The plant manager of an aluminum alloy production plant is faced with capacity constraints and must determine which of two new speciality orders to take on. Both orders cannot be filled simultaneously.<br><br>Students are asked to: (1) perform an industry size-up of the global metals industry and its subset, the aluminum industry; (2) perform a business size-up of the company's current operations; (3) determine the pros and cons of accepting each customer order; (4) calculate the projected contribution margin rates for each product order; (5) analyze, using differential analysis, each customer order and (5) make a decision as to which order to accept.
The co-founders of a company that markets brightly coloured, high-quality and boldly designed men’s socks had just heard from the producers of a popular Canadian reality television show, Dragons’ Den. They had been chosen to pitch their business idea to the show’s venture capitalists in hopes of receiving investment funds. Since they were at the cusp of their business development plans, with an innovative business model and product design, the co-founders still had some key marketing decisions to make before their on-air pitch to the Dragons” in a month.<br><br>The partners’ concept of the company was innovative: for every pair of socks sold, 20 per cent of their sales would be donated to Kiva, an organization that facilitated microfinance lending. The sale of each pair of socks would aid entrepreneurs around the world who were starting their own businesses.
In 2013, the chief executive officer of a marmalade manufacturing company needs to update his accounting records for the fiscal year. In order to complete this task, he gathers the previous year's financial statements and a list of cash receipts and disbursements for the current year in order to perform a financial analysis.
Deloitte Dads is a firm-sponsored diversity and inclusion initiative aimed at supporting working fathers within Deloitte (Canada) LLP, an independent member of the Deloitte Touche Tohmatsu Limited global network. With support from senior management, Deloitte Dads was founded in 2010 by a junior consultant in the management consulting division in the company’s Greater Toronto Area office and quickly gained both members and media attention. The group not only had to be distinctly separate from other parenting initiatives already in place but had to negotiate with the company’s performance management practices, which historically had not considered flexibility in appraising employees. In 2013, the founder was wondering not only if the group could be rolled out to other divisions within the company across the country and perhaps across the world but also how best to handle its success while managing his own career and the demands of being a father of two small children. He had mastered the quarterly events within his office, but how could he create a formal governance model? Already working 80 to 90 hours per week, with no end in sight, how was he going to make Deloitte Dads sustainable and successful?
Two aspiring musicians and music producers launch and incorporate their own record label. At the end of the company’s first year of operations, the partners face their first financial year-end, and they wonder how the company’s assets, many of which are intangible, should be presented in the statement of financial position.
The note describes a short-run operating decision-making model that may be used to evaluate alternate courses of action. The note covers qualitative versus quantitative analysis, relevant costs for the model, and differential investments. As well, cost behaviour, financial charges on new investments and divestments are also covered.