Archives: Solution Manual

MODULE 17: Children and Violent Video Games Core Module Issues: • Are video game producers and sellers obligated to help keep “M” rated games away from children? • Are video game producers obligated to make more “kid friendly” games? Module […]

CHAPTER 22 Budgeting Prob. 22–2B 1. Unit Sales Unit Selling Volume Price Total Sales King: Northern Domestic 610 $780 $ 475,800 Southern Domestic 340 780 265,200 Prince: Northern Domestic 750 $550 $ 412,500 Southern Domestic 440 550 242,000 International 290 […]

MODULE 16: Marketing Unhealthy Food to Children Core Module Issues: • Do food companies share in the blame for the obesity epidemic? • Are children in particular need of new protections from food that is “bad for them”? • If […]

CHAPTER 22 Budgeting Ex. 22–19 October November December Receipts from cash sales: Cash sales (25% × current month’s sales) $14,500 $16,250 $18,000 September sales on account: OFFICEMART INC. Schedule of Collections from Sales For the Three Months Ending December 31, […]

MODULE 15: Celebrity Endorsements Core Module Issues: • Are high-priced celebrity endorsements acceptable? • What if the celebrity does not use the product? Module Teaching Notes Celebrity endorsements work. Or at least, they frequently work. A company-copyrighted cartoon pitchman may […]

1. The three major objectives of budgeting are (1) to establish specific goals for future operations, (2) to execute plans to achieve the goals, and (3) to periodically compare actual results with the goals. 2. If goals set by the […]

MODULE 14: Using Fear to Sell Core Module Issues: • Is it reasonable to “scare” customers into buying products and services? • If so, are there any limits? Any circumstances in which fear is not an appropriate tactic? Module Teaching […]

3. Describe the master budget for a manufacturing company. 405 © 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. chapter 22 Budgeting ______________________________________________ […]

MODULE 13: Quickly Flashed Fine Print Core Module Issues: • Is it acceptable to flash blocks of fine print during a TV ad of an average consumer would have little chance to read them? • Should the government get involved […]

An asterisk (*) will appear to the right of an incorrect entry. 1. Sales Cost of goods sold: Direct materials Direct labor Factory overhead Cost of goods sold Gross profit Expenses: Selling expenses Sales salaries and commissions Advertising Travel Miscellaneous […]

UNIT 12: Government Actions and Corporate Influence • Unit Background/Author Perspective • Module 60: Politics and the Supreme Court • Module 61: Citizens’ United Case: Free Speech, Corporations, and Participation in Elections • Module 62: Long Term Unemployment • Module […]

An asterisk (*) will appear to the right of an incorrect entry. a. – – – – = Based on highest level: Total cost Units produced x Variable cost per unit Total variable cost Total fixed cost b. Based on […]

MODULE 12: “Best Case Scenario” Ads Core Module Issues: • Is it ethically acceptable for companies to use their all-time, most successful client in advertisements? • If so, is a company obligated to also give information about more typical results? […]

CHAPTER 21 Cost Behavior and Cost-Volume-Profit Analysis Prob. 21–3B Break-Even Sales (units) $1,100,000 $40 per unit = $40 per unit = 27,500 units $800,000 + $300,000 = 3. 4. Sales (32,000 × $150)…………………………… $4,800,000 Total fixed costs………………………………… … $ 800,000 […]

UNIT 11: “The Great Recession” • Unit Background/Author Perspective • Module 55: Mortgage Backed Securities and Root Causes of the Great Recession • Module 56: The Mortgage Meltdown – Big Investors • Module 57: “Outsourcing Yourself” • Module 58: The […]

1. Variable Variable Total Cost Cost Percentage Cost Cost of goods sold……………… … $6,000,000 × 80% = $4,800,000 Selling expenses………………… … 4,000,000 × 75% = 3,000,000 Administrative expenses………… 3,000,000 × 70% = 2,100,000 Variable Fixed Total Cost Cost Cost Cost […]

MODULE 11: Stakeholder Focus: Customers and Dangerous Products Core Module Issues: • When, if ever, do companies have special obligations to their customers? • Are the obligations more pronounced if safety is involved? Module Teaching Notes This concluding unit in […]

1. Total variable costs change in proportion to changes in the level of activity. Unit variable 2. a. Variable costs b. Variable costs 3. Total fixed cost remains the same regardless of changes in the level of activity. Fixed cost […]

UNIT 10: International Ethics • Unit Background/Author Perspective • Module 52: Overseas Working Conditions • Module 53: Fair Trade Programs • Module 54: The Foreign Corrupt Practices Act and Bribes Unit Background/Author Perspective There appears to be less emphasis on […]

MODULE 10: Stakeholder Focus: Communities Core Module Issues: • When, if ever, is a company obligated to “give something back” to a community in which it operates? • Are communities equivalent to other kinds of stakeholders, like employees and customers? […]

chapter 21 Cost Behavior and Cost- Volume-Profit Analysis ______________________________________________ OPENING COMMENTS In Chapter 21, students learn how to conduct cost-volume-profit analysis. In preparation for this activity, the chapter discusses variable, fixed, and mixed costs. Cost-volume-profit analysis is conducted using both […]

UNIT 9: Environmental Ethics • Unit Background/Author Perspective • Module 47: Dumping • Module 48: Environmental Disasters, from the Valdez to BP • Module 49: Sustainability: Renewable Energy and “Green” Buildings • Module 50: Animal Rights • Module 51: “Perfectly […]

An asterisk (*) will appear to the right of an incorrect entry. The essay answer will not be graded. Enter a zero in cells you would otherwise leave blank. 1. UNITS Whole Units Direct Materials Conversion Units charged to production: […]

UNIT 8: Special Obligations to Customers • Unit Background/Author Perspective • Module 41: Customer Deception: Who’s to Blame? • Module 42: Credit Cards and Payday Loans • Module 43: “Microinsurance” • Module 44: Using “Bad” Things to Boost Profits • […]

An asterisk (*) will appear to the right of an incorrect entry. Enter a zero in cells you would otherwise leave blank. UNITS Whole Units Direct Materials Conversion Units charged to production: Inventory in process, March 1 Received from materials […]

UNIT 7: Employee Compensation • Unit Background/Author Perspective • Module 38: CEO Compensation • Module 39: Taxes and Salaries: Egalitarian and Libertarian Policies • Module 40: Rawls’ Veil of Ignorance and Fair Compensation Systems Unit Background/Author Perspective Americans are keenly […]

An asterisk (*) will appear to the right of an incorrect entry. Enter a zero in cells you would otherwise leave blank. a. Units in process at beginning of period Units placed in production during period Less units finished during […]

UNIT 6: Workplace Privacy • Unit Background/Author Perspective • Module 33: Monitoring Software • Module 34: Email Surveillance • Module 35: Drug Testing and Polygraph Testing • Module 36: Background Checks and Social Networking Websites • Module 37: Job Applicants […]

CHAPTER 20 Process Cost Systems Prob. 20–2B (Concluded) 2. Direct materials: Decrease of $0.15 ($16.50 – $16.65) Conversion: Increase of $0.15 ($6.00 – $5.85) Computations: 20-58 © 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, […]

UNIT 5: Responding to Employee Behavior • Unit Background/Author Perspective • Module 26: “Don’t Be a Hero” Policies • Module 27: Company Perspective: Sexual Harassment • Module 28: Employee Perspective: Sexual Harassment • Module 29: The Family and Medical Leave […]

CHAPTER 20 Process Cost Systems Prob. 20–1A (Concluded) 2. Work in Work in Process— Process— Finished Materials Spinning Dept. Tufting Dept. Goods Balance, October 1… … $ 4,800 $ 1,500 $ 2,300 $ 5,600 3. Balance, October 1… … Debits………………… […]

UNIT 4: Workplace Ethics: Treatment of Employees • Unit Background/Author Perspective • Module 20: Weight Discrimination • Module 21: Extreme Hours • Module 22: Layoffs in Good Economic Times • Module 23: Workplace Diversity • Module 24: No Compete Agreements […]

CHAPTER 20 Process Cost Systems Ex. 20–15 a. $11,646; determined as follows: Beginning work in process balance…………………………………………… … $ 10,566 b. Cost of beginning work in process…………………………………………… … $ 11,646 Cost of units started and completed during November*…………………… 144,900 Cost […]

UNIT 3: Selling, Marketing, and Advertising • Unit Background/Author Perspective • Module 12: “Best Case Scenario” Ads • Module 13: Quickly Flashed Fine Print • Module 14: Using Fear to Sell • Module 15: Celebrity Endorsements • Module 16: Marketing […]

1. a. An assembly-type industry using mass production methods, such as TV assembly, would use the process cost system because the products are somewhat standard and lose their identities as individual items. In such industries, it is neither practical nor […]

UNIT 2: Purpose of the Corporation • Unit Background/Author Perspective • Module 6: Stakeholder Ethics • Module 7: Milton Friedman and Shareholder Ethics • Module 8: Stakeholder Focus: Employees • Module 9: Stakeholder Focus: Plant Closing • Module 10: Stakeholder […]

chapter 20 Process Cost Systems ______________________________________________ OPENING COMMENTS Chapter 20 completes the coverage of manufacturing accounting by introducing process costing. The text demonstrates process costing under the FIFO method. The average cost method is presented in the chapter’s appendix. Chapter […]

I would be glad to communicate with you directly, if you like. My email address is Bredeson@mail.utexas.edu, and my direct line is 512-471-5248. Questions are welcome, as is feedback. Happy teaching! Dean A. Bredeson Greetings from Austin. I am writing […]

An asterisk (*) will appear to the right of an incorrect entry. 1. 2. Debit Credit a. Bal. Bal. b. 3. Schedule of unfinished jobs: Direct Direct Factory c. Materials Labor Overhead Total No. 304 No. 306 d. Balance of […]

MODULE 9: Stakeholder Focus: Plant Closing Core Module Issues: • When, if ever, is a company obligated to consider employees if the needs of the employees are at odds with creating shareholder wealth? • When, if ever, are communities relevant […]

An asterisk (*) will appear to the right of an incorrect entry. The essay answer will not be graded. a. Materials Receiving Requi- Report Unit sition Number Quantity Price Number Quantity Unit Price Amount Date Quantity Unit Price Amount May […]

MODULE 8: Stakeholder Focus: Employees Core Module Issues: • When, if ever, do the needs of employees outweigh the needs of the shareholders? • Do “special circumstances” factor into the equation? Module Teaching Notes This is the first of a […]

CHAPTER 19 Job Order Costing Prob. 19–2A 1. a. Materials 29,800 Accounts Payable b. Work in Process 49,780 Factory Overhead 5,180 c. Factory Overhead 5,500 Accounts Payable d. Factory Overhead 1,980 Accumulated Depreciation—Machinery and Equipment e. Work in Process 12,312 […]

MODULE 7: Milton Friedman and Shareholder Ethics Core Module Issues: • What did Friedman have to say about the shareholder model? • Is a corporate leader ever obligated to consider the “stakeholders”? Module Teaching Notes This module looks at the […]

1. a. Job order cost system and process cost system. 2. Job order costing is used by firms that sell custom goods and services to customers. The job order system is frequently associated with firms that will produce a product […]

MODULE 6: Stakeholder Ethics Core Module Issues: • What is the shareholder model? • What is the stakeholder model? • Which is most sensible? Module Teaching Notes We start this new unit with an overview of the shareholder and stakeholder […]

chapter 19 Job Order Costing ______________________________________________ OPENING COMMENTS Chapter 19 introduces students to managerial job order cost systems. Students will be exposed to the terminology used to describe costs related to manufacturing. The first of two basic manufacturing accounting systems, […]

MODULE 5: Kant’s Duty Ethics Core Module Issues: • When a person or a company does a “good deed”, does the motive for doing the good deed matter? • If it does matter, what motives make for the best actions? […]

An asterisk (*) will appear to the right of an incorrect entry. 1. Prius Company Volt Company Materials inventory, December 1 280,280$ 177,000$ Materials inventory, December 31 (a) 180,000 Materials purchased 712,800 342,000 Cost of direct materials used in production […]

MODULE 4: Kant and Unique Human Dignity Core Module Issues: • Does it make sense to try to find categorical imperatives? • Do human beings have a unique dignity, and if so, are business leaders obligated to respect it? • […]