Questions from Cost Accounting

Q: Lead! Inc. offers executive coaching services to small business owners

Lead! Inc. offers executive coaching services to small business owners. Lead!’s operating profits average 20 percent of revenues and its marketing and administrative costs average 25 percent of the co...

Q: The following balances are from the accounts of Todd Machining Company:

The following balances are from the accounts of Todd Machining Company: Direct materials purchased during the year amount to $598,000, and the cost of goods sold for the year was $2,172,400. Requir...

Q: Simple regression results from the data of Adriana Corporation are as follows

Simple regression results from the data of Adriana Corporation are as follows: Equation: Overhead = $206,469 + ($45.83 × Machine-hours) Statistical data Correlation coefficient . . . . . . . . . . . ....

Q: Three entrepreneurs were looking to start a new brewpub near Sacramento,

Three entrepreneurs were looking to start a new brewpub near Sacramento, California, called Roseville Brewing Company (RBC). Brewpubs provide two products to customers—food from the...

Q: Is “cost-of-goods sold” an expense?

Is “cost-of-goods sold” an expense?

Q: Argentina Partners is concerned about the possible effects of inflation on its

Argentina Partners is concerned about the possible effects of inflation on its operations. Presently, the company sells 60,000 units for $30 per unit. The variable production costs are $15, and fixed...

Q: The controller at Emporia Precision Parts asks for your help in sorting

The controller at Emporia Precision Parts asks for your help in sorting out some cost information. She is called to a meeting, but hands you the following information for June: Prime costs, June . . ....

Q: “The assumptions of CVP analysis are so simplistic that no firm

“The assumptions of CVP analysis are so simplistic that no firm would make a decision based on CVP alone. Therefore, there is no reason to learn CVP analysis.” Comment.

Q: Sell Block prepares three types of simple tax returns: individual,

Sell Block prepares three types of simple tax returns: individual, partnerships, and (small) corporations. The tax returns have the following characteristics: The total fixed costs per year for the...

Q: Why does the accountant use a linear representation of cost and revenue

Why does the accountant use a linear representation of cost and revenue behavior in CVP analysis? How is this justified?