ACCG330 SEMINAR ASSIGNMENTS
(Assignments are due in the respective seminars in the week designated)

Due Date

TOPIC

Week 2

No assignment is due this week. Please read the Baldwin Bicycles Case prior to class. Week 3

Strategic process and strategic analysis ........................................... page 2
Case: Baldwin Bicycles

Week 4

Strategy and management control.
Case: Lincoln Electric

Week 5

Strategic change and strategic flexibility
Class Test 1 (during normal seminar)

............................................. page 5

No assignment is due this week due to class test.
Week 6

Activity based costing ........................................................................... page 6
Case: …show more content…

2,827
Selling and Administrative expenses
Income before taxes ............473

2,354

Income tax expense .............218
Net income .................................

$ 255

EXHIBIT 2
DATA PERTINENT TO HI-VALU PROPOSAL
(Notes taken by Suzanne Leister)
1
Estimated costs of producing a Challenger bicycle (average unit cost, assuming a constant mix of models): Materials
Labour
Overhead (@ 125% of labour)

$39.80 *
19.60
24.50 **
$83.90
* Includes items specific to models for Hi-Valu, not used in our standard models.
** Accountant says about 40% of total overhead cost is variable; 125% of DL$ rate is based on volume of 100,000 bicycles per year. From this information, fixed manufacturing overhead can be calculated at about $1.5m per year.
2.
One-time added costs of preparing drawings and arranging sources for mud-guards, seats, handlebars, tyres, and shipping boxes that differ from those used in our standard models: approximately
$5,000.
3.
Unit price and annual