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Sweet Celebrations: A Managerial Accounting Case Study
Author(s) -
Schultz Wendy L.
Publication year - 2018
Publication title -
accounting perspectives
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.238
H-Index - 17
eISSN - 1911-3838
pISSN - 1911-382X
DOI - 10.1111/1911-3838.12184
Subject(s) - delegate , margin (machine learning) , unit (ring theory) , business , resource (disambiguation) , accounting , cost–volume–profit analysis , marketing , accounting information system , computer science , throughput accounting , financial accounting , mathematics , computer network , mathematics education , machine learning , programming language
The purpose of this teaching case is to demonstrate the application of contribution margin analysis in a custom bakery setting. This case is based on an actual company and illustrates the need for managerial accounting information for internal decision making, including sales mix and pricing decisions. In analyzing the case, students calculate contribution margin and contribution margin per unit of a constrained resource. Students are also required to consider the challenges faced by a growing small business, including the need to delegate responsibilities.