Question
In: Accounting
Departmentalization is the logical grouping of business units to operate efficiently. An organization can split its...
Departmentalization is the logical grouping of business units to operate efficiently. An organization can split its departments in many ways. Consider a company that develops software. The company develops office suite software, social media software, and video game software and currently uses functional departmentalization as a basis for its organization structure. How might this organizational structure change if the software company operated globally? How might it change if the software company developed software for different industries?
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Solutions
ekkarill92 answered 1 year agoRelated Solutions
A manufacturing shop is designed to operate most efficiently at an output of 580 units per...
A manufacturing shop is designed to operate most efficiently at
an output of 580 units per day. In the past month the plant
averaged 510 units per day.
What was their capacity utilization rate last month?
(Round your answer to 1 decimal place.)
Capacity utilization rate
%
After investigating the different forms of business organization, Natalie Koebel decides to operate her business as...
After investigating the different forms of business
organization, Natalie Koebel decides to operate her business as a
corporation, Cookie Creations Inc., and she begins the process of
getting her business running.
While at a trade show, Natalie is introduced to Gerry Richards,
operations manager of “Biscuits,” a national food retailer. After
much discussion, Gerry asks Natalie to consider being Biscuits’
major supplier of oatmeal chocolate chip cookies. He provides
Natalie with the most recent copy of the financial statements of...
Why would an organization run its business using software that is free? Can something that is...
Why would an organization run its business using software that
is free? Can something that is given away over the Internet be
stable or reliable or sufficiently supported to place at the core
of a company’s day-to-day operations?
After researching the different forms of business organization. Natalie Koebel decides to operate “Cookie Creations” as...
After researching the different forms of business organization.
Natalie Koebel decides to operate “Cookie Creations” as a
proprietorship. She then starts the process of operating the
business. In November 2022, the following activities take
place.
Nov. 8
Natalie cashes her U.S. Savings Bonds and receives $520, which
she deposits in her personal bank account.
8
She opens a bank account under the name “Cookie Creations” and
transfers $500 from her personal account to the new account.
11
Natalie pays $65...
After researching the different forms of business organization, Natalie Koebel decides to operate Santé Smoothies as...
After researching the different forms of business organization,
Natalie Koebel decides to operate Santé Smoothies as a
proprietorship. She then starts the process of getting the business
running. During the month of April 2021, the following activities
take place:
Apr. 12
Natalie cashes her Canada Savings Bonds and receives $980, which
she deposits in her personal bank account.
13
She opens a bank account under the name “Santé
Smoothies” and transfers $900 from her personal account to the new...
Mary’s Auto Shop Inc. allows its divisions to operate as autonomous units. Their results for the...
Mary’s Auto Shop Inc. allows its divisions to operate as
autonomous units. Their results for the current year were as
follows:
Sport
Terrain
City
Revenues
$2,300,000
$996,000
$6,650,000
Current assets
291,000
91,000
621,000
Capital assets
870,000
660,000
1,590,000
Current liabilities
100,000
100,000
500,000
Net operating income
230,000
40,000
600,000
After-tax income
184,000
32,000
480,000
Weighted average cost of capital
10%
10%
10%
Required:
For each division compute (to two decimal) the:
11. Return on sales in %
12....
Mary’s Auto Shop Inc. allows its divisions to operate as autonomous units. Their results for the...
Mary’s Auto Shop Inc. allows its
divisions to operate as autonomous units. Their results for the
current year were as follows:
Sport
Terrain
City
Revenues
$1,700,000
$800,000
$6,000,000
Current assets
230,000
40,000
410,000
Capital assets
870,000
660,000
1,590,000
Current liabilities
100,000
100,000
500,000
Net operating income
230,000
40,000
600,000
After-tax income
184,000
32,000
480,000
Weighted average cost of capital
10%
10%
10%
Required:
For each division compute (to two
decimal) the:
Return on sales in %
Return on investment (to...
Mary’s Auto Shop Inc. allows its divisions to operate as autonomous units. Their results for the...
Mary’s Auto Shop Inc. allows its divisions to operate as
autonomous units. Their results for the current year were as
follows: Sport Terrain City Revenues $2,200,000 $995,000 $6,600,000
Current assets 290,000 90,000 620,000 Capital assets 870,000
660,000 1,590,000 Current liabilities 100,000 100,000 500,000 Net
operating income 230,000 40,000 600,000 After-tax income 184,000
32,000 480,000 Weighted average cost of capital 10% 10% 10%
Required: For each division compute (to two decimal) the:
1. Return on sales in %
2. Return on...
Mark’s Auto Shop Inc. allows its divisions to operate as autonomous units. Their results for the...
Mark’s Auto Shop Inc. allows its divisions to operate as
autonomous units. Their results for the current year were as
follows:
Sport
Terrain
City
Revenues
$1,850,000
$920,000
$3,400,000
Current assets
268,000
155,800
1,255,000
Capital assets
1,250,000
430,000
890,000
Current liabilities
225,000
78,6000
795,000
Net operating income
228,000
250,000
350,000
After-tax income
159,600
175,000
245,000
Weighted average cost of capital
7%
7%
7%
Required:
For each division compute the
a. return on sales
b. return on investment based on...
Lily factory allows its departments to operate as autonomous units. Their results for the current year...
Lily factory allows its departments to operate as autonomous
units. Their results for the current year were as follows:
Candy Beverage Packaging
Revenues $2,200,000 $670,000
$1,200,000 Current assets 320,000
112,000 535,000 Capital assets
765,000 488,000 1,320,000 Current
liabilities 276,000 107,000
432,000 Net operating income 312,000
57,000 420,000 After-tax income
218,000 39,000 299,000 Weighted average
cost of capital 7.5% 7.5%
7.5%
Required: For each division compute the:
1. Return on sales
2. Return on investment based on total assets
employed...
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