Managerial Accounting:

Chapter

1

1 Form

Chapter

11

:

A

pplying Excel

Data

Sales

$

2

5

,000,000

Net operating income

$

3

,000,000

Average operating assets

$

10

,000,000

Minimum required rate of return

25%

Enter a formula into each of the cells marked with a

?

below

Review Problem: Return on Investment (

ROI

) and Residual Income

Compute the ROI Margin

?
Turnover

?
ROI ?
Compute the residual income Average operating assets ?
Net operating income ?
Minimum required return

?
Residual income

?

1
2
3

4

5

6

7

8

9

10
11
A

B

Chapter 11: Applying Excel

Data
Sales

$2,50,00,000

Net operating income

$30,00,000

Average operating assets

$1,00,00,000

Minimum required rate of return
25%
Enter a formula into each of the cells marked with a ? below
Review Problem: Return on Investment (ROI) and Residual Income

Chapter 12 Form

Cooperative

Undyed coarse wool

Undyed fine wool $60,000
Undyed superfine wool

below

?

Cost of wool ?
Cost of separation process ?

? ?

?

Wool Wool Wool

? ? ?

? ? ?

? ? ?

? ? ?

? ? ?

Chapter 12: Applying Excel

Data

Exhibit 12-7 Santa Maria

Wool

Cost of wool

$200,000

Cost of separation process

$40,000

Sales value of intermediate products at split-off point:

Undyed coarse wool

$120,000

Undyed fine wool

$150,000

Undyed superfine wool

$60,000

Costs of further processing (dyeing) intermediate products:

$50,000

$10,000

Sales value of end products:

Dyed coarse wool

$160,000

Dyed fine wool

$240,000

Dyed superfine wool

$90,000

Enter a formula into each of the cells marked with a

?

Example: Joint Product Costs and the Contribution Approach

Analysis of the profitability of the overall operation:

Combined final sales value

Less costs of producing the end products:

Combined costs of dyeing

Profit

Analysis of sell or process further:

Coarse

Fine

Superfine

Final sales value after further processing

Less sales value at the split-off point

Incremental revenue from further processing

Less cost of further processing (dyeing)

Profit (loss) from further processing