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Contrast Job Order and Product Costing

May 16, 2023

Description Week 1 – Assignment: Compare and Contrast Job Order and Product Costing Instructions In the mid-1990s, large consumer goods manufacturers moved its customer-based department and specialty stores to mass merchandising in a variety of retail stores, large and small. The strategic change required to increase significantly the complexity of its operations—the number of products, prices, discounts, patterns, colors, and possibly the sizes. After noticing the firm’s expense beginning to rise, the company hired a consultant to study the firm’s cost structure. The following information was found: As many as 10 different vendors provided certain purchased items. Of the firm’s customers after the strategic shift, 98% were responsible for only 7% of total sales volume. The wide variety of prices and discounts and promotional programs added complexity to the accounts receivable collection process because of increased disputes over pricing and customer balances. Seventy-five percent of the company sales involved products with five or more color combinations. Customer demands for fast delivery of new orders had caused a shift in manufacturing to smaller batch sizes and more frequent equipment setups. Thus, total setup-related costs increased. In a paper, describe what you would advise the company to do. Support your paper with at least five (5) scholarly journal articles. In addition to these specified resources, other appropriate scholarly resources, including older articles, may be included. Length: 5-7 pages (not including title and reference pages). Your paper should demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards. Be sure to adhere to Northcentral University’s Academic Integrity Policy. Due Date Feb 3, 2019 11:59 PM External Resource (S): Books and Resources for this Week 1. Cost Management: A Strategic Emphasis. Blocher, E., Stout, D. E., & Cokins, G. Cost management: A strategic emphasis. Boston, MA: McGraw-Hill. Read Chapters 1, 3, and 4 2. Cokins, G., Capusneanu, S., & Briciu, S. (2012, November). Accounting’s shift to decision-based costing. 3. ACC-7045-Rubric 1 Supplemental (External) Resource NB: PLEASE BE SURE TO USE THESE RESOURCES (FIRST) ABOVE, IN ADDITION TO OTHERS YOU MAY FIND IMPORTANT

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