You are the Cookie division controller for Momma's Baked Goods Company. The company recently introduced...

60.1K

Verified Solution

Question

Accounting

image
image
You are the Cookie division controller for Momma's Baked Goods Company. The company recently introduced a new chocolate chip cookie brand called Checked with Chips, which has more than twice as many chips as any other brand on the market. The brand has quickly become a huge market success, largely because of the number of chips in each cookie. As a result of the brand's success, the product manager who launched the Chocked with Chips brand has been promoted to division vice president. A new product manager, William, has been brought in to replace the promoted manager At Momma's, product managers are evaluated on both the sales and profit margin of the products they manage. During his first week on the job, William notices that the Chocked with Chips cookie uses a lot of chips, which increases the cost of the cookie. To improve the product's profitability, Willam plans to reduce the amount of chips per cookie by 10%. He believes that 10% reduction in chips will not adversely affect sales, but will reduce cost and hence, help him improve the profit margin William is focused on profit margins, because he knows that the is able to increase the profitability of the Chocked with Chips brand, he will be in line for a big promotion To confirm this plan, Wiliam has enlisted you to help evaluate it. After reviewing the cost of production reports semented by cookie brand, you notice that there has been a continual drop in the materials costs for the Chocked with Chips brand since its launch on further investigation, you discover that chip costs have declined because the previous product manager continually reduced the number of chips in each cookie. Both you and William report to the division vice president, who was the original product manager for the Chocked with Chips brand who was responsible for reducing the chip count in prior periods Step 1 - Answer the following question. What options might you, as the controller, consider taking in response to William's plan your discussion should be at least 500 words in your discussion addressing the question, also consider and address) the following Is this an ethical strategy for William to pursue? What are the potential implications of this strategy? What would you say to the division vice president Step 3 - Respond to one other posting Your response should be at least 100 words Please follow netiquette guidelines and be respectful and courteous in the discussion forums. Please refrain from threats, ad hominem attacks, and disrespectul tactics Any posts deemed inappropriate by the course instructor will be deleted and no credit will be awarded for the discussion forum. The student Code of Conduct Right and Responsibilities, specifically regarding Academie Integrity are to be strictly adhered to with any assignment You are the Cookie division controller for Momma's Baked Goods Company. The company recently introduced a new chocolate chip cookie brand called Chocked with Chips, which has more than twice as many chips as any other brand on the market. The brand has quickly become a huge market success, largely because of the number of chips in each cookie. As a result of the brand's success, the product manager who launched the Chocked with Chips brand has been promoted to division vice president. A new product manager, William, has been brought in to replace the promoted manager. At Momma's, product managers are evaluated on both the sales and profit margin of the products they manage. During his first week on the job, William notices that the Chocked with Chips cookie uses a lot of chips, which increases the cost of the cookie. To Improve the product's profitability, Wiliam plans to reduce the amount of chips per cookie by 10%. He believes that a 10% reduction in chips will not adversely affect sales, but will reduce cost and hence, help him improve the profit margin. Wiliam is focused on profit margins, because he knows that he is able to increase the profitability of the Chocked with Chips brand, he will be in line for a big promotion To confirm this plan, William has enlisted you to help evaluate it. After reviewing the cost of production reports segmented by cookie brand, you notice that there has been a continual drop in the materials costs for the checked with Chips brand since its launch. On further investigation, you discover that chip costs have declined because the previous product manager continually reduced the number of chips in each cookie. Both you and William report to the division vice president, who was the original product manager for the Chocked with Chips brand who was responsible for reducing the chip count in prior periods. Step 1 - Answer the following question...What options might you, as the controller, consider taking in response to William's plan? Your discussion should be at least 500 words. In your discussion addressing the question, also consider (and address) the following a. Is this an ethical strategy for William to pursue? b. What are the potential implications of this strategy? c. What would you say to the division vice president? You are the Cookie division controller for Momma's Baked Goods Company. The company recently introduced a new chocolate chip cookie brand called Checked with Chips, which has more than twice as many chips as any other brand on the market. The brand has quickly become a huge market success, largely because of the number of chips in each cookie. As a result of the brand's success, the product manager who launched the Chocked with Chips brand has been promoted to division vice president. A new product manager, William, has been brought in to replace the promoted manager At Momma's, product managers are evaluated on both the sales and profit margin of the products they manage. During his first week on the job, William notices that the Chocked with Chips cookie uses a lot of chips, which increases the cost of the cookie. To improve the product's profitability, Willam plans to reduce the amount of chips per cookie by 10%. He believes that 10% reduction in chips will not adversely affect sales, but will reduce cost and hence, help him improve the profit margin William is focused on profit margins, because he knows that the is able to increase the profitability of the Chocked with Chips brand, he will be in line for a big promotion To confirm this plan, Wiliam has enlisted you to help evaluate it. After reviewing the cost of production reports semented by cookie brand, you notice that there has been a continual drop in the materials costs for the Chocked with Chips brand since its launch on further investigation, you discover that chip costs have declined because the previous product manager continually reduced the number of chips in each cookie. Both you and William report to the division vice president, who was the original product manager for the Chocked with Chips brand who was responsible for reducing the chip count in prior periods Step 1 - Answer the following question. What options might you, as the controller, consider taking in response to William's plan your discussion should be at least 500 words in your discussion addressing the question, also consider and address) the following Is this an ethical strategy for William to pursue? What are the potential implications of this strategy? What would you say to the division vice president Step 3 - Respond to one other posting Your response should be at least 100 words Please follow netiquette guidelines and be respectful and courteous in the discussion forums. Please refrain from threats, ad hominem attacks, and disrespectul tactics Any posts deemed inappropriate by the course instructor will be deleted and no credit will be awarded for the discussion forum. The student Code of Conduct Right and Responsibilities, specifically regarding Academie Integrity are to be strictly adhered to with any assignment You are the Cookie division controller for Momma's Baked Goods Company. The company recently introduced a new chocolate chip cookie brand called Chocked with Chips, which has more than twice as many chips as any other brand on the market. The brand has quickly become a huge market success, largely because of the number of chips in each cookie. As a result of the brand's success, the product manager who launched the Chocked with Chips brand has been promoted to division vice president. A new product manager, William, has been brought in to replace the promoted manager. At Momma's, product managers are evaluated on both the sales and profit margin of the products they manage. During his first week on the job, William notices that the Chocked with Chips cookie uses a lot of chips, which increases the cost of the cookie. To Improve the product's profitability, Wiliam plans to reduce the amount of chips per cookie by 10%. He believes that a 10% reduction in chips will not adversely affect sales, but will reduce cost and hence, help him improve the profit margin. Wiliam is focused on profit margins, because he knows that he is able to increase the profitability of the Chocked with Chips brand, he will be in line for a big promotion To confirm this plan, William has enlisted you to help evaluate it. After reviewing the cost of production reports segmented by cookie brand, you notice that there has been a continual drop in the materials costs for the checked with Chips brand since its launch. On further investigation, you discover that chip costs have declined because the previous product manager continually reduced the number of chips in each cookie. Both you and William report to the division vice president, who was the original product manager for the Chocked with Chips brand who was responsible for reducing the chip count in prior periods. Step 1 - Answer the following question...What options might you, as the controller, consider taking in response to William's plan? Your discussion should be at least 500 words. In your discussion addressing the question, also consider (and address) the following a. Is this an ethical strategy for William to pursue? b. What are the potential implications of this strategy? c. What would you say to the division vice president

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students