EBK HORNGREN'S COST ACCOUNTING
16th Edition
ISBN: 9780134475998
Author: Rajan
Publisher: YUZU
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Chapter 12, Problem 12.31E
Analysis of growth, price-recovery, and productivity components (continuation of 12-29 and 12-30). Suppose that during 2017, the market for architectural jobs increases by 10%. Assume that any increase in market share more than 10% and any decrease in selling price are the result of strategic choices by Compton’s management to implement its strategy.
Calculate how much of the change in operating income from 2016 to 2017 is due to the industry-market-size factor product differentiation, and cost leadership. How successful has Compton been in implementing its strategy? Explain.
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Analysis of growth, price-recovery, and productivity components (continuation of 12-21 and 12-22). Refer to Exercise 12-21. Suppose that the market for silk-screened T-shirts grew by 10% during 2017. All increases in sales greater than 10% are the result of Gianni’s strategic actions.
Below is a list of various metrics used to measure performance. For each metric, identify the correct balanced scorecard perspective with which the metric is associated.
Metric
Balanced Scorecard Perspective
Average stock price
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Dreak-even sales, cost-volume-profit chart,
Wolsey Industries Inc. expects to maintain the same inventories at the end of 2016 as at
the beginning of the year. The total of all production costs for the year is therefore assumed
to be equal to the cost of goods sold. With this in mind, the various department heads
were asked to submit estimates of the costs for their departments during the year.
A summary report of these estimates is as follows:
2. 25%
OBJ. 2, 3, 4, 5
Estimated
Fixed Cost
Production costs:
Estimated Variable Cost
(per unit sold)
I.000,250 Direct materials. . . . .
75o00 Direct labor
ic37,000 Factory overhead.....
$ 46
2rg75 x70
40
Selling expenses:
$200,000
200000
20
285000 Sales salaries and commissions. ..
yooco Advertising.....
110,000
8
12oCo Travel
40,000
arolt
2 es e
eS.E
29475 Miscellaneous selling expense...
12,000
Administrative expenses:
7,600
1
132000Office and officers' salaries.....
132,000
Supplies.....
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Chapter 12 Solutions
EBK HORNGREN'S COST ACCOUNTING
Ch. 12 - Define strategy.Ch. 12 - Describe the five key forces to consider when...Ch. 12 - Prob. 12.3QCh. 12 - What is a customer preference map, and why is it...Ch. 12 - Prob. 12.5QCh. 12 - What are four key perspectives in the balanced...Ch. 12 - What are the five types of conditions to consider...Ch. 12 - Describe three features of a good balanced...Ch. 12 - What are three important pitfalls to avoid when...Ch. 12 - Describe three key components in doing a strategic...
Ch. 12 - Why might an analyst incorporate the...Ch. 12 - How does an engineered cost differ from a...Ch. 12 - What is downsizing?Ch. 12 - What is a partial-productivity measure?Ch. 12 - Prob. 12.15QCh. 12 - Jacobs Inc. is a relatively new company that has...Ch. 12 - The balanced scorecard describes all of the...Ch. 12 - Canarsie Corporation uses a balanced scorecard to...Ch. 12 - Balanced scorecard. Pineway Electric manufactures...Ch. 12 - Analysis of growth, price-recovery, and...Ch. 12 - Strategy, balanced scorecard, merchandising...Ch. 12 - Strategic analysis of operating income...Ch. 12 - Analysis of growth, price-recovery, and...Ch. 12 - Identifying and managing unused capacity...Ch. 12 - Strategy, balanced scorecard. Stanmore Corporation...Ch. 12 - Strategic analysis of operating income...Ch. 12 - Analysis of growth, price-recovery, and...Ch. 12 - Identifying and managing unused capacity...Ch. 12 - Strategy, balanced scorecard, service company....Ch. 12 - Strategic analysis of operating income...Ch. 12 - Analysis of growth, price-recovery, and...Ch. 12 - Identifying and managing unused capacity...Ch. 12 - Balanced scorecard and strategy. Scott Company...Ch. 12 - Strategic analysis of operating income...Ch. 12 - Analysis of growth, price-recovery, and...Ch. 12 - Identifying and managing unused capacity...Ch. 12 - Balanced scorecard. Following is a random-order...Ch. 12 - Balanced scorecard. (R. Kaplan, adapted) Petrocal,...Ch. 12 - Balanced scorecard. Vic Corporation manufactures...Ch. 12 - Balanced scorecard, environmental, and social...Ch. 12 - Balanced scorecard, social performance. Comtex...Ch. 12 - Balanced scorecard, environmental, and social...Ch. 12 - Partial-productivity measurement. Gable Company...Ch. 12 - Total factor productivity (continuation of 12-43)....
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