Question: Using the accompanying log-log graph, answer the following questions: (a) What are the implications for management if it has forecast its cost on the optimum

Using the accompanying log-log graph, answer the following questions:

(a) What are the implications for management if it has forecast its cost on the optimum line?
(b) What could be causing the fluctuations above the optimum line?
(c) If management forecast the 10th unit on the optimum line, what was that forecast in hours?
(d) If management built the 10th unit as indicated by the actual line, how many hours did ittake?

300 Actual Optimum 100 2 80 10 10 Total units produced 100 200 300 400

Step by Step Solution

★★★★★

3.44 Rating (180 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Management seems to be having considerable difficulty controlling costs Actual cost is consis... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

256-B-M-L-O-M (2207).docx

120 KBs Word File

Students Have Also Explored These Related Management Leadership Questions!

What is a living will? What are its implications for estate planning?

What is attribution theory? What are its implications for explaining behaviour in organizations?

What are the implications for cost accounting of lean production?

Using the accompanying log - log graph, answer the following questions: a ) What are the implications for management if it has forecast its cost on the optimum line? A . Management had some...

Using the accompanying log-log graph, answer the following questions: 500 400 300 200 Actual Optimum 100 80 Labor-hours per unit 60 K 40 20 10 50 100 150 200 10 Total units produced a) What are the...

Using the accompanying log-log graph, answer the following questions: 250 200 150 100 Actual Optimum Labor-hours per unit 20 10 15 50 100 150 200 Total units produced a) What are the implications for...

If the first unit of a production run takes I hour and the firm is on an 80% learning curve, how long will unit 100 take? (Hint: Apply the coefficient in Table E.3 twice.) ....E.25 Using the...

Using the accompanying log-log graph, answer the following questions: 500 400 300 200 LY Actual Optimum Labor-hours per unit 100 80 60 40 20 10 10 50 100 150 200 Total units produced b) What could be...

Using the accompanying log-log graph, answer the following questions: a) What are the implications for management if it has forecast its cost on the optimum line? b) What could be causing the...

Question 5 (1 point) At the farmer's market in Irvine, California, the price of avocados is set at $3 each. At that price, 120 avocados are supplied but only 100 are purchased. Represent this on a...

(a) Bill Meyer is not sure about the difference between cost accounting and a cost accounting system. Explain the difference to Bill. (b) What is an important feature of a cost accounting system?

= 3. Consider a nonsingular matrix A (i.e., A- exists). A new matrix B formed by making a rank-1 change to A. Verify that B- is given by 1 B A--aAuv A-, = for some scalar a, and give an expression...

A firm's capital structure does not affect the firm's market value. Is the preceding statement consistent with the conclusions of Modigliani and Miller's 1 9 5 8 capital structure theory ( MM...

Discuss the role of the factor for the exporter. How does the factor help an exporter?

What other techniques might Regal use to improve supply chain management? lop5

How do Dardens four supply chains compare with those of other firms, such as Dell or an automobile manufacturer? Why do the differences exist, and how are they addressed? lop5

Where would you expect ownership/title to change in each of Dardens four supply chains? lop5

Beta of a project. Vespucci is adding a project to the compary portfolio and has the folfowing information: the expectod markot retum is 13.2%, the risk-free rate is 6.4 the, and the expected retum...

QUESTION 9 Oscar Company's master budget forcasted that 30,000 units would be sold at a price of $30 per unit. Actual results were 28,000 units sold at a price of $31.50 per unit. The flexible budget...

5. Using percentage of sales based proforma method, construct new Income statement, Balance sheet for year 2019, and find out the AFN amount. Assume sales increase by 20% in 2019. Currently, a firm...