Horngren's Cost Accounting: A Managerial Emphasis (16th Edition)

16th Edition

ISBN: 9780134475585

Author: Srikant M. Datar, Madhav V. Rajan

Publisher: PEARSON

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Textbook Question

Chapter 1, Problem 1.28P

Planning and control decisions, Internet company. PostNews.com offers its subscribers several services, such as an annotated TV guide and local-area information on weather, restaurants, and movie theaters. Its main revenue sources are fees for banner advertisements and fees from subscribers. Recent data are as follows:

Chapter 1, Problem 1.28P, Planning and control decisions, Internet company. PostNews.com offers its subscribers several , example 1

The following decisions were made from June through October 2017:

a. June 2017: Raised subscription fee to $25.50 per month from July 2017 onward. The budgeted number of subscribers for this monthly fee is shown in the following table.
b. June 2017: Informed existing subscribers that from July onward, monthly fee would be $25.50.
c. July 2017: Offered e-mail service to subscribers and upgraded other online services.
d. October 2017: Dismissed the vice president of marketing after significant slowdown in subscribers and subscription revenues, based on July through September 2017 data in the following table.
e. October 2017: Reduced subscription fee to $22.50 per month from November 2017 onward.

Results for July-September 2017 are as follows:

Chapter 1, Problem 1.28P, Planning and control decisions, Internet company. PostNews.com offers its subscribers several , example 2

1. Classify each of the decisions (a–e) as a planning or a control decision.

Required

2. Give two examples of other planning decisions and two examples of other control decisions that may be made at PostNews.com.

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Chapter 1, Problem 1.27E

Chapter 1, Problem 1.29P

Students have asked these similar questions

A company uses a process cost accounting system. It's Sewing Department completed and transferred out 120,000 units during the current period. The ending inventory in the Sewing Department consists of 40,000 units (20% complete with respect to direct materials and 60% complete with respect to direct labor). Overhead is applied on the basis of direct labor. Determine the equivalent units of production for the Sewing Department for direct materials, direct labor, and overhead assuming the weighted average method. a. 120,000; 120,000; 120,000. b. 120,000; 160,000; 120,000. c. 128,000; 120,000; 120,000. d. 128,000; 144,000; 144,000. e. 128,000; 184,000; 160,000.

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Chapter 1 Solutions

Horngren's Cost Accounting: A Managerial Emphasis (16th Edition)

Ch. 1 - How does management accounting differ from...Ch. 1 - Management accounting should not fit the...Ch. 1 - How can a management accountant help formulate...Ch. 1 - Describe the business functions in the value...Ch. 1 - Explain the term supply chain and its importance...Ch. 1 - Management accounting deals only with costs. Do...Ch. 1 - How can management accountants help improve...Ch. 1 - Prob. 1.8Q Ch. 1 - Prob. 1.9Q Ch. 1 - What three guidelines help management accountants...

Ch. 1 - Prob. 1.11Q Ch. 1 - Prob. 1.12Q Ch. 1 - Prob. 1.13Q Ch. 1 - Prob. 1.14Q Ch. 1 - Prob. 1.15Q Ch. 1 - Which of the following is not a primary function...Ch. 1 - Value chain and classification of costs, computer...Ch. 1 - Prob. 1.18E Ch. 1 - Value chain and classification of costs, fast-food...Ch. 1 - Key success factors. Dominion Consulting has...Ch. 1 - Key success factors. Vargas Construction Company...Ch. 1 - Planning and control decisions. Gregor Company...Ch. 1 - Planning and control decisions. Gavin Adams is the...Ch. 1 - Prob. 1.24E Ch. 1 - Five-step decision-making process, service firm....Ch. 1 - Professional ethics and reporting division...Ch. 1 - Professional ethics and reporting division...Ch. 1 - Planning and control decisions, Internet company....Ch. 1 - Prob. 1.29P Ch. 1 - Prob. 1.30P Ch. 1 - Management accounting guidelines. For each of the...Ch. 1 - Prob. 1.32P Ch. 1 - Prob. 1.33P Ch. 1 - Budgeting, ethics, pharmaceutical company. Chris...Ch. 1 - Professional ethics and end-of-year actions. Linda...Ch. 1 - Professional ethics and end-of-year actions....Ch. 1 - Ethical challenges, global company environmental...

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