ACC202 MOD3CS

Case assignment expectations:

Review the information from the modular background and the case infomation above. Evaluate Paul Pecos' decision rule. Evaluate Paul Pecos' reaction to Ms. Goodperson's sale.

LENGTH: 2 pages typed and double-spaced:

The following items will be assessed in particular:

1.     Prepare a contribution margin income statement for the month with two columns:  in the first column, show the results following Paul's decision rule.  In the second column, show what the results would have been if you chose to revise the decision rule and your revised decision rule had been followed.  For simplicity sake, ignore non-manufacturing costs and taxes.

Do you have any other recommendations for Paul to improve his operations?