Case Study on Managerial Accounting

Added on - 21 Apr 2020

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Running head: MANAGERIAL ACCOUNTINGManagerial accountingName of the universityName of the studentAuthors note
1MANAGERIAL ACCOUNTINGTable of ContentsCASE STUDY A:............................................................................................................................2Requirement 1:.............................................................................................................................2Requirement 2:.............................................................................................................................3Requirement 3:.............................................................................................................................4Requirement 4:.............................................................................................................................6CASE STUDY B:............................................................................................................................7Requirement 1:.............................................................................................................................7Requirement 2:.............................................................................................................................8Requirement 3:.............................................................................................................................8References list:...............................................................................................................................10
2MANAGERIAL ACCOUNTINGCASE STUDY A:Requirement 1:Per UnitTotal(1,000) unitsIncremental Revenue1616000Incremental Costs:Variable Costs:Direct Material2.52500Direct Labor2.002000VariableManufacturing Overhead4.004000Variable SellingExpenses3.753750Fixed Costs:Fixed manufacturingoverhead1.51500Fixed SellingExpenses00Total Incremental Costs (net relevantcosts)1413750Incremental Net Operating Income22250From the calculations, it is clear that the net operating income of the companywould be increased. Hence, the manager should not reject the offer.WithouEffect of specialTotal with
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