Outcome Alignment

• (LO4) Students will identify problems in managerial decision-making regarding cost planning and control including preparing and interpreting financial statements.
• (LO2) Students will identify and classify big data, and apply data analytics using Excel; and collect, reconstruct, and analyze data using cost-volume-profit analysis. 
• (LO5) Students will apply qualitative analysis with an emphasis on corporate social responsibility for management issues and the professional code of ethics as part of the reporting process.  

Instructions

Please answer the questions below completely and explain your answers.

1. Compare and contrast between a traditional format income statement and a contribution format income statement.
2. Explain and give examples for differential cost, sunk cost, and opportunity cost.
3. Break down the steps in computing a predetermined overhead rate.
4. Distinguish between predetermined overhead rates and actual manufacturing overhead costs. Examine why predetermined overhead rates are used instead of actual manufacturing overhead costs.