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Tyler Junior College Managerial Accounting & Administrative Bookkeeping Essay

Tyler Junior College Managerial Accounting & Administrative Bookkeeping Essay

Question Description

Please complete the following essay in a single page (no more than two) Word document, double-spaced, 12 pt. font. This is not timed. Please submit it here in Canvas.

Instructions: Identify and discuss a minimum of 5 managerial accounting topics that could apply to the following situation! Please answer in complete sentences. Good luck!

You have just graduated with your degree in accounting and are planning on sitting for the CMA (Certified Managerial Accountant) examination. Managerial accounting was your favorite course of study in accounting, and you can’t wait to show the world what you’ve learned! You have begun the interview process with several manufacturing companies. The larger companies look at you as just another graduate. You have an interview with a smaller manufacturer who is very impressed with you! Since the salary is the best you’ve been offered, you’re just as eager to demonstrate your skills and knowledge. Your potential boss begins to tell you a little about his dilemma.

“I started this business with an idea and a prayer. For so long, I could do just fine operating out of my hip pocket. Then things really started happening fast. Demand for our products increased, we built new manufacturing facilities, and hired more people than I could keep up with. I think we are profitable, but I never know until the end of the year when financial statements are prepared. I want to make sure the company can keep up with its growth, but I don’t know what to do. That’s why I’m interested in hiring a managerial accountant. Before I do, I need to know that whomever I hire has some ideas as to how to help my company. I would appreciate it if you would prepare a short memo highlighting the areas that you think could use some attention. Once I have that, I can make my decision about hiring you. I think you would be an asset (!) to our business, but I want to be sure I’m doing the right thing, not just hiring another worker for the office!

“Let me tell you a little about our company. We have three manufacturing facilities in the United States, producing This and That, but I’m not sure what the product cost is of each. We are in the process of considering production of The Other, which may involve construction of another manufacturing facility. We employ 250 people, including office staff and managers. The overhead is a big chunk of money each year, and I don’t know what it goes for! I pay everyone what they’re worth, and try to give raises when I think I can. It’s really hard to know who is doing a good job since we’ve grown so big. We usually handle things on a day-to-day basis, trying to resolve major problems as we go. Sometimes that means coming up short on cash to pay bills or product to meet demand. I’m sure there has to be a better way. Do you think you can help us?”

You leave the interview confident that you will be the best person for this job! Your mind is racing with all of the things you learned in accounting! With pen in hand, you begin expressing your thoughts and suggestions…

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