Questions from Managerial Accounting


Q: Green Thumb Gardening is a small gardening service that uses activity-

Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes. The proprietor of the company believes that costs are driven prima...

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Q: AirQual Test Corporation provides on-site air quality testing services.

AirQual Test Corporation provides on-site air quality testing services. The company has provided the following data concerning its operations: The company uses the number of jobs as its measure of ac...

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Q: The Gourmand Cooking School runs short cooking courses at its small campus

The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers that it uses in its budgeting and performance reports—the numbe...

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Q: Packaging Solutions Corporation manufactures and sells a wide variety of packaging products

Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are prepared monthly for each department. The planning budget and flexible budget for t...

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Q: Model X100 sells for $120 per unit whereas Model X200 offers

Model X100 sells for $120 per unit whereas Model X200 offers advanced features and sells for $500 per unit. Management expects to sell 50,000 units of Model X100 and 5,000 units of Model X200 next yea...

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Q: Puget Sound Divers is a company that provides diving services such as

Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company’s planning budget for May appears below:...

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Q: Flight Café is a company that prepares in-flight meals for

Flight Café is a company that prepares in-flight meals for airlines in its kitchen located next to the local airport. The company’s planning budget for July appears belo...

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Q: What are unit-level, batch-level, product-

What are unit-level, batch-level, product-level, customer-level, and organization-sustaining activities?

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Q: Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 8,000 pounds of oysters in August. The company’s flexible budget for August appears...

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Q: Vulcan Flyovers offers scenic overflights of Mount St. Helens, the

Vulcan Flyovers offers scenic overflights of Mount St. Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appe...

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