Cost Accounting (15th Edition)

Published by Prentice Hall
ISBN 10: 0133428702
ISBN 13: 978-0-13342-870-4

Chapter 6 - Master Budget and Responsibility Accounting - Assignment Material - Exercises - Page 234: 6-27(1)

Answer

Manufacturing Plant: (a) Responsibility: The production manager has responsibility for the motors' quality. (b) Controllability: The production manager has control over the decision to purchase motors directly. Suggested Solution: The production manager should work with the purchasing manager to find a better motor supplier, rather than bypassing the supply warehouse.

Work Step by Step

Manufacturing Plant: (a) Responsibility: The production manager has responsibility for the motors' quality. (b) Controllability: The production manager has control over the decision to purchase motors directly. Suggested Solution: The production manager should work with the purchasing manager to find a better motor supplier, rather than bypassing the supply warehouse.
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.