1. Compute two different unit costs for each of the Cable Service Division's products. What managerial objectives...
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2. Three different cost categories are provided by the Cable Service Division: direct tracing, driver tracing, and allocation. Discuss the meaning of each. Based on how costs are assigned, do you think that the Cable Service Division is using a functional-based or an activity-based cost accounting system? What other differences exist between functional-based and activity-based cost accounting systems?
3. Discuss the differences between the Cable Service Division's products and the Phone Division's products.
4. Prepare an income statement for the Cable Service Division for March.
5. Prepare an income statement for the Phone Division for March. Include a supporting cost of goods manufactured statement.
6. The Phone Division has been using the same cost accounting system for over 10 years. Explain why its cost accounting system may be outmoded. What factors determine when a new cost accounting system is warranted?
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Related Book For
Managerial Decision Modeling With Spreadsheets
ISBN: 9780136115830
3rd Edition
Authors: Nagraj Balakrishnan, Barry Render, Jr. Ralph M. Stair
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