1. Relevant information for direct labor is as follows:Actual hours

1. Relevant information for direct labor is as follows: Actual hours worked…………840 Actual wage………………….$15.25 Standard hours allowed……820 Standard wage…………….$15.50 What was the direct labor efficiency variance? a. $305 favorable b. $305 unfavorable c. $310 favorable d. $310 unfavorable 2. Which of the following is the most likely explanation for an unfavorable materials usage variance and […]

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Standard costing concepts can also be applied to services. Standard

Standard costing concepts can also be applied to services. Standard service costs are similar in concept to standard product costs. In the medical field, costs of caring for a patient have been increasing at a high rate for many years. Hospitals, for example, have often been paid on a retrospective basis. Essentially, they have been […]

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Supply chain management can be a major source of cost

Supply chain management can be a major source of cost savings for manufacturing and service firms. A firm can reduce its costs by understanding the linkages it has with its suppliers and customers. A major factor in assessing and understanding these linkages is the measurement of costs across the supply chain. Activity-based costing is now […]

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The objective of benchmarking is to improve performance by identifying,

The objective of benchmarking is to improve performance by identifying, understanding, and adopting outstanding best practices from others. If this process is carried out inside the organization, then it is called internal benchmarking. It is not uncommon for one facility within an organization to have better practices than another. Unfortunately, it is unusual for these […]

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Search the Internet to find a complete description of a

Search the Internet to find a complete description of a company that has implemented the Balanced Scorecard. Possible sources include the following: Palladium Executive Strategy (http://www.thepalladiumgroup.com), SAP (http://www.sap.com), and http://www.sas.com. Once you have a company located, answer the following questions: 1. What is/are the strategy or strategies of the company? 2. What perspectives were used? […]

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Many companies are now preparing corporate sustainability reports. Many such

Many companies are now preparing corporate sustainability reports. Many such reports are found at http://www.sustainability-reports.com. Other reports can be found at the websites of individual companies. For example, Baxter and 3M voluntarily prepare and publish reports on health, safety, and the environment. In 2000, Baxter expanded its environmental reporting to include a report on sustainability […]

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1. Which of the following markets is characterized by the

1. Which of the following markets is characterized by the following: many buyers and sellers, a homogeneous product, easy entry into and exit from the industry, and all firms are price takers? a. perfectly competitive market b. monopolistic competition c. monopoly d. oligopoly 2. The following information pertains to three different products being sold by […]

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Lean manufacturing and lean accounting promise significant benefits to an

Lean manufacturing and lean accounting promise significant benefits to an organization. Yet, the initial effect of lean manufacturing is often an initial drop in profits reported on the financial statements. Required: 1. Go to www.journalofaccountancy.com and search for articles on lean accounting. Using articles found in this search, answer the following questions: a. Why do […]

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Capital budgeting for environmental projects offers an interesting area for

Capital budgeting for environmental projects offers an interesting area for additional study. The Environmental Protection Agency (EPA) has partnered with Tellus Institute (www. tellus.org) to further its ongoing interest in environmental cost management. Much of the the information relating to the U.S. EPA environmental accounting project can be found in the archives at the EPA […]

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1. Thomas Company is investing $10,000 in a project that

1. Thomas Company is investing $10,000 in a project that has a two-year life with an (IRR) of 10%. The project yields a net cash flow of $7,260 for Year 2. The present value of $1 for one year at 10 percent is 0.90909 The present value of $1 for two years at 10 percent […]

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