Management Financial Accounting

Chapter 1 Case

a.

The business school adds value by trying to better assist their students with continuing their education by offering different programs. They set an annual budget that targets tuition revenues, teaching costs administration costs, and merit-based financial aid to provide to the students. The ones that benefit from these values are the students. The possible lower costs and better budget that is set could mean lower costs for them.

b. To be successful, they must be able to give quality education to make sure students keep coming to the university and with the economic times they need to change and try and offer maybe lower costs than the next university, but not to low that the school does not make any money or is not successful in their ventures.

c. The major cost drivers are the costs of tution and the costs of teaching and administration costs. These all need to be meet to make sure that the students receive and achieve the best education possible. They might attempt to control costs by making sure the budget is set for the year and that it is almost exact as possible. They could also attempt to control costs by getting contracts with the suppliers of books for the students.

Chapter 1 Problems

P1-2

a.

Managerial accounting can be used to assist by showing how much money is being lost due to the fre processing and photo returns that the store has had. This need to be look at and then compaired to the difference in the cost between the new chemical and the old chemical . Then the way that they store will go, needs to be chosen from there. They also need to look at the store’s reputation if there have been a lot of returns on the photos that they are developing.

b. They could assist by looking at how the store’s reputation is being affected. With having to many returns, the customers may not return or spread information to other people or potential customers about what has been happening when taking photos to the store. This could...