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Superior Manufacturing Company

4 pages max Line spacing 1.5 and font size 12 1. Based on the 2004 statement of profit and loss data (Exhibit 1 and 2), do you agree with Water’s decisions to keep product 103? The decision to discontinue a product solely based on the profit and loss data might not give the desired result. We should conduct a thorough analysis of any possible alternatives and determine the impact of dropping product 103. Analysis of P & L statement (Appendix) 2. Should Superior lower as of January 1, 2006 its price of product 101? To what price? 3. Why did superior improve profitability during the period January 1 to June 30, 2005? How useful was data in Exhibit 4 for the purpose of this analysis? 4. Why it important is that superior has an effective cost system? What is your overall appraisal of the company’s cost system and its use in reports to management? List the strengths and weaknesses of this system and its related reports for the purposes management uses the system’s output. What recommendation if any, would you make to Waters regarding the company’s cost accounting system and its related reports?
4 pages max Line spacing 1.5 and font size 12 1. Based on the 2004 statement of profit and loss data (Exhibit 1 and 2), do you agree with Water’s decisions to keep product 103? The decision to discontinue a product solely based on the profit and loss data might not give the desired result.
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Assignment ID
46745
Discipline
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CREATED ON
October 5, 2016
COMPLETED ON
October 8, 2016
Price
$40
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