Tag Archives: cvp

How would a nail-painting robot impact a hotel spa’s cost behavior and operating leverage?

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 […]

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How will the change in Chipotle’s sales mix due to the pandemic impact Chipotle’s profits?

Digital sales for Chipotle Mexican Grill Inc. (NYSE: CMG) grew 216.3% in the second quarter of 2020, accounting for 60.7% of sales for the quarter, as the effect of the pandemic for the entire quarter sent customers to online options rather than dining in. Many digital customers opted for delivery, viewing it as a safer […]

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New data analytics case for introductory managerial accounting available – KAT Insurance!

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 […]

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How will Walmart’s use of robots change its break even point?

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 […]

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Which iPhone model is the most profitable for Apple?

In late September 2017, Apple Inc. (NYSE: AAPL) announced that it would be releasing three new models of its iPhone in the fourth quarter of 2017: the iPhone X, the iPhone 8 Plus, and the iPhone 8. In addition, it would continue to sell some of the older models. To follow is a table containing […]

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What costs are relevant when determining how many pizzas a month Zume Pizza must sell to break even?

Zume Pizza uses a combination of robots, artificial intelligence (AI), and GPS in its food trucks to deliver pizzas to customers’ houses just as the pizza is finished baking. Pizzas are actually prepared and baked in the Zume pizza truck by an employee assisted by robots.  Zume Pizza started operations in April 2016 and is currently […]

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How many Classic Moana™ dolls must Disney sell to cover its costs of developing the sustainable packaging for the doll?

Walt Disney’s new movie, Moana™, opened in theaters across the United States in late November 2016.  The movie is about an island teenager, Moana™, who sets out on an action-packed voyage to save her people. Disney has released a doll modeled after the heroine of the movie, its Classic Moana™ doll.  The doll is 11” […]

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How many snow cones need to be sold for a Snowie™ snow cone cart to break even?

Snowie™ is a brand of flavored shaved ice that is sold in snow cones at a variety of events and locations across the United States.  Recently, a Snowie™ cart was spotted at the Kent Heritage Festival this summer. During this festival, street vendors offer a variety of foods and drinks. At the Snowie™ cart, festival […]

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How does replacing employees with ordering kiosks at Panera change its break even point?

During 2016, Panera Bread Company (PNRA) is building ordering kiosk centers in its cafes. These ordering kiosks will allow customers to browse nutritional content of its menu items and will allow for personalization of menu items.  Panera has stated that wait times will be shortened and order accuracy will be improved by using this new […]

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How does shifting the sales mix from Budweiser macrobrew beer to Elysian and other craft beers affect Anheuser-Busch’s break even sales volume?

Overall, there is flat demand in the beer industry.  Anheuser-Busch InBev (NYSE: BUD), based in Leuven, Belgium, is pursuing a “premiumization” strategy in the alcohol market to more aggressively market higher-priced brands.  It is working to expand its sales of regional and national craft brands, including Shock Top and Goose Island.  It is also acquiring […]

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