communication skills. Situation: You are preparing to start a new company or store which produces one product. You are expected to report BEP analysis and What-if analysis results to potential investors, who have no-accounting background. Therefore, it is important to make the report clear and concise. Reminder: ⚫ This project is an individual assignment. o Students can discuss this project with each other, but it is not allowed to copy other student's idea and works. ⚫ The due date is November 26 (Tuesday), 11:59 PM. o The late submission or no submission will result in zero points. o Students have to submit their reports to Blackboard website. If this website is not accessible, students can email them to the instructor (khchung@nsu.edu). Project process: ⚫ Step 1: Select a company or store of your interest . o You can choose a public or private company for your case study. You can even start your own company, such as restaurants. Step 2: Focus on one product o If you try to analyze all products the company produces, your project becomes more complex than necessary. For this reason, it is highly recommended that you simplify the product line and analyze one product. o For example, if your company is Apple, you may want to choose only iPhone, iPad or MacBook, instead of all products Apple is producing. ⚫ Step 3: Understand your company and related industry. o Price and cost estimation requires a good understanding of the company's operational and financial functions. o Company's website, 10-K and 10-Q, and Analysts' reports will be useful resources to help you understand your company and related industry.

• Step 4: Make reasonable assumptions about data. o It is impossible to have all the actual data needed for this project. o However, you can make reasonable assumptions about data based upon a good understanding of your company. ⚫ Step 5: Use MS excel for the BEP and What-if analysis o Excel will help you to save your time and improve the quality of your work. Project deliverables: Excel spreadsheet(s): 。 CVP analysis ■ Variable costs Fixed costs ■ Price o Break-even analysis Perform target profit analysis (optional) o What-if analysis based upon three scenarios - 1,2, and 3. Apply what-if analysis to price and costs elements such as DM, DL, MO, and other costs. ⚫ Executive summary: MS word file (about 5 pages) o Company overview: o Product and market analysis o Costs and Price .highlights ■ Variable costs . ⚫ Fixed costs ■ Price ° BEP analysis o What-if analysis using three scenarios Conclusion: Project Guideline ACCT 202 Purpose: Students will learn how managerial accounting can bring significant values to business through break-even point analysis project. This case-based project provides a great opportunity for students to apply managerial accounting concepts they have learned in class to real world examples. Through this project, students can also foster critical thinking ability and written communication skills. Situation: You are preparing to start a new company or store which produces one product. You are expected to report BEP analysis and What-if analysis results to potential investors, who have no-accounting background. Therefore, it is important to make the report clear and concise. Reminder: ⚫ This project is an individual assignment. o Students can discuss this project with each other, but it is not allowed to copy other student's idea and works. ⚫ The due date is November 26 (Tuesday), 11:59 PM. o The late submission or no submission will result in zero points. o Students have to submit their reports to Blackboard website. If this website is not accessible, students can email them to the instructor (khchung@nsu.edu). Project process: ⚫ Step 1: Select a company or store of your interest . o You can choose a public or private company for your case study. You can even start your own company, such as restaurants. Step 2: Focus on one product o If you try to analyze all products the company produces, your project becomes more complex than necessary. For this reason, it is highly recommended that you simplify the product line and analyze one product. o For example, if your company is Apple, you may want to choose only iPhone, iPad or MacBook, instead of all products Apple is producing. ⚫ Step 3: Understand your company and related industry. o Price and cost estimation requires a good understanding of the company's operational and financial functions. o Company's website, 10-K and 10-Q, and Analysts' reports will be useful resources to help you understand your company and related industry.

Century 21 Accounting General Journal

11th Edition

ISBN:9781337680059

Author:Gilbertson

Publisher:Gilbertson

Chapter1: Starting A Proprietorship: Changes That Affect The Accounting Equation

Section: Chapter Questions

Problem 1CS

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