Now that your cookie business is well underway, you are going to use the knowled

Now that your cookie business is well underway,
you are going to use the knowledge that you have gained in this course to
evaluate the financial information for the company. You will be creating a
series of reports and analyzing the results using the templates provided to
guide you through the project.
The learning objectives of this project are as
follows:
1. Apply
accounting concepts and standards to the creation of accounting information and
reports. 2. Analyze accounting information used to make strategic business
decisions.
3. Apply ethical behavior to
accounting-related situations.
4. Make business decisions based on analyzing
accounting data.
Using the Unit VIII Final
Project Template, prepare a seven- to eight-page
written report with at least three scholarly sources. Your report will provide
the following information:
Part 1: Based on the data presented in the Unit VIII
Spreadsheet Template in Excel (CM Breakeven tab):
• Calculate
the contribution margin (CM) for each of the three products sold at the cookie
business.
• Calculate
the weighted average CM.
• Calculate
the breakeven point.
Complete your calculations
by filling in the highlighted cells, and embed a copy of the completed
spreadsheet into this report. Discuss the results based on your calculations as
far as which type of cookie you think is the most profitable, which has the
highest CM, etc.
Part 2: Based on the data presented in the Unit VII Spreadsheet Template
in Excel (Full Variable tab), complete the calculations listed below.
• Calculate
the value of ending inventory under full or absorption costing.
• Calculate
the value of ending inventory under variable costing.
Complete your calculations by filling in the
highlighted cells, and embed a copy of the completed spreadsheet into this
report. Discuss the results, and comment on which method you think is more
helpful to managers and why.
Part 3: Based on the data presented in the Unit VII Spreadsheet Template
in Excel (Special Order tab), calculate the net increase or decrease in profit
if they take the special order.
Complete your calculations by filling in the
highlighted cells, and embed a copy of the completed spreadsheet into this
report. Discuss the results and comment on if you think the cookie business
should take on this special order of cookies for a wedding. Business has been
slow the last few months, and the offer is less than the usual selling price
for the cookies.
As part of your discussion, include both
quantitative (based on the numbers) and qualitative (not based on numbers)
factors that would go into the decision to take on the special order.
Part 4: Based on the data presented in the Unit VII Spreadsheet Template
in Excel (IRR tab), calculate the internal rate of return (IRR) for the new equipment
purchase.
Complete your calculations
by filling in the highlighted cells, and embed a copy of the completed
spreadsheet into this report. Note: the PV Annuity table is provided for you.
Discuss if you think the cookie business should accept or reject the purchase
of the new equipment and why.
Additional information has
come to your attention regarding the equipment purchase. One of the partner’s
brother owns the company that sells the equipment and insists the equipment is
needed. Discuss any ethical concerns you see with this type of transaction.
Part 5: Based on
the data presented in the Unit VII Spreadsheet Template in Excel (Cash Budget
tab), calculate the cash receipts for the first quarter of this year.
Complete
your calculations by filling in the highlighted cells, and embed a copy of the
completed spreadsheet into this report. Discuss your observations about the way
cash is collected if the company needs $150,000 per month for
expenses.
Part 6: Based on
the data presented in the Unit VII Spreadsheet Template in Excel (Variances
tab), complete the following calculations.
Calculate the material
variances.
Calculate the labor
variances.
Complete your calculations
by filling the in highlighted cells, and embed a copy of the completed spreadsheet
into this report. Discuss your observations about the variances and ways to
plan to improve any of the variances.
Conclusion
and Recommendations
Summarize the key
observations that you have made about the cookie business based on the
calculations you have performed, and present any future recommendations.
Be sure to use APA
formatting throughout, and reach out to the Writing Center or the Library for
assistance with research, writing, and formatting. Include at least two
resources from the CSU Online Library in your report.
Note:
All the calculations in
spreadsheet were done with result, writer only need to fulfill the remaining
requirement (discussion/ analysis)