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Author Question: South Coast Appliance Store is a small company that has hired you to perform some management ... (Read 154 times)

vicotolentino

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on: Mar 6, 2021

Question 1

Quantitative analysis methods estimate cost functions ________.
◦ using the time-and-motion studies
◦ based on analysis and opinions gathered from various departments
◦ using a formal mathematical method to fit cost functions to past data observations
◦ using the pooling of knowledge from each value chain function

Question 2

South Coast Appliance Store is a small company that has hired you to perform some management advisory services. The following information pertains to 2017 operations.

Sales (5,000 microwave ovens)$5,000,000
Cost of goods sold825,000
Store manager's salary per year110,000
Operating costs per year230,000
Advertising and promotion per year30,000
Commissions (4.0% of sales)200,000

Which cost estimation method is being used by South Coast Appliance Store?
◦ the account analysis method
◦ the operating costing method
◦ the marginal costing method
◦ the cost-volume-profit analysis method
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by vicotolentino on Mar 6, 2021

elizabethrperez

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Reply #1 on: Mar 6, 2021
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vicotolentino

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

kishoreddi

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

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