Accounting Management Enterprises

In this case, you are provided the overhead cost data for the Auerbach Enterprises. Management needs advice in determining how to allocate these costs utilizing a job order costing system either department-wide or company-wide. Address Questions 1 through 5 located at the end of the case. Based on the case questions, you are required to provide a three to five double-spaced written report addressing management’s concerns and providing recommendations. The written report should be properly formatted according to APA guidelines and demonstrate research and critical thinking skills. Conclusions and recommendations should be supported by at least two scholarly sources from the Ashford Library or other external sources, excluding the textbook.

For Questions 1 through 4, you will need to complete several calculations. Be sure to label and clearly identify your work to demonstrate your understanding of the concept even if you arrive at the incorrect answer. The calculations should be included as part of your analysis and written recommendations required for submission.

For Question 5, fully address management’s concerns as part of your written analysis and recommendation using the new or the previous calculations to support your recommendation/explanation. The written analysis should be supported by at least two scholarly sources, excluding the textbook.

Week 2 Written Assignment should:

  • Demonstrate graduate level work including appropriate research and critical thinking skills.
  • Be presented as a written analysis (not a question/answer format).
  • Incorporate case questions into the overall analysis.
  • Follow APA formatting guidelines including title page, reference page and in-text citations.
  • Consists of three to five double-spaced pages of content.

Provide at least two scholarly sources, excluding the textbookInsert prompt

BUS630.W2A1.11.2014

Description:

Total Possible Score: 6.00

COMPUTES THE DEPARTMENTAL OVERHEAD RATES USING MACHINE HOURS AS THE COST DRIVER

Total: 0.50

Distinguished – Correctly computes the departmental overhead rates using machine hours as the cost driver.

Proficient – Computes the departmental overhead rates using machine hours as the cost driver, but contained few errors.

Basic – Computes the departmental overhead rates using machine hours as the cost driver, but contains several errors.

Below Expectations – Attempts to compute the departmental overhead rates using machine hours as the cost driver, but contains many errors.

Non-Performance – Does not compute the departmental overhead rates using machine hours as the cost driver.

COMPUTES COMPANY-WIDE OVERHEAD RATE USING MACHINE HOURS AS THE COST DRIVER

Total: 0.50

Distinguished – Correctly computes company-wide overhead rate using machine hours as the cost driver.

Proficient – Computes company-wide overhead rate using machine hours as the cost driver, but contains few errors.

Basic – Computes company-wide overhead rate using machine hours as the cost driver, but contains several errors.

Below Expectations – Attempts to compute company-wide overhead rate using machine hours as the cost driver, but contains many errors.

Non-Performance – Does not compute the company-wide overhead rate using machine hours as the cost driver.

COMPUTES THE OVERHEAD COSTS PER BATCH OF MAXIFLOW AND ALASKA

Total: 0.50

Distinguished – Correctly computes the overhead costs per batch of MaxiFlow and Alaska.

Proficient – Computes the overhead costs per batch of MaxiFlow and Alaska, but contains few errors.

Basic – Computes the overhead costs per batch of MaxiFlow and Alaska, but contains several errors.

Below Expectations – Attempts to compute the overhead costs per batch of MaxiFlow and Alaska, but contains many errors.

Non-Performance – Does not compute the overhead costs per batch of MaxiFlow and Alaska.

COMPUTES THE TOTAL COSTS PER UNIT OF MAXIFLOW AND ALASKA

Total: 0.50

Distinguished – Correctly computes the total costs per unit of MaxiFlow and Alaska.

Proficient – Computes the total costs per unit of MaxiFlow and Alaska, but contains few errors.

Basic – Computes the total costs per unit of MaxiFlow and Alaska, but contains several errors.

Below Expectations – Attempts to compute the total costs per unit of MaxiFlow and Alaska, but contains many errors.

Non-Performance – Does not compute the total costs per unit of MaxiFlow and Alaska.

EXPLAINS WHETHER ONE UNIT IS AFFECTED MORE THAN THE OTHER BY USE OF DEPARTMENT RATES THAN A COMPANY-WIDE RATE

Total: 3.00

Distinguished – Thoroughly explains whether one unit is affected more than the other by use of department rates than a company-wide rate.

Proficient – Explains whether one unit is affected more than the other by use of department rates than a company-wide rate. Minor details are missing.

Basic – Partially explains whether one unit is affected more than the other by use of department rates than a company-wide rate. Relevant details are missing.

Below Expectations – Attempts to explain whether one unit is affected more than the other by use of department rates than a company-wide rate; however, significant details are missing.

Non-Performance – The explanation of whether one unit is affected more than the other by use of department rates than a company-wide rate is either nonexistent or lacks the components described in the assignment instructions.

CRITICAL THINKING: EXPLANATION OF ISSUES

Total: 0.50

Distinguished – Clearly and comprehensively explains the issue to be considered, delivering all relevant information necessary for a full understanding.

Proficient – Clearly explains the issue to be considered, delivering enough relevant information for an adequate understanding.

Basic – Briefly explains the issue to be considered, delivering minimal information for a basic understanding.

Below Expectations – Briefly explains the issue to be considered, but may not deliver additional information necessary for a basic understanding.

Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.

WRITTEN COMMUNICATION: CONTROL OF SYNTAX AND MECHANICS

Total: 0.50

Distinguished – Displays meticulous comprehension and organization of syntax and mechanics, such as spelling and grammar. Written work contains no errors and is very easy to understand.

Proficient – Displays comprehension and organization of syntax and mechanics, such as spelling and grammar. Written work contains only a few minor errors and is mostly easy to understand.

Basic – Displays basic comprehension of syntax and mechanics, such as spelling and grammar. Written work contains a few errors which may slightly distract the reader.

Below Expectations – Fails to display basic comprehension of syntax or mechanics, such as spelling and grammar. Written work contains major errors which distract the reader.

Non-Performance – The assignment is either nonexistent or lacks the components described in the instructions.

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