Questions from Managerial Accounting

Q: Chevis Consulting provides weekly payroll processing for a number of small businesses

Chevis Consulting provides weekly payroll processing for a number of small businesses. Gia Chevis, the company’s owner, has been using an activity-based costing system for several ye...

Q: Anthony Herrera recently fulfilled his long-time dream of opening a

Anthony Herrera recently fulfilled his long-time dream of opening a gym that offers spinning exercise classes for $5 per person. To differentiate his gym and better serve his clients, Anthony provides...

Q: Lancaster Orthopedics specializes in hip, knee, and shoulder replacement surgery

Lancaster Orthopedics specializes in hip, knee, and shoulder replacement surgery. In addition to the actual surgery, the company provides its patients with preoperative and postoperative inpatient car...

Q: Nancy’s Nut House is a processor and distributor of a variety of

Nancy’s Nut House is a processor and distributor of a variety of different nuts. The company buys nuts from around the world and roasts, seasons, and packages them for resale. Nancy&...

Q: Best Test Laboratories was founded 25 years ago to evaluate the reaction

Best Test Laboratories was founded 25 years ago to evaluate the reaction of materials to extreme increases in temperature. Much of the company’s early growth was attributable to gove...

Q: Santamaria Skiffs manufactures three models of speedboats—Superior, Deluxe,

Santamaria Skiffs manufactures three models of speedboats—Superior, Deluxe, and Ultra—which are sold through marine retail stores. Budgeted information for the comi...

Q: Elliot-Jones manufactures two large-screen television models. The

Elliot-Jones manufactures two large-screen television models. The 65-inch fl at-panel LED model has been in production since 2012 and sells for $900. The company introduced a 55-inch 4K ultra HD in 20...

Q: Highland Manufacturing produces two products in its Saratoga plant, balzene and

Highland Manufacturing produces two products in its Saratoga plant, balzene and galvene. Since it opened its doors in 1965, Highland has been using a single manufacturing overhead pool to accumulate o...

Q: Several years ago, Roberson Robotics outsourced component BF-365,

Several years ago, Roberson Robotics outsourced component BF-365, a key component of many of its products. At the time, CFO Sam Summers concluded that outsourcing was the correct decision, but she dec...

Q: It had been a quiet Monday morning for Anna Hogue, senior

It had been a quiet Monday morning for Anna Hogue, senior project manager at Flagstone Consulting. Everything seemed to be falling into place for the company’s first conference, &aci...