第1-2章练习参考答案

第1、2章练习参考答案1-17 (15 min.)Value chain and classification of costs, pharmaceutical company.Cost Item Value Chain Business Functiona.b.c.d.e.f.g.h. Design of products, services or processes MarketingCustomer ServiceResearch and DevelopmentMarketingProductionMarketingDistribution1-20(10-15 min.) Planning and control decisions.Action Decisiona.b.c.d.e. Planning Control Control Planning Planning1-21 (15 min.) Five-step decision-making process, manufacturing.Action Step in Decision-Making Processa.b.c.d.e.f.g. Obtain informationMake predictions about the futureIdentify the problem and uncertaintiesImplement the decision, evaluate performance, and learn Make predictions about the futureMake decisions by choosing among alternatives Obtain information1-31 (40 min.) Global company, ethical challenges with bribery.1.It is clear that bribes are illegal according to U.S. laws. It is not clear from the case whether bribes are illegal in Vartan. However, knowledgeable people in global business would attest to the fact that it is virtually impossible to find any country in the world that specifically sanctions bribery. The major point, however, that deserves discussion is: Should ZenTel engage in any unethical activities even if they are not illegal?It is difficult to make a generalization about all shareholders of the company. It is, however, safe to assume that not all shareholders would want to keep their investment in a company that is engaged in unethical and/or illegal activities. There is historical evidence to substantiate this point:When apartheid laws were in effect in South Africa, many investors divested shares of companies doing business in South Africa.2.Apparently Hank thinks that local culture and common practice are one and the same. This, in fact, is not the case. There are many common practices in developing countries, which are against the native culture.Specifically, bribery often leads to decisions that are not made on the basis of the merits of the alternative selected. This results in misallocation of meager resources of the developing country. Misallocation of resources has adverse effects on the economy of a country and the living standard of its population. The negative impact is intensified in developing countries because they can least afford the misallocation of resources.As it applies to local common practice, multinational companies make some small allowances but draw a hard line against paying the $1 million ―commission.‖3.ZenTel might have an articulated corporate policy against such payments to get the message across that regardless of laws, the top management would not tolerate any bribery payments made by its employees. A strong and consistent message from the top often has a noticeable effect on the corporate culture and employee behavior.U.S. laws specifically prohibit bribery payments. Such payments can result in heavy penalties to the corporation making the payments.4.If this contract is of great importance to ZenTel’s global strategy, it is likely that this kind of issue will come up again as ZenTel expands into very diverse cultures and the company should tackle it head on and make a policy decision against offering bribes. Steve Cheng should discuss the situation with the top management at ZenTel and re-affirm his goal to get the Vartan contract by legal means. He could seek the help of the U.S. commercial attaché in Vartan to continue a dialogue with Vartan’s deputy minister of communications. He could propo se other creative, legal changes to the ZenTel’s bid, even at the cost of reducing the profitability of the current project. Concessions such as training programs, schools and other public works projects may be legal, get the attention of the Vartan govern ment and raise ZenTel’s profile both at home and abroad. In the worst case, if the Vartan government does not agree to any of the creative, legal ―extras‖ that ZenTel can provide in order to win the contract, Cheng should report this to ZenTel’s management and be willing to walk away from the Vartan project.2-17 (15 min.) Direct, indirect, fixed and variable costs.1. Clay – Direct, variablePaint- direct, variablePackaging materials –direct (or could be indirect if small and not traced to each unit), variableDepreciation on machinery and molds –indirect, fixed (unless ―units of output‖ depreciation, which then would be variable)Rent on factory – indirect, fixedInsurance on factory –indirect, fixedFactory utilities – indirect, probably some variable and some fixed (e.g. electricity may be variable but heating costs may be fixed)Painters – direct, variablePainting Department manager –indirect, fixedBaking Department manager – indirect, fixedMaterials handlers –depends on how they are paid. Most likely indirect fixed if salariedCustodian –indirect, fixedNight guard –indirect, fixedMachinist (running the baking machine) –depends on how they are paid. Most likely indirect fixed, if salariedMachine maintenance personnel – indirect, probably fixed, if salaried, but may be variable if paid only for time worked and maintenance increases withincreased productionMaintenance supplies – indirect, variableCleaning supplies – indirect, most likely fixed since the custodians probably do the same amount of cleaning every night2. If the cost object is Baking Department, then anything directly associated with the Baking Department will be a direct cost. This will include:∙depreciation on machinery and molds∙Baking Department manager∙Materials handlers (of the Baking Department)∙Machinist∙Machine Maintenance personnel (of the Baking Department)∙Maintenance supplies (of the Baking Department)Of course the clay will also be a direct cost of the Baking Department, but it is already a direct cost of each kind of figurine produced.2-31 (30–40 min.) Cost of goods manufactured.1.Canseco CompanySchedule of Cost of Goods ManufacturedYear Ended December 31, 2009(in thousands)Direct materials:Beginning inventory, January 1, 2009 $ 22,000Purchases of direct materials 75,000Cost of direct materials available for use 97,000Ending inventory, December 31, 2009 26,000Direct materials used $ 71,000 Direct manufacturing labor 25,000 Indirect manufacturing costs:Indirect manufacturing labor 15,000Plant insurance 9,000Depreciation—plant building & equipment 11,000Repairs and maintenance—plant 4,000Total indirect manufacturing costs 39,000 Manufacturing costs incurred during 2009 135,000 Add beginning work-in-process inventory, January 1, 2009 21,000 Total manufacturing costs to account for 156,000 Deduct ending work-in-process inventory, December 31, 2009 20,000 Cost of goods manufactured (to Income Statement)2.Canseco CompanyIncome StatementYear Ended December 31, 2009(in thousands)RevenuesCost of goods sold:Beginning finished goods, January 1, 2009 $ 18,000Cost of goods manufactured 136,000Cost of goods available for sale 154,000Ending finished goods, December 31, 2009 23,000Cost of goods sold 131,000 Gross margin 169,000 Operating costs:Marketing, distribution, and customer-service costs 93,000General and administrative costs 29,000Total operating costs 122,000 Operating income $ 47,000。