Solution Manual for Introduction to Management Accounting 16th Edition by Charles T. Horngren

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Solution Manual for Introduction to Management Accounting 16th Edition by Charles T. Horngren

Solution Manual for Introduction to Management Accounting 16th Edition by Charles T. Horngren

This is the eBook of the printed book and may not include any media, website access codes, or print supplements that may come packaged with the bound book. Directed primarily toward Accounting college/university majors, this text also provides practical content to current and aspiring industry professionals. Introduction to Management Accounting helps to enhance readers’ ability to make effective economic decisions by encouraging them to understand the inner-workings of the concepts, rather than solely focusing on technique memorization. Overall, this text describes both theory and common practices in a way that will help readers produce information that’s useful in day-to-day decision-making.   013305974X / 9780133059748 Introduction to Management Accounting Plus NEW MyAccountingLab with Pearson eText — Access Card Package Package consists of:    0133058786 / 9780133058789 Introduction to Management Accounting 0133059251 / 9780133059250 NEW MyAccountingLab with Pearson eText — Access Card — for Introduction to Management Accounting

 

Title Page
Copyright Page
About the Authors
Contents
Preface
Acknowledgements
PART 1 Focus on Decision Making
Chapter 1 Managerial Accounting, the Business Organization, and Professional Ethics
Starbucks
Management Accounting and Your Career
Roles of Accounting Information
Management by Exception
Cost-Benefit and Behavioral Considerations
Planning and Control for Product Life Cycles and the Value Chain
Accounting’s Position in the Organization
Adaptation to Change
Ethical Conduct for Professional Accountants
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 2 Introduction to Cost Behavior and Cost-Volume-Profit Relationships
Boeing Company
Identifying Activities, Resources, Costs, and Cost Drivers
Variable-Cost and Fixed-Cost Behavior
Cost Behavior: Further Considerations
Cost-Volume-Profit Analysis
Additional Uses of CVP Analysis
Contribution Margin and Gross Margin
Appendix 2A: Sales-Mix Analysis
Appendix 2B: Impact of Income Taxes
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 3 Measurement of Cost Behavior
America West
Cost Drivers and Cost Behavior
Management Influence on Cost Behavior
Cost Functions
Methods of Measuring Cost Functions
Appendix 3: Use and Interpretation of Least-Squares Regression
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 4 Cost Management Systems and Activity-Based Costing
Dell
Cost Management Systems
Cost Accounting Systems
Cost Terms Used for Strategic Decision Making and Operational Control Purposes
Cost Terms Used for External Reporting Purposes
Traditional and Activity-Based Cost Accounting Systems
Activity-Based Management: A Cost Management System Tool
Appendix 4: Detailed Illustration of Traditional and Activity-Based Cost Accounting Systems
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 5 Relevant Information for Decision Making with a Focus on Pricing Decisions
Grand Canyon Railway
The Concept of Relevance
Pricing Special Sales Orders
Basic Principles for Pricing Decisions
Influences on Pricing in Practice
Cost-Plus Pricing
Target Costing
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 6 Relevant Information for Decision Making with a Focus on Operational Decisions
Nantucket Nectars
Analyzing Relevant Information: Focusing on the Future and Differential Attributes
Make-or-Buy Decisions
Deletion or Addition of Products, Services, or Departments
Optimal Use of Limited Resources: Product-Mix Decisions
Joint Product Costs: Sell or Process Further Decisions
Keeping or Replacing Equipment
Identify Irrelevant or Misspecified Costs
Conflicts Between Decision Making and Performance Evaluation
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
PART 2 Accounting for Planning and Control
Chapter 7 Introduction to Budgets and Preparing the Master Budget
Ritz-Carlton
Budgets and the Organization
Types of Budgets
Preparing the Master Budget
Budgets as Financial Planning Models
Appendix 7: Use of Spreadsheet Models for Sensitivity Analysis
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 8 Flexible Budgets and Variance Analysis
McDonald’s
Using Budgets and Variances to Evaluate Results
Revenue and Cost Variances
The Role of Standards in Determining Variances
Finding Explanations for Variances
More Detailed Analysis of Flexible-Budget Variances
Overhead Variances
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 9 Management Control Systems and Responsibility Accounting
Health Net
Management Control Systems
Management Control Systems and Organizational Goals
Designing Management Control Systems
Controllability and Measurement of Financial Performance
Measurement of Nonfinancial Performance
The Balanced Scorecard
Management Control Systems in Service, Government, and Nonprofit Organizations
Future of Management Control Systems
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 10 Management Control in Decentralized Organizations
NIKE
Centralization Versus Decentralization
Performance Metrics and Management Control
Measures of Segment Performance
Economic Profit and Economic Value Added (EVA)
Incentives from Income, ROI, or Economic Profit
Transfer Pricing
Keys to Successful Management Control Systems
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
PART 3 Capital Budgeting
Chapter 11 Capital Budgeting
Toyota Motor Corporation
Capital Budgeting for Programs or Projects
Discounted-Cash-Flow Models
Sensitivity Analysis and Risk Assessment in DCF Models
The NPV Comparison of Two Projects
Relevant Cash Flows
Income Tax Effects
Other Models for Analyzing Long-Range Decisions
Performance Evaluation
Appendix 11: Capital Budgeting and Inflation
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
PART 4 Product Costing
Chapter 12 Cost Allocation
L.A. Darling
A General Framework for Cost Allocation
Allocation of Service Department Costs
Allocation of Costs to Product or Service Cost Objects
An ABC Approach
Allocation of Costs to Customer Cost Objects to Determine Customer Profitability
Allocation of Central Corporate Support Costs
Allocation of Joint Costs and By-Product Costs
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 13 Accounting for Overhead Costs
DELL
Accounting for Factory Overhead
Illustration of Overhead Application
Problems of Overhead Application
Variable Versus Absorption Costing
Fixed Overhead and Absorption Costs of Product
Effect of Other Variances
Appendix 13: Comparisons of Production-Volume Variance with Other Variances
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 14 Job-Order Costing and Process-Costing Systems
Jelly Belly
Distinction Between Job-Order Costing and Process Costing
Illustration of Job Costing
Activity-Based Costing/Management in a Job-Costing Environment
Job Costing in Service and Nonprofit Organizations
Process Costing Basics
Application of Process Costing
Physical Units and Equivalent Units (Steps 1 and 2)
Calculation of Product Costs (Steps 3 to 5)
Effects of Beginning Inventories: Weighted-Average Method
Transferred-In Costs
Costing in a JIT System: Backflush Costing
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
PART 5 Basic Financial Accounting
Chapter 15 Basic Accounting: Concepts, Techniques, and Conventions
General Mills
The Need for Accounting
Financial Statements—Balance Sheet and Income Statement
Accrual Basis and Cash Basis
Adjustments to the Accounts
Adjustment Type I: Expiration of Unexpired Costs
Adjustment Type II: Recognition (Earning) of Unearned Revenues
Adjustment Type III: Accrual of Unrecorded Expenses
Adjustment Type IV: Accrual of Unrecorded Revenues
Dividends and Retained Earnings
Preparing Financial Statements
Sole Proprietorships and Partnerships
Generally Accepted Accounting Principles
Three Measurement Principles
Appendix 15A: Additional Accounting Concepts
Appendix 15B: Using Ledger Accounts
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 16 Understanding Corporate Annual Reports: Basic Financial Statements
NIKE
Classified Balance Sheet
Income Statement
Statement of Changes in Stockholders’ Equity
Statement of Cash Flows
Cash Flow from Operating Activities
Interpreting the Cash Flow Statement
Annual Reports
Appendix 16A: Accounting for Inventory
Appendix 16B: Shareholder Reporting, Income Tax Reporting, and Deferred Taxes
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Chapter 17 Understanding and Analyzing Consolidated Financial Statements
Berkshire Hathaway
Part One: Intercorporate Investments Including Consolidations
Market-Value and Equity Methods
Consolidated Financial Statements
Recognizing Income after Acquisition
Part Two: Analysis of Financial Statements
Component Percentages
Uses of Ratios
Efficient Markets and Investor Decisions
Accounting Vocabulary
Fundamental Assignment Material
Additional Assignment Material
Appendix A: Recommended Readings
Periodicals
Books in Management Accounting
Online Resources
Appendix B: Fundamentals of Compound Interest and the Use of Present-Value Tables
The Nature of Interest
Appendix C: Excerpts from Form 10-K of NIKE, Inc.
Part 1
Management’s Annual Report on Internal Control Over Financial Reporting
Report on Independent Registered Public Accounting Firm
NIKE, Inc., Notes to Consolidated Financial Statements
Glossary
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Subject Index
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Company Index
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Solution Manual for Introduction to Management Accounting 16th Edition by Charles T. Horngren