Accounting Cost Systems and Cost Behavior (Other (Not Listed) Sample)
Accounting, no more than 2 pages, 5 references, Master program, APA style with the appropriate tables and graphs
• Please use original writing (No Plagerism)
• Please use American URLs than can be easily verified on the web on the reference page.
ACC501 Module 1 - SLP
Accounting Cost Systems and Cost Behavior
You are applying for a managerial position at an innovative and rapidly growing company. This is a dynamic company that wants an individual who adds value to the organization. Managers at this company wear many hats, so the position requires managing products, people, and financial aspects of running the company.
As part of the interview process, you are required to make a presentation covering four different topics, one per module for this course.
You choose the company and the new product that you want to showcase in your presentation. It can be real or fictitious (based on an industry). This is for background purposes only. The presentation is to showcase your abilities and what you can contribute to the organization.
IBIS World and BizStats have estimates of cost of good sold and some other categories of operating expenses. Information about contribution margins are not available, but adding new products typically mean incurring both fixed and variable costs. Consequently, cost of good sold is a reasonable estimate. Net operating income as a percentage of sales or some variation thereof may also be relevant if the new product is expected to contribute significantly to the bottom line. As a candidate for a position you would not have internal information available, but being resourceful and being a skilled researcher are desired traits for the position. IBIS World also have a wealth of other market statistics that may be helpful. Use listed background material and other resources as needed.
Include the following items in your presentation.
• Present an idea for a new product.
• Describe the product.
• Show some cost estimates and pricing suggestion for this product based on research.
• What approach would you use to determine selling price (for example cost plus or target costing)? It is important when choosing a design.
• Explain your rationale for the pricing approach.
• Show expectations of growth and potential profit.
SLP Assignment Expectations
Submit a Power Point presentation or a Word Document. A Power Presentation should have no more than six slides and a Word document cannot exceed two pages. Use words, tables, and graphs to make a succinct presentation (Include graph or table). Document all sources and provide links at the end. It is acceptable to add another slide or page to list the sources.
AAC501 MOD01 SLP Accounting Cost Systems and Cost Behavior
Background and new product
Even though, there are various products that enable homeowners to watch over their homes through relaying images and video, some only focus on limited internet connectivity. The proposed product to be known as Reliable Cam security camera is targeted to new users since and offers more features compared to Dropcam Pro and Nest Cam. There will be an emphasis on the cost price pricing decision and suggestions on the projected growth in profits for Reliable Cam. The pricing decision makes a difference in the performance of a product highlighting the need to take into account market conditions and the possible reaction of competitors. Description of product
The product is a streaming camera that relies on internet connectivity to stream pictures and videos using a 1080 HD. The camera has the capability to also use Wi-Fi, while also having a slot for SIM cards in case a user chooses to subscribe to a provider for 4G internet connectivity. The product integrates the features of digital cameras and smartphones as the information is to be stored in memory cards, and at the moment the product will run on batteries. The camera can be placed indoors or outdoors unlike other products that are only placed in the home.
Estimates and pricing suggestion
After assessing the costs, markups and price of similar products, the fair price of the product is $ 200. This factors the market conditions as well as the estimate components but there is no standardization or method consistently used to determine the cost estimation. It all depends on the availability of the components and availability of expertise. The components for the manufacture of Reliable Cam depend on variable costs. Even though, the total variable costs will increase these costs do not affect the total price as are the changes in inventories (accountingexplanation.com, n.d.).
Cost of sales80Gross profi...
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