Question 2: 250 words

1. According to Blackwell et al. (2005), five roles performed in buying, apply these five roles to a real life example that you encountered.

2. By using a real life example distinguishing between high & low involvement situations.

PLEASE ANSWER ALL THIS QUESTION

Google stock rose from $208 at year-end 2005 to $770 per share at year-end 2015. Google has made sizable profits but never paid a dividend. Why were people willing to pay such a high price knowing that they might not get dividends for many years?

Pacific company provides the following information about its budgeted and actual results for June 2019. Although the expected June volume was 25, 000 units produced and sold, the company actually produced and sold 27, 000 units as detailed here:

*Indicates factory overhead items:0.75 per unit or $3 per direct labour hour for variable overhead, and 0.25 per unit or $1 per direct labour hour for fixed overhead.

Standard costs based on expected output of 25, 000 units

Actual cost incurred to produce 27, 000 units

Standard costs based on expected output of 27, 000 units

Required

1. Prepare June flexible budgets showing expected sales, costs, and net income assuming 20, 000, 25, 000 and 30, 000 units of output produced and sold.

2. Prepare a flexible budget performance report that compares actual results with the amounts budgeted if the actual volume had been expected.

3. Apply variance analysis for direct materials and direct labour.

4. Compute the total overhead variance, and the controllable and volume variances.

5. Compute spending and efficiency variances for overhead.

6. Prepare journal entries to record standard costs, and price and quantity variances, for direct materials, direct labour, and factory overhead.

Cane Company manufactures two products called Alpha and Beta that sell for $240 and $162, respectively. Each product uses only one type of raw material that costs $5 per pound. The company has the capacity to annually produce 131,000 units of each product. Its average cost per unit for each product at this level of activity are given below:

The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars.

10. Assume that Cane expects to produce and sell 75,000 Alphas during the current year. A supplier has offered to manufacture and deliver 75,000 Alphas to Cane for a price of $160 per unit. What is the financial advantage (disadvantage) of buying 75,000 units from the supplier instead of making those units?

8. Assume that Cane normally produces and sells 80,000 Betas and 100,000 Alphas per year. If Cane discontinues the Beta product line, its sales representatives could increase sales of Alpha by 13,000 units. What is the financial advantage (disadvantage) of discontinuing the Beta product line?

12. What contribution margin per pound of raw material is earned by each of the two products? (Round your answers to 2 decimal places.)

13. Assume that Cane’s customers would buy a maximum of 100,000 units of Alpha and 80,000 units of Beta. Also assume that the raw material available for production is limited to 261,000 pounds. How many units of each product should Cane produce to maximize its profits?

14. Assume that Cane’s customers would buy a maximum of 100,000 units of Alpha and 80,000 units of Beta. Also assume that the raw material available for production is limited to 261,000 pounds. What total contribution margin will it earn?

1. What did Senator Burr, the Chairman of the Senate Intelligence Committee, do after hearing about the possible effects that COVID could have on the economy? His actions are currently being investigated for insider trading.

2. Which of the following does NOT provide a deduction that allows you to reduce your tax bill?

3. Which is one factor that differentiates finance from accounting?

4. Which of the following is the federal government's largest revenue source?

All of the following are common causes of service failure except

Multiple Choice

• homogeneity.

• unanticipated external circumstances

• company fault

• other customers

• unavoidable circumstances

Briefly describe the franchise structure of Chick fil a, and way in which the company could improve its franchise structure to make it more attractive to potential customers.

Q4. When a Mexican distillery offers rebates to its current customers, what growth strategy is the company using? (0.5 points) (20-70 words)

• Does the company use CRM & Contact Manager software for customers? If so, which software and to what extent? If not, how does it record its customer's data?

Morris Company had the following adjusted trial balance:

Additional Resources

The president of Morris Company has asked you to close the books (prepare and process the closing entries).

Required:

After the closing process has been completed, answer the following questions: