--Zink Company manufactures a high-tech component that passes through two production processing departments, Molding and Assembly. Department managers are partially compensated on the basis of units of products completed and transferred out relative to units of product put into production. This was intended as encouragement to be efficient and to minimize waste.
Sara Jones is the department head in the Molding Department, and Frank Smith is her quality control inspector. During the month of June, Sara had three new employees who were not yet technically skilled. As a result, many of the units produced in June had minor molding defects. In order to maintain the department's normal high rate of completion, Sara told Frank to pass through inspection and on to the Assembly Department all units that had defects nondetectable to the human eye. "Company and industry tolerances on this product are too high anyway," says Sara. "Less than 2% of the units we produce are subjected in the market to the stress tolerance we've designed into them. The odds of those 2% being any of this month's units are even less. Anyway, we're saving the company money."
Required:
1. Who are the stakeholders involved?
2. What alternatives does Frank have in this situation?
3. What might the company do to prevent this situation from occurring?
--Your responses must be 3-4 sentences long each and represent "active communication.Senior Security Co. offers a range of security services for senior citizens. Each type of service is considered within a separate department. Mary Pincus, the overall manager, is compensated partly on the basis of departmental performance by staying within the quarterly cost budget. She often revises operations to make sure departments stay within budget. Says Pincus, "I will not go over budget even if it means slightly compromising the level and quality of service. These are minor compromises that don't significantly affect my clients, at least in the short term."
Required:
Who are the stakeholders in this situation?
What is the ethical implications of Mary's actions?
What can Mary do to eliminate or reduce any ethical concerns?
What is Senior Security's ethical responsibility in offering professional services?
Your responses must be 3-4 sentences long each and represent "active communication."
-- Review the Chapter opener. Johnny Cupcakes, launched by entrepreneur John Earle, produces t-shirts in unique styles and limited quantities. Selling prices typically range from $40 per shirt to $70 per shirt.
Required: Write a one page memo to John explaining:
1. Identify at least two fixed costs that will not change regardless of how many t-shirts Johnny Cupcakes produces.
2. How could overly optimistic sales estimates potentially hurt John Earle's business?
3. Explain how cost-volume-profit analysis can help John Earle manage Johnny Cupcakes.
To receive full credit you must answer all parts of the question in a one page memo to John, completed in WORD and attached. Your file must end in .doc or ,docx
You will be graded on how well you address the questions. Addressing the questions involves identifying relevant facts, applying the chapter concepts,, and answering each question completely. Proper APA formatting is expected and required (cited sources, reference page, etc.). Supplement and synthesize your analysis with outsides scholarly sources. For assistance with APA citations, please visit the following links: The American Psychological Association Website: https://www.apastyle.org/
-- Prepare a budget report outlining the costs of attending college (full-time) for the next two semesters (30 hours).
This budget's focus is solely on attending college; do not include personal items in the budget. Your budget must include tuition, books, supplies, fees, food, housing, and all costs associated with travel to and from college.
This budgeting exercise is similar to the initial phase in activity-based budgeting. Include a list of any assumptions you use in completing the budget.
Present your budget in an Excel spreadsheet and attach. Your file must end in .xls or xlsx. Any other format will not be accepted.