成本與管理會(huì)計(jì)知識(shí)拓展課件(供雙語(yǔ)教學(xué)使用)(編輯修改稿)
2024-11-21 06:44 本頁(yè)面
【文章內(nèi)容簡(jiǎn)介】 s with the Absorption Costing Approach,The absorption costing approach assumes that customers need the forecasted unit sales and will pay whatever price the company decides to charge. This is flawed logic simply because customers have a choice.,Problems with the Absorption Costing Approach,Let’s assume that Ritter sells only 7,000 units at $30 per unit, instead of the forecasted 10,000 units. Here is the income statement.,Problems with the Absorption Costing Approach,Let’s assume that Ritter sells only 7,000 units at $30 per unit, instead of the forecasted 10,000 units. Here is the income statement.,Absorption costing approach to pricing is a safe approach only if customers choose to buy at least as many units as managers forecasted they would buy.,Learning Objective 3,Compute the target cost for a new product or service.,Target Costing,Target costing is the process of determining the maximum allowable cost for a new product and then developing a prototype that can be made for that maximum target cost figure. The equation for determining the target price is shown below:,Target cost = Anticipated selling price – Desired profit,Reasons for Using Target Costing,Two characteristics of prices and product costs:,The market (i.e., supply and demand) determines price. Most of the cost of a product is determined in the design stage.,Target costing was developed in recognition of these two characteristics.,Reasons for Using Target Costing,Target costing was developed in recognition of the two characteristics shown on the previous screen. More specifically, Target costing begins the product development process by recognizing and responding to existing market prices.,Reasons for Using Target Costing,Target costing focuses a company’s cost reduction efforts in the product design stage of production.,Target Costing,Handy Appliance feels there is a niche for a hand mixer with certain features. The Marketing Department believes that a price of $30 would be about right and that about 40,000 mixers could be sold. An investment of $2,000,000 is required to gear up for production. The company requires a 15 percent ROI on invested funds. Let see how we determine the target cost.,Target Costing,Each functional area within Handy Appliance would be responsible for keeping its actual costs within the target established for that area.,End of Appendix A,Appendix B,Profitabilit
合同協(xié)議相關(guān)推薦
鄂ICP備17016276號(hào)-1