Subway, the fast-food restaurant franchise, came out with a promotion offering two footlong subs for $10 during the early days of the Covid-19 pandemic as a way to drive traffic to its restaurants. Franchise owners were not happy with the promotion, claiming they lost money on every sub sold. Assume that the costs related to […]
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Tag Archives: cost behavior
What costs are relevant when determining how many pizzas a month Stellar Pizza must sell to break even?
January 4, 2022 
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Stellar Pizza has a pizza-making robotic machine that was built by three former SpaceX engineers. More than 23 former SpaceX employees work at Stellar Pizza. The pizza-making robot can produce a pizza every 45 seconds. A pizza can be customized, baked, and topped in less than five minutes by the robotic machine. Stellar Pizza will […]
Continue readingHow would a nail-painting robot impact a hotel spa’s cost behavior and operating leverage?
November 17, 2021 0 Comments
Clockwork, a startup in San Francisco, has built a robot that paints nails in under ten minutes. This video shows the nail painting robot in action. The robot has a 3D camera with which it takes pictures of each nail to build a 3D map of the nail. Then the robot’s artificial intelligence system uses […]
Continue readingWhat types of costs are associated with a Stance™ sock vending machine located in an airport?
November 3, 2019 0 Comments
At Cleveland Hopkins International Airport in northeastern Ohio, a vending machine that dispenses socks was recently installed. Located in the C concourse, the Stance sock vending machine offers a variety of what Stance refers to as “uncommon” socks. The designs on the socks in the Cleveland airport vending machine include Cleveland Browns, Cleveland Indians, patriotic […]
Continue readingNew data analytics case for introductory managerial accounting available – KAT Insurance!
March 2, 2019 1 Comment
In addition to the data analytics case we posted last week for introductory financial accounting, we have also developed a case, using the same KAT Insurance Company data set, for introductory managerial accounting. The three of us who teach introductory accounting (Wendy Tietz, Jennifer Cainas, and Tracie Miller-Nobles) developed a KAT Insurance case to introduce […]
Continue readingHow will Walmart’s use of robots change its break even point?
January 21, 2019 0 Comments
Walmart (WMT) is robotic janitors in some of its stores. Walmart has purchased several Autonomous Cleaner (Auto-C) robots from Brain Corporation. An Auto-C robot looks like a Zamboni, the machine used to clean ice rinks. The robots scrub floors and clean store aisles. Sensors in the robots allow them to navigate around customers and other […]
Continue readingDoes each Subway $5 Footlong cost the franchisee more than $5?
January 31, 2018 0 Comments
Subway, the fast food restaurant franchise, recently announced it is bringing back the “$5 Footlong” promotion. Hundreds of Subway franchise owners are protesting the promotion, saying that they cannot afford to sell the footlong sub sandwiches for $5. Assume that the costs related to a Subway footlong and a Subway franchisee include the following: Cost […]
Continue reading7 Excel projects for your managerial accounting course
January 5, 2018 0 Comments
Welcome to spring semester! I thought I would repost this information as you are getting ready to kick off the new semester. If you teach managerial accounting, you may want to look at Dr. Karen Braun’s Excel projects for managerial accounting. She has created seven Excel projects on various topics in managerial accounting, complete with […]
Continue readingKaren Braun’s 7 Excel projects for managerial accounting
August 23, 2017 0 Comments
If you teach managerial accounting, you may want to look at Dr. Karen Braun’s Excel projects for managerial accounting. She has created seven Excel projects on various topics in managerial accounting, complete with step-by-step student instructions and instructor solutions. The topics include: Job costing Cost behavior CVP analysis Process costing Budgeting Flexible budgeting Division evaluation […]
Continue readingWhat costs are relevant when pricing a cargo ship cruise?
November 19, 2015 0 Comments
Challenging economic conditions in several countries have pushed freight ship companies to look for additional sources of revenues in addition to the revenue generated by hauling freight across the ocean. In recent years, one additional source of revenue for these freight companies has been to take on cruise passengers in addition to regular cargo. Generally […]
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