# Assignment Content Refer to the scenario located in the “Analyze,

## Assignment Content

1. Refer to the scenario located in the “Analyze, Think, Communicate” section 12-5 of Ch. 12, “Job-Order, Process, and Hybrid Costing Systems” of Fundamental Managerial Accounting Concepts. This scenario involves an altercation between Rene Alverez and Bill Sawyer and requires you to weigh in with calculations and comments on the matter.

Read the scenario in the textbook and complete the activity below.

Compute the equivalent cost per unit, assuming the ending inventory is considered to be 40 percent complete.

Compute the equivalent cost per unit, assuming the ending inventory is considered to be 60 percent complete.

Write a 350-word summary of your calculations and findings. Comment on Mr. Sawyer’s motives for establishing the percentage of completion at 60 percent rather than 40 percent.

Submit calculations and summary.
René Alverez knew she was in over her head soon after she took the job. Even so, the opportunity for promotion comes along rarely and she believed that she would grow into it. Ms. Alverez is the cost accounting specialist assigned to the finishing department of Standard Tool Company. Bill Sawyer, the manager of the finishing department, knows exactly what he is doing. In each of the three years he has managed the department, the cost per unit of product transferred out of his Work in Process Inventory account has declined. His ability to control cost is highly valued, and it is widely believed that he will be the successor to the plant manager, who is being promoted to manufacturing vice president. One more good year would surely seal the deal for Mr. Sawyer. It was little wonder that Ms. Alverez was uncomfortable in challenging Mr. Sawyer’s estimate of the percentage of completion of the department’s ending inventory. He contended that the inventory was 60 percent complete, but she believed that it was only about 40 percent complete.

After a brief altercation, Ms. Alverez agreed to sign off on Mr. Sawyer’s estimate. The truth was that although she believed she was right, she did not know how to support her position. Besides, Mr. Sawyer was about to be named plant manager, and she felt it unwise to challenge such an important person.

The department had beginning inventory of 5,500 units of product and it started 94,500 units during the period. It transferred out 90,000 units during the period. Total transferred-in and production cost for the period was \$902,400. This amount included the cost in beginning inventory plus additional costs incurred during the period. The target (standard) cost per unit is \$9.45.

Required

1. Determine the equivalent cost per unit, assuming that the ending inventory is considered to be 40 percent complete.
2. Determine the equivalent cost per unit, assuming that the ending inventory is considered to be 60 percent complete.
3. Comment on Mr. Sawyer’s motives for establishing the percentage of completion at 60 percent rather than 40 percent.
4. Assuming that Ms. Alverez is a certified management accountant, would informing the chief accountant of her dispute with Mr. Sawyer violate the confidentiality standards of ethical professional practice in Exhibit 1.17of Chapter 1?
5. Did Ms. Alverez violate any of the standards of ethical professional practice in Exhibit 1.17 of Chapter 1? If so, which ones?
6. Discuss the components of the fraud triangle that affected Ms. Alverez’s behavior.

Pages (275 words)
Standard price: \$0.00

### Latest Reviews

Impressed with the sample above? Wait there is more

Related Questions

### Read Chapters 11 and 12 on Contract Law Answer and

Read Chapters 11 and 12 on Contract Law Answer and discuss the following:  Given your understanding of the chapter reading on contract law, identify and

### RESPOND TO PEER discussion response Bhopal experiences helped contribute to

RESPOND TO PEER  discussion response  Bhopal experiences helped contribute to learning lessons and better preparation to emergencies like this in the future. There were over

### Homework is to be presented as a short (50-100-word) paragraph

Homework is to be presented as a short (50-100-word) paragraph response for each question. The assignment is to be submitted as a Microsoft Word

### Complete a SWOT analysis for your chosen company using the

Complete a SWOT analysis for your chosen company using the provided SWOT Analysis Template. Write a 525- to 700-word summary of your findings on

### I need TURNITIN REPORT PLEASE answer with your words question by

I need TURNITIN REPORT PLEASE answer with your words question by question, and answer only what the professor ask. Please answer the following questions:

### MGMT 362 Organization Behavior Written Activity 2 1. Motivation (Chapter

MGMT 362 Organization Behavior Written Activity 2 1. Motivation (Chapter 5) and performance management (Chapter 6) are  related concepts in our discussion of Organization Behavior.

### Read the case study uploaded to Moodle titled “The Netflix

Read the case study uploaded to Moodle titled “The Netflix effect” in Thailand by Pirongrong Ramasoota, Abhibhu Kitikamdhorn (you can find it in a PDF

### For this revision, make high level paper and paragraph changes

For this revision, make high level paper and paragraph changes based on a text analysis using the questions below. Revision: Some Questions to Ask Yourself

### APA format, in-text citation, references included 2 pages 1. What

APA format, in-text citation, references included 2 pages 1. What is your understanding of Entity Integrity Vs Referential Integrity in ERD model. Illustrated with simple

### Implementation and evaluation and address at least two cross-cutting public

Implementation and evaluation and address at least two cross-cutting public health issues in the development of a specific health behavior change intervention. The group presentation

### Interview By now you should have completed your interview with

Interview By now you should have completed your interview with someone from your field of interest. The interview format should be based on the following

### Airbus and a gap analysis of principles and leadership styles within

Description A recent survey of senior executives from 197 companies worldwide with sales exceeding \$500 million found that less than 15% compared the business results

New questions