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Author Question: Software For You encounters revenue-allocation decisions with its bundled product sales. Here, two ... (Read 39 times)

abarnes

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on: Mar 6, 2021
Software For You encounters revenue-allocation decisions with its bundled product sales. Here, two or more units of the software are sold as a single package. Managers at Software For You are keenly interested in individual product-profitability figures. Information pertaining to its three bundled products and the stand-alone selling prices of its individual products is as follows: 

​Stand-Alone Selling Price,Cost​PackagePackaged Price
Word Processing (WP)$125$18​WP & SS$220
Spreadsheet (SS)$150$20​WP & AS$280
Accounting Software (AS)$225$25​All three$380
Required: 
a.Using the stand-alone revenue-allocation method, allocate the $380 packaged price of "All 
Three" to the three software products
1.with selling prices as the weights.
2.with individual product costs as the weights.
3.based on physical units. 
b.Allocate the $380 packaged price of "All Three" to the three software products using the 
incremental revenue-allocation method. Assume Word Processing is the primary product, followed by Spreadsheet, and then Accounting Software.
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by abarnes on Mar 6, 2021

lgoldst9

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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abarnes

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review

ghepp

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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