Questions from Managerial Accounting

Q: What are the three main areas of management’s responsibility? How are

What are the three main areas of management’s responsibility? How are these three areas interrelated? How does managerial accounting support each of the responsibility areas of managers?

Q: What business trends are influencing managerial accounting today? How do these

What business trends are influencing managerial accounting today? How do these trends impact management accountants’ roles in the organization?

Q: Make a list of all of the equipment you will need to

Make a list of all of the equipment you will need to make your product. Estimate the cost of each piece of equipment that you will need.

Q: Now classify all of the expenses you have listed as being either

Now classify all of the expenses you have listed as being either fixed or variable. For mixed expenses, separate the expense into the fixed component and the variable component.

Q: Calculate how many units of your product you will need to sell

Calculate how many units of your product you will need to sell to break even in each of the five years you have projected.

Q: Calculate the margin of safety in units for each of the five

Calculate the margin of safety in units for each of the five years in your projection.

Q: Now decide how much you would like to make in before-

Now decide how much you would like to make in before-tax operating income (target profit) in each of the upcoming five years. Calculate how many units you would need to sell in each of the upcoming ye...

Q: Alston Jewelry had sales revenues last year of $2.4

Alston Jewelry had sales revenues last year of $2.4 million, while its breakeven point (in dollars) was $2.2 million. What was Alston Jewelry’s margin of safety in dollars? What does the term margin o...

Q: Describe four different ways cost-volume-profit analysis could be

Describe four different ways cost-volume-profit analysis could be useful to management.

Q: Describe three ways that cost-volume-profit concepts could be

Describe three ways that cost-volume-profit concepts could be used by a service organization.