Managerial Accounting Pricing Question And Answers Homework Help
- July 21, 2017
- Posted by:
- Category: Accounting QA
Best UK USA UAE Australia Canada China Managerial Accounting Pricing Question And Answers Homework Help Service Online
1.Product A: The market for this product is highly competitive and the product is ordinary. The major competitors add a profit margin of 20% on the production costs to determine the selling price. The average production costs is K250 per unit which is considered to be very high.
Product B: GG holdings Plc controls over 98% of the market share for this product and its competitors are very small. The production costs is K310 per unit and the Chief Financial Officer has advised that a make-up of 35% on full cost should be added.
Product C: The market research recently conducted for this product indicated that most customers are interested in the quality and taste of the product. The average production costs is K210 per unit. Some customer are will to be charged 40% margin of the production costs and others 45% make-up on full cost.
Required
a. Discuss the appropriate pricing approach that GG holdings Plc can adopt for pricing each of the three (3) products.
b. Determine the selling price of each of the three (3) products.
2.Gannett Glass Company manufactures three types of safety plate glass: large, medium, and small. All three products have high demand. Thus, Gannett Glass is able to sell all the safety glass that it can make. The production process includes an autoclave operation, which is a pressurized heat treatment. The autoclave is a production bottleneck. Total fixed costs are $550,000. In addition, the following information is available about the three products
Large | Medium | Small | |
Unit selling price | $240 | $180 | $120 |
Unit variable cost | 126 | 80 | 68 |
Unit contribution margin | $114 | $100 | $ 52 |
Autoclave hours per unit | 6 | 10 | 4 |
Total process hours per unit | 20 | 16 | 12 |
Budgeted units of production | 2,500 | 2,500 | 2,500 |
Assume that Gannett Glass wanted to price all products so that they produced the same profit potential as the highest profit product. Thus, determine the prices for each of the products so that they would produce a profit equal to the highest profit product.
3.Clevenger Machine Tool Company designs and produces a line of high-quality machine tools and markets them throughout the world. Its main competition comes from French, British, and Korean companies. Five competitors have recently introduced two highly specialized machine tools, Y14 and Z33. The prices charged for Y14 range from $625 to $675 per tool, and the price range for Z33 is from $800 to $840 per tool. Clevenger is contemplating entering the market for these two products. Market research has indicated that if Clevenger can sell Y14 for $650 per tool and Z33 for $750 per tool, it will be successful in marketing the products worldwide. The company’s profit markup is 25 percent over all costs to produce and deliver a product. Current activity-based cost rates are as follows
Materials | $ 1.30 per dollar of direct materials and |
handling | purchased parts cost |
Production | $ 4.40 per machine hour |
Product delivery | $34.00 per unit of Y14 |
$40.00 per unit of Z33 |
Design engineering and accounting estimates for the production of the two new products are as follows
Product Y14 | Product Z33 | |
Projected unit demand Per-unit data | 75,000 | 95,000 |
Direct materials cost | $50.00 | $60.00 |
Purchased parts cost Manufacturing labor Hours | $65.00 6.2 | $70.00 7.4 |
Hourly labor rate Assembly labor Hours | $14.00 4.6 | $14.00 9.2 |
Hourly labor rate Machine hours | $12.00 14 | $12.00 16 |
Required
a. Compute the target cost for each product.
b. Compute the total projected unit cost of producing and delivering each product.
c. Using target costing, decide whether the products should be produced.
How it Works?
How it Works?
Step 1:- Want to buy solution for this. Please click on submit your assignment here and then fill all details and please mentioned product code at the end of the case. Product code is extremely important to locate your assignment. You can also mail us by keeping product code as mail subject to besthomewrokhelpers@gmail.com
Step 2:- As soon as we received your details, we will inform you with through email about quotations of the given assignment. Requesting you to please mention your budget. Also ensure our email besthomeworkhelpers@gmail.com should not go into your spam folder.
Step 3:- Once you agree with our price, click on pay now and pay the agreed amount and once we received the payment assignment will be delivered before agreed deadline.
Step 4:-You can also call us in our phone no. as given in the top of the home page or chat with our customer service representatives by clicking on chat now given in the bottom right corner.
Features
Our Features for Assignment Help Services
Plagiarism Free Solution
The first and foremost things that we promise to our customer is plagiarism free solution i.e. a complete and unique solution as per customer’s university requirements.
Excellent Customer Care Services
You can feel our responsiveness once you use our service. Our team of excellent and dedicated customer service representatives are always ready to provide best customer care service 24X7 . Just drop a mail to besthomeworkhelpers@gmail.com and you can receive response in just no time.
Multiple Stage Quality Assurance
We design a unique multiple stage quality assurance team to ensure plagiarism free, original, relevant and as per customer’s requirements. We not only give importance to accurate solutions or writing but also we give equal importance to references style too.
Privacy and Confidentiality
We believe in maintaining complete privacy and confidentiality of all our clients. None of the information furnished to us is shared with anyone else.
Our Clients
We receive requests from clients all over the World. Most of our customers are from USA, UK, Australia, Canada, UAE, Muscat, Oman, Qatar, UAE, New-Zealand, France Germany etc.
Related Services
- Strategic management case study help
- Case Study Assignment Help
- Trade finance case study help
- Banking case study assignment help
- Banking case study homework help
- Meaning of case study assignment help
- Child development case study homework help
- Contract law case study homework Help
- Finance accounting case studies homework help
- Company Financial statement analysis case study homework help
- Foreign assignment case study help
- HR case study homework help
- Human resource management case study homework help
- Managerial accounting case study assignment help
- Managerial accounting case study homework help
- Negotiations case study homework help
- Organization behavior case study homework help
- Project management case study homework help
- Financial statement analysis assignment help
- HBS case study assignment help
- Ratio analysis case study assignment help
- Small business case study homework help
- Project finance case studies help
- Healthcare finance case studies homework help
- MBA case study homework help
- Financial analysis business case study homework help
- Harvard business case study homework help
- Business strategy case study homework help
- Business law case study homework help
- Accounting Case Study Help
- Business case study homework help
- Finance case study help
- Corporate Finance case study homework help
- Business process case study assignment help
- Business statistics case study assignment help
4.Select and justify at least 10 financial ratios and calculate 2 non-financial ratios to analyse the performance and financial position of the three companies. You are expected to use charts to compare performance of the three companies. You will need to look at the audited financial statement and carry out further research to explain the performance of the company over the five years. For clarity, you are expected to rank the companies based on the individual benchmarks and overall.
(a) Write a memo to the managing director of the worst performing company with recommendations of how the financial performance of the business can be improved.
(b) Outline the limitations of relying on financial ratios to interpret firm performance?
Product Code: ACC98
Looking for Managerial Accounting Pricing Question And Answers Homework Help , please submit your details here with product code mentioned above.