Managerial Accounting

Auerbach Enterprises


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Complete: Case 3A (Auerbach 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.