Managerial Accounting Creating
Value in a Dynamic Business
ST
Environment 13th Edition
UV
SOLUTIONS
IA
MANUAL
_A
PP
RO
Ronald Hilton
David Platt
────────────────────────────────────────────────────
VE
Comprehensive Solutions Manual for Instructors
and Students
D?
© Ronald Hilton & David Platt. All rights reserved. Reproduction or distribution without
permission is prohibited.
?
© Successhands
, Solutions Manual for Managerial Accounting: Creating Value in a
Dynamic Business Environment (13th Edition)
Ronald W. Hilton
ISBN: 9781264100699
ST
UNIT 1: FOUNDATIONS OF MANAGERIAL ACCOUNTING AND
COST MANAGEMENT
1. The Changing Role of Managerial Accounting in a Dynamic Business
UV
Environment
2. Basic Cost Management Concepts
UNIT 2: PRODUCT COSTING SYSTEMS
3. Product Costing and Cost Accumulation in a Batch Production
IA
Environment
4. Process Costing and Hybrid Product-Costing Systems
5. Activity-Based Costing and Management
_A
UNIT 3: COST BEHAVIOR, ESTIMATION, AND PROFIT ANALYSIS
6. Activity Analysis, Cost Behavior, and Cost Estimation
7. Cost-Volume-Profit Analysis
8. Variable Costing and the Measurement of ESG and Quality Costs
PP
UNIT 4: PLANNING, BUDGETING, AND PERFORMANCE
MANAGEMENT
9. Financial Planning and Analysis: The Master Budget
RO
10. Standard Costing and Analysis of Direct Costs
11. Flexible Budgeting and the Management of Overhead and Support
Activity Costs
12. Responsibility Accounting and the Balanced Scorecard
VE
UNIT 5: STRATEGIC DECISION MAKING AND INVESTMENT
ANALYSIS
13. Investment Centers and Transfer Pricing
14. Decision Making: Relevant Costs and Benefits
D?
15. Target Costing and Cost Analysis for Pricing Decisions
16. Capital Expenditure Decisions
UNIT 6: COST ALLOCATION AND JOINT COSTS
17. Allocation of Support Activity Costs and Joint Costs
?
© Successhands
, Solution Manual For
Managerial Accounting Creating Value in a Dynamic
SMT
Business Environment 13e Hilton
Chapter 1-17 With Appendix (I II III)
UEDV
CHAPTER 1
The Crucial Role of Managerial Accounting in a Dynamic Business
ICAO
Environment
FOCUS ON ETHICS (Located before the Chapter Summary in the text.)
_NA
The focus-on-ethics inset for Chapter 1 is the IMA Statement of Ethical Professional
Practice. Instructors can use this list of ethical principles and standards to lead a class
discussion. The discussion can also range to consideration of how these standards may
have been violated by accountants and managers involved in the various ethical scandals
uncovered over the past several years. It is also useful to discuss the pros and cons of the
PNPO
procedures for ―Resolving Ethical Issues‖ that IMA suggests for its members when they
believe they know about ethical lapses in their organizations.
We also introduce here the connection to the ―Ethics Unwrapped‖ video series that can
supplement the discussion of ethics in the context of each chapter. In each chapter of the
RISO
text, we have suggested topic videos in the series that align with that chapter. Discussion
guidance and questions relating to the videos can be found on the ―Ethics Unwrapped‖ site
at the URL provided. This resource is provided by permission from the University of Texas
at Austin, McCombs School of Business.
SVE
ANSWERS TO REVIEW QUESTIONS
1-1 The explosion in e-commerce will affect managers in significant ways. One effect will be
EDU
a drastic reduction in paperwork. Millions of transactions between businesses are
conducted electronically with no hard-copy documentation. Along with this method of
communicating for business transactions comes the very significant issue of
information security. Businesses need to find ways to protect confidential information
in their own computers, in cloud computing data centers, and while moving across the
?R?
internet, while at the same time sharing the information necessary to complete
transactions. Another effect of e-commerce is the dramatically increased speed with
which business transactions can be conducted. In addition, there will be dramatic
changes in the way managerial accounting procedures are carried out, one example
Managerial Accounting, 13/e 5-1
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
, being cloud-based budgeting, which is the enterprise-wide and electronic completion of
a company‘s budgeting process using cloud-based software and data storage.
SMT
1-2 Plausible goals for the organizations listed are as follows:
(a) Amazon.com: (1) To achieve and maintain profitability, and (2) to grow on-line
sales of their many products. Amazon is also famous (infamous) for wanting to
have every product in the world on its site.
UEDV
(b) American Red Cross: (1) To raise funds from the general public sufficient to have
resources available to meet any disaster that may occur, and (2) to provide
assistance to people who are victims of a disaster anywhere in the world on
short notice.
ICAO
(c) General Motors: (1) To earn income sufficient to provide a good return on the
investment of the company's stockholders, and (2) to provide the highest-quality
product possible.
_NA
(d) Wal-Mart: (1) To penetrate the retail market in virtually every location in the
United States, and (2) to grow over time in terms of number of retail locations,
total assets, and earnings. Also, to be competitive with Amazon in the e-retail
space.
(e) City of Seattle: (1) To maintain an urban environment as free of pollution as
PNPO
possible, and (2) to provide public safety, police, and fire protection to the city's
citizens.
(f) Hertz: (1) To be a recognizable household name associated with rental car
services, and (2) to provide reliable and economical transportation services to
RISO
the company's customers.
1-3 The four basic management activities are listed and defined as follows:
(a) Decision making: Choosing among the available alternatives.
(b) Planning: Developing a detailed financial and operational description of
SVE
anticipated operations.
(c) Directing operations: Running the organization on a day-to-day basis.
EDU
(d) Controlling: Ensuring that the organization operates in the intended manner and
achieves its goals.
?R?
5-2 Solutions Manual
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
Value in a Dynamic Business
ST
Environment 13th Edition
UV
SOLUTIONS
IA
MANUAL
_A
PP
RO
Ronald Hilton
David Platt
────────────────────────────────────────────────────
VE
Comprehensive Solutions Manual for Instructors
and Students
D?
© Ronald Hilton & David Platt. All rights reserved. Reproduction or distribution without
permission is prohibited.
?
© Successhands
, Solutions Manual for Managerial Accounting: Creating Value in a
Dynamic Business Environment (13th Edition)
Ronald W. Hilton
ISBN: 9781264100699
ST
UNIT 1: FOUNDATIONS OF MANAGERIAL ACCOUNTING AND
COST MANAGEMENT
1. The Changing Role of Managerial Accounting in a Dynamic Business
UV
Environment
2. Basic Cost Management Concepts
UNIT 2: PRODUCT COSTING SYSTEMS
3. Product Costing and Cost Accumulation in a Batch Production
IA
Environment
4. Process Costing and Hybrid Product-Costing Systems
5. Activity-Based Costing and Management
_A
UNIT 3: COST BEHAVIOR, ESTIMATION, AND PROFIT ANALYSIS
6. Activity Analysis, Cost Behavior, and Cost Estimation
7. Cost-Volume-Profit Analysis
8. Variable Costing and the Measurement of ESG and Quality Costs
PP
UNIT 4: PLANNING, BUDGETING, AND PERFORMANCE
MANAGEMENT
9. Financial Planning and Analysis: The Master Budget
RO
10. Standard Costing and Analysis of Direct Costs
11. Flexible Budgeting and the Management of Overhead and Support
Activity Costs
12. Responsibility Accounting and the Balanced Scorecard
VE
UNIT 5: STRATEGIC DECISION MAKING AND INVESTMENT
ANALYSIS
13. Investment Centers and Transfer Pricing
14. Decision Making: Relevant Costs and Benefits
D?
15. Target Costing and Cost Analysis for Pricing Decisions
16. Capital Expenditure Decisions
UNIT 6: COST ALLOCATION AND JOINT COSTS
17. Allocation of Support Activity Costs and Joint Costs
?
© Successhands
, Solution Manual For
Managerial Accounting Creating Value in a Dynamic
SMT
Business Environment 13e Hilton
Chapter 1-17 With Appendix (I II III)
UEDV
CHAPTER 1
The Crucial Role of Managerial Accounting in a Dynamic Business
ICAO
Environment
FOCUS ON ETHICS (Located before the Chapter Summary in the text.)
_NA
The focus-on-ethics inset for Chapter 1 is the IMA Statement of Ethical Professional
Practice. Instructors can use this list of ethical principles and standards to lead a class
discussion. The discussion can also range to consideration of how these standards may
have been violated by accountants and managers involved in the various ethical scandals
uncovered over the past several years. It is also useful to discuss the pros and cons of the
PNPO
procedures for ―Resolving Ethical Issues‖ that IMA suggests for its members when they
believe they know about ethical lapses in their organizations.
We also introduce here the connection to the ―Ethics Unwrapped‖ video series that can
supplement the discussion of ethics in the context of each chapter. In each chapter of the
RISO
text, we have suggested topic videos in the series that align with that chapter. Discussion
guidance and questions relating to the videos can be found on the ―Ethics Unwrapped‖ site
at the URL provided. This resource is provided by permission from the University of Texas
at Austin, McCombs School of Business.
SVE
ANSWERS TO REVIEW QUESTIONS
1-1 The explosion in e-commerce will affect managers in significant ways. One effect will be
EDU
a drastic reduction in paperwork. Millions of transactions between businesses are
conducted electronically with no hard-copy documentation. Along with this method of
communicating for business transactions comes the very significant issue of
information security. Businesses need to find ways to protect confidential information
in their own computers, in cloud computing data centers, and while moving across the
?R?
internet, while at the same time sharing the information necessary to complete
transactions. Another effect of e-commerce is the dramatically increased speed with
which business transactions can be conducted. In addition, there will be dramatic
changes in the way managerial accounting procedures are carried out, one example
Managerial Accounting, 13/e 5-1
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
, being cloud-based budgeting, which is the enterprise-wide and electronic completion of
a company‘s budgeting process using cloud-based software and data storage.
SMT
1-2 Plausible goals for the organizations listed are as follows:
(a) Amazon.com: (1) To achieve and maintain profitability, and (2) to grow on-line
sales of their many products. Amazon is also famous (infamous) for wanting to
have every product in the world on its site.
UEDV
(b) American Red Cross: (1) To raise funds from the general public sufficient to have
resources available to meet any disaster that may occur, and (2) to provide
assistance to people who are victims of a disaster anywhere in the world on
short notice.
ICAO
(c) General Motors: (1) To earn income sufficient to provide a good return on the
investment of the company's stockholders, and (2) to provide the highest-quality
product possible.
_NA
(d) Wal-Mart: (1) To penetrate the retail market in virtually every location in the
United States, and (2) to grow over time in terms of number of retail locations,
total assets, and earnings. Also, to be competitive with Amazon in the e-retail
space.
(e) City of Seattle: (1) To maintain an urban environment as free of pollution as
PNPO
possible, and (2) to provide public safety, police, and fire protection to the city's
citizens.
(f) Hertz: (1) To be a recognizable household name associated with rental car
services, and (2) to provide reliable and economical transportation services to
RISO
the company's customers.
1-3 The four basic management activities are listed and defined as follows:
(a) Decision making: Choosing among the available alternatives.
(b) Planning: Developing a detailed financial and operational description of
SVE
anticipated operations.
(c) Directing operations: Running the organization on a day-to-day basis.
EDU
(d) Controlling: Ensuring that the organization operates in the intended manner and
achieves its goals.
?R?
5-2 Solutions Manual
© McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.
