Archive | Ch 04 ABC RSS feed for this section

Introductory managerial accounting Jeopardy game for end-of-semester review

A few days ago, I shared a Jeopardy-style PowerPoint file that can be used for an end-of-semester review in introductory financial accounting classes. In this post, I am sharing a Jeopardy-style game that covers basic topics within an introductory managerial accounting course. This PowerPoint file contains a Jeopardy-style game suitable for use in an introductory […]

Continue reading

What type of quality costs would the torn PUMA soccer jerseys be considered?

At a European Championship game for men’s soccer in June 2016, at least four of Switzerland’s red jerseys were torn during the game again the French team. Three of the Swiss jerseys torn around the numbers. The wardrobe malfunctions left the players with large parts of their backs exposed until they could get to the […]

Continue reading

What quality costs will Mars incur from its recall of Snickers candy bars?

The US chocolate maker Mars, one of the world’s largest privately-held companies, issued a voluntary recall in 55 countries for Snickers bars, Milky Way minis, and some other candy bar varieties that were manufactured in a Dutch factory between December 2015 and January 2016. A red piece of plastic was found in one Snickers bar […]

Continue reading

What costs are included for a bottle of water at the JFK International airport if activity-based costing (ABC) is used for product costing?

In a recent Wall Street Journal article (“The Price You Pay for Water at the Airport,” Scott McCartney, April 22, 2015), the cost of a bottle at various airports was compared to the cost of that same bottle of water at a convenience store. A 20-ounce bottle of Dasani water typically costs about $0.99 at […]

Continue reading

What are potential cost drivers for an ABC system at Virgin America?

After several years of losses, Virgin America recently announced that it anticipates a profit for 2013. Although the company is expecting a profit for 2013, it still is not out of the woods.  Critics have called for greater cost control at Virgin America. The following table contains selected financial and other data for Virgin America […]

Continue reading