ca final costing theory notes for may 2015
TRANSCRIPT
-
8/16/2019 CA Final Costing Theory Notes for May 2015
1/57
i"m'i
INDEX
r
L
2
2-
9
z t)-
t
Leat.rnq
tude
4-
I
5
un€a
htfflatrmi^q
q-Lr
6
N€ruJoikru4
|CRI cf&
)
7
-7'+
a
LJniprm
o
-
8/16/2019 CA Final Costing Theory Notes for May 2015
2/57
/SSIGNt"tENI
'
V a" aesq
ne.+
\?tfuen a
osqt
l6be
ro m€r tD
nn,mE
\"e
\ue
lsLeo
,
s ??aee
t|^at
one, i€.t .loes n6t knd hour lo
fb
trx,
-
r
t61
cr-trle
'r"',
o,roor'o"
t.or
wc
n
ar
ocsgnme.n
?&r,le'
itt
onz
?\l .a..d d
ox,:r
a ft
arc
?e&nf
,
.lnndr.z
a
prDh'bihvetl
ldrqa
..at
fctr
laqt dllo.6fr:o4,
-
8/16/2019 CA Final Costing Theory Notes for May 2015
3/57
Z:
TRAN5PORTATION
( l )
Hou)do
6n
Lno,
e\1elL\et
an
^ltat.4h\s
gol$On
erigl
fd
a
tlonqollahon
pNbl€h
4
,
cij
-
cui
flj
)
vhete
.
ic
r,rc
asl
nadlfu
dnd cu'+
vj
),.
r"\4
dl eualuanad
moi)r
fDd
ollocrkd
cell
n
o
al-,
"r"+".-
na
o^ o,
-ox x"o'a
-
8/16/2019 CA Final Costing Theory Notes for May 2015
4/57
t*'*,-l
\=/
*
0gl Luill
tl^e
rnih?l
g6lrhon
ior
a
minimilatiir.r
f/,tbtem
dbk?,ned,
d
yg
4lTroii.\oho"
^act1[d
and
was+ cr6t /4d4od
t'> h"E
safte)
6\l
. rve ir'hql
6' hon
nc4.,
r,6+be
tua
so;e
.^dtt b.r'u
4e
6r
tupltutl
tqqq )tt .2e tue .o*e adu ,Veu tue Lr\jt,@tu ?eualtu or.d w.e
uidwv
tar+
@jnLiae
-
8/16/2019 CA Final Costing Theory Notes for May 2015
5/57
cr)
LL)
5]I'iULAIION
Aet
6
get
q
-ondlm nlnbeB
6l-consaer eact"-tondo"
rumuer 4<
o d€qhol
';a)o"-
6111^<
(J i
,w
a ,,lno.non
--,t'e
ti"c'
l+osrt
n,
roi. ctr
i'
'cf € 6.'
.r.lu.
eN+\o\n
t
1Q.st?< In llmulohc.'
&o@st
1.
D"i. re
h,e
lp, t r . r
"" ,qY.
. j^
' l .
d {
dn
iole
2
,
Flrmdote
h"e
oc.leL
lllL
,nknd
k lee
I€li
ue \Todelj
0rhPoso
rf l
be\loviovr
(,r
hr n;A
behouoj
cf
hle
acf,ql
Porlar
env r noe4+
a
a
&
ldedid
qnd
Lo\ecl
tud
dcfut neede4
Rln
i.a
aflvlnion
,{"6(r"a ir., tr2bJii;6t-te
s-'jalion
ond,
'l d€liied,
chonff
thd tnllhon W- ore evat\rirnQ
.e^r lhd
sin . 'd lon
rc
?.1
ae
ne- lo l I r
\a .ac. l6
1^e
r . f l . 'd fo l .
n
o-
< . . .e .1 .
lne
' ton"g
"
a
,".{
Gforc.rc,
r{iv
c{foLr
or,u*
rhe
Teal aNrtito.
iom
t .^in€
6ts\)Lohon
L,Jill
te
valid
erpldrn
v,e
sk? ir Aoot@
aJlo
6mulon0n
L
a
ssL€ci
.e
hearrre
ct
eKe.hven€s.
hle
Pfl,iem
ld.nhfrl hr€
vonobu'r lrhich
I
n1l,,en
trniame
qf
ef.,\ €ics
pdb6biLh4
dishi
h-Ji,on
f
@cA
Delev,"s
tta
rNPet
.,)truLohva
vanobta
letecfod
ndes
9\Q?2
fl& rqe.e, r'luMo P,{bol,iuh n
ldnabre
on
hothnl6l ,i., E
info
tfia €nhn2l
aug
-
8/16/2019 CA Final Costing Theory Notes for May 2015
6/57
Ro@trd
iug
\,olue
tanenaled
jn
Sta?
5
in+
thg
torr^ulo
der'lbj
F{m
ILO cbosen meAr,rrz
effc.n
'".neas
Srlve
otd rtaitd lhe
vol.€
I/,\
Gl\e ,s
'he
roe\6(
C,F
effa"l-,".e.
{l)6
rhq+
1
kf. t '
S
-
8/16/2019 CA Final Costing Theory Notes for May 2015
7/57
+:
LEARNING
URVE
a,
>'easg ba c\ln\,at\r. cL
leJ6^
14
6Jtle
.
L.aihnq D1.
r"ql
lll\a 19.*u_Fq'.
ci,Dnq
iahiansqron
Phq €
ol
F]rd,.t
"1 Y""
.
rt
,errq r.
bLrdler.qond
rrti
Pronnlnt
It herfs
i.
Pnont
dnd
rc
n e.t en
EX, occe
Plt]ri€
of
60
o'de6,
n€{onohon<
conif6cl
PnL€
e\1,
Q\t1^ 'ua
dclvoninff
of
iu€ bi&rdff
+
de.lrzd61'n 'rn,r L'Br
w
tlel?( \h sehnq.
sfanctondr.
tua
r.nhln
Pualr
(r-)
Dhol
ora lha
dishncli €
fzq\^er
$
k6mint .\Na
mdnuf6Lhhnq
cn
'1'on de/t
'
E/plarn
h"€
eon,.q
c.'re R:,ho
E
.(,cr
leehht
F5bt€a
dr.
/1,
ir/e
fi\rjucfDo
+onh\ 4
a
tiven
lt€m
l<
d6rtule1/
-e ,L\et
o€
tua
liem
.lecaaas€l
or
d
'(6\e
?r\. @deL,ai
i\
tt^z
babi,
Pb?frise
cn lolj,Lu
Ma
)et
mintl .os.te l.et
t>eeD
to
xi?,
f$l6lDin€
di
-
8/16/2019 CA Final Costing Theory Notes for May 2015
8/57
1.
re
rn
hor
c'lqqe
of o
,t€
P d"d
or r€w
rj-oc.-
-
8/16/2019 CA Final Costing Theory Notes for May 2015
9/57
'lr.c
,eolarnq
.Jrv.
doe. n&
dJllLd
+o
(,1d
c
Ft
ive
some
j6b,
$n.e iime
fialili
can
revar
1rrld ts
belone
zem
o.
6,d.(c
v4n,
LonsrdP@rrrs
otten
a
te{o'n
f.-t
9Q
q?
o. h^
-rLr
4
,
r,.
r
.
, ?hon
q i€..rr
,nl
( r\c
.
cr) boix o.tu
i<
a nonu,oL
olo,
l€am'..t
rir€ trr€o\
CqLrll4ho1
q{
in\€nte\ i< a
cofr?utei,zd.l6b
l€4tni'rq
eatu
;l?tl'e'\ onr{
to @41c.1 l. bo r
of
r,eominq
R6lc sh*rd
nfi
be
qm
'eo
ro
o
,
€
P c?4
ah,cn
n"€
irm
h4,
oarci +|r-ed
bePle
ar,r
ru€
L\-)ool^aj,re
sr.
tred
*",
bc{ @
.DfrP€hJ,
oF
6ne
onrt
W
Llcrrc
Hen@, Leohln(
t
-
8/16/2019 CA Final Costing Theory Notes for May 2015
10/57
5
:
LINtAR
PRoqPArlrr'lN(r
\1,
lp-c 'ch
l
6rTl
,hon-
q
'
rpoi
qog}-ar-oq'
O
-
8/16/2019 CA Final Costing Theory Notes for May 2015
11/57
f---.--_-__-;-- l
1 . t u
h b
'
l
\ / *
APoin
tue
con@Pt
CP
a(d
oim
of
1r1"-U
"f
,onsharrE
Lrlhqfa€
h'Q
v1
^.aa\nu
cfr
+Qt
tu
6t
coosho
k
?
t
aiGnal;
Ol
(nnqh.oioE
lttlse(
ite oHe'rhon 6n
(o,rlkaints
cid
uidin on
orqonrsn_an
rhLch
,/dc(
'rko
lnoirl
c |r.?l
is
tD ir1:jltrile
tue
totz
q
@
lre
badUit€:
to
anami.a
h,e
bonen€clc
oncl
'r'o{a
(n,pl'
cL{Pot
{.cr.ir'a;E
,
A
bofrene(t
iE an
actJ\.|k
Nturn ia6 orqoni
-
8/16/2019 CA Final Costing Theory Notes for May 2015
12/57
wnia
?"1afr
nots
or chorortedehc,
CrF
ha
duql
p-/trle"a
L')
Foi
o-h
'..ear
f}vll{onm,nq
nsJ2.
.oted
Pr^qt
^adeaEere
elrsle
a
c(r^panron
nodel called
duol
modej
L1,)
thz
tlof',bet
cp
(,nshainE
in
the,
Fri,hol
ha et
EL,L(
lhe
numl '
o[
\ffrablzr rn tha
dwl mrdol
c{
voTtoDLex
.
n4e
fthql
model equrL
tk€.
nonbet
lrF
.onel-rornls tt.
dva
$adQl
Lq)
ll
Yva
rthal
rnade) t
,^
harimirhon
pi6ble;
nadd ,Jlittbo st: i^o Fn laa;lnan w egua E ,
-
8/16/2019 CA Final Costing Theory Notes for May 2015
13/57
cr)
6
^ r r f r l r l f l \ 2T \ l 7 '
l \ t I l ,^{ulaNLI\L-l
tho
fdLoroinq
r.
lha
aonia)d'
cri
-r ----l
l-
ehr.+:
: l
\7*
Cii)
Dumu-aLd
A .hd
ci)
CTitiral
Palh
Giiical
Poih
rs
q
oroin
"*.Emnqw.zF"',
cF
qcltnfie4
hlo+
beqins
a')d1 ,6r
ars
end'r/, e@
Cf
a
"otrhc,toh
Ittola
k
.
"e
.1olr
h.f t .'
tun. A a .?tuarL
uih
h
e
'nc{,n.d
l?'o'h
*
nfra
qr
lt hcrioci€r
he
rrraxim0n
loc8rue
t\re
@q,@
d€J@
Pcrh
qoc
5
;
,r.r,-*
**
,&*mm1
A$ih{ '
s
tlqt
.\chYihi
Llhicb
du€r n&
cLanlumo hma
o<
dz60u.teg
t
o
or
..€fo acl\nh-a-ho/u
Iei
fi;f-"enE.
E7
*aE
-arZ
,oEt
on;
q,r."qau-,,',i
ocfnh€a,
olv€r
altivih€,
cdn b" rd{nbf'?d b
.rq e
ond Qr€ds.
n
4e
rd€ ,s ollt d/6r0nh(
ffi
-4)
,;-'-
-1
D-;t
GK
-
8/16/2019 CA Final Costing Theory Notes for May 2015
14/57
Exl9lain
e
9
-
8/16/2019 CA Final Costing Theory Notes for May 2015
15/57
f*;*"
"'-_-l
\ .7
' '
ldrsnn4rn
-
8/16/2019 CA Final Costing Theory Notes for May 2015
16/57
] :
uNlFORrY
oSTrNq:
.=-
Nhqt are
tha
esse.+tol
-requi";l?J
fotr
ih€
inglqllq?ron
of
Uniforrl
.oEhnq
g{a+am
e
' 'rh€ ,s\ep\al
6Eu," eq
ild
i-a
.a\.D,iabo.
"f-^"*
.*.S
"."
*
ci)
fh€
F .r14
n
rne
ind
-
8/16/2019 CA Final Costing Theory Notes for May 2015
17/57
g:
-i1l5TN
rlf.1
cr) Itre/
dou
lt^,e
tTI
6watk
helF n impTovit
I
' ,r "a
r)
lm,red(ie
..ie1.JiL
r*
rf,.irve
l.i.i
b:,E r,.ilfn.Lrrd
lw:+
e.,t
.di.,. .
r e.i '&t r
lrr
L?.19t -qfp
nt
cr)
t\n ftt/
\?.ut
dlf '[email protected] '1.r,r1.r
d,rqtrt {-rxr ..11
rif)''.rlo
.,,:r.
1,
ra
i.nr
\f
i..rrr
l"*'
rfl"nn;' ,
trr J.i,
ii. n&,nnna- itll- c[ iri: rei| r.l
L . . r rLe ,
P .LUL l r
'
L rL
L
i 'a
f . l .
D.ie$u,
,-'i
Frrr .,
.rrt.c
.rL
r,- r1:jil
La : , :
\ r . i6
nn.
ra
r r l ]
, r r l r inLf
L€.1. i
{'qiq'n ho\, ttae itrl'ene.fdhc,
cT
lrr alp,iadr fc @ruF.tvrr4t
-
8/16/2019 CA Final Costing Theory Notes for May 2015
18/57
L4)
ocdnbna
lsteu:
cv) b{Pli€tr< hc(
b@
lxid
bcrcd
or
Producht
uniB odJus}ed
for
Desotibe the
TIr
Stsl"fte
_
'
k
.onp\ote llr
Sldst€m b€qj.3 urihtr
plndrchirr,
indlde dalile''et fo
o @mlbnls
?'od ,6Dn
fauutle,r,
canhtrrec
rhrDuth
ihe
monrfaLtutne
pldnt
dnd
even includer
ft.e F-r,a cx
\@r,aLALv'.
Tnce+cd b- 14.
,
' . le
cr*po.O
n
\r
p. tutz 'hr1
.L e4,.ec
a s l f r ' .e3 on
h.e.
l . r " l? d ' r ' {
d . rechH
o- +€ nadrLhoa k/ - rk
Lho+
eed. tvpa ' .e
..ohp6iq enqi.eet mrsf o
-
8/16/2019 CA Final Costing Theory Notes for May 2015
19/57
*-X
.
t,
'
9=rL
tue
v :Ve]A
fts
r,rst b(
oan6eered
f^
r"e
e.ffe-.e
r
Lh
.
(
rT
rae
elsJen
|olnl)oEnl6
isfed in
lle
biLl
df
|fqtrrrqle
pr
e4.l1
Co(4 ' .1^ ' rq n ,q 'o -e i ,o
do la
enr{c '
.1 . '
" i
I l
pindu4
ls
l|rnpleied
&t
tr"e
ho12
,e
l{i., .r.6;nl
lni(,Lea
,' ,
enr .deo, . rD tLe
@h|
- (e t
. . ' \ ,har
r
nL ' '
FL 'n l
q
'
To
r o&
11sb-mPlPetr{
p-i,.
-
,..".
f'f
(
)
.r6p
rTD.nnq
h , Ab ' - i r '
| r
ora
te,,rJdde
..
oLfirdr
h-
u
1
i
r
be
dradtcd
kiJnq
I L-o{-
.. ',,-
ie ,nloskbL.
,
r:Lii
r,r||ii'- -
n
s,irieq
l it r:qL,
f,.,]
dheh o
oi.rrrl.1.jr '.J ,r.4r' r
la+
\"LlN
-t
pid,J
cru . r t .
f , . ; , . .a?e .11
ik ln . r L+
i
)
t.yenhr.t
.tr.-lrarri:
/,Ii,
":
n
ti'
jia..
tr(i;
I
-
8/16/2019 CA Final Costing Theory Notes for May 2015
20/57
rt9t4
Lol}al
aYa
he estentiol
-
8/16/2019 CA Final Costing Theory Notes for May 2015
21/57
Digoes
lue
b€nE;te
trdJinQ
from
I1]e
iftPehenk?not
of
o
r'{,4'r
?rqromoe
in
an
orBani]ahni
c) nre. le
uJr lLe,
n
eaeed
oea6e.e. ,
q. t r r : : l
: r r f - '?
Li , i | r
io
@mr
tb€ni
iD .o.nrnutLrt
lE dill
trror5
o^ coslrf€ -
s4lsFLtlol
d\) A
{edei
eFPh6ris o tatun ba{< @t bE
c'111?;
-
8/16/2019 CA Final Costing Theory Notes for May 2015
22/57
10.
TFlR0tr6r-lPUr(cotNlINC
ua.fe
-
8/16/2019 CA Final Costing Theory Notes for May 2015
23/57
11
SLRVICE
SELTCR
CtjllN(r
c.s-, -
1
-"
n
.r
d; -.\i
do.{)'.-
4e
""n
ld,
q:etint
/denrcd L<
s€d
i^
lFli('
ectr'
4a.1nhaq
6r<
rrl\i
i@F,,4th
.xl
hocerE
ishnt
/ielu6.l
r
-
8/16/2019 CA Final Costing Theory Notes for May 2015
24/57
lA?bin
n/e
nqin
Cha.(octer6nc
of
Sewc4
sefoE
,DEhn(
cd) A.r).r
a<
all'
l6bcL)t .fonnls
Iue
a.t\r'iiier
T
sen i.,i.
seltor
4€nelqllq
orE
Ldbcod nk-rbw
(hl
(5f
.f
i
u6\rorr{
Tue
dite.t
odicnal .rsl is
ei].
e -
sno
I
or
.ot-exrsteni
L,T
e+
.
re u'1Eilq.
Fr
(efr'i@
e.hi
c .
\o -
r on1.dr . -
v t
"e
ta .
1
t
.oslt
ofa cto
-
8/16/2019 CA Final Costing Theory Notes for May 2015
25/57
c5)
Cv)
aei.-ir,irr,
.\
,,,qr,
li.L.L c
rl
in fr..'f
t't1
cvi)
aL..,irtr
,,i
r ,rlrr-.J
.1
biff "n+
di .--€.
.oi"-+n.
T
rr
ici
d.
.rf€'.ri .t..;'n
cE
itrao
.rLh
h,
cn.r . i ..trn,.r
f)alrr.(
..i.
D.
rr,
t
rP
..o
.r strJ@t
cqn
be
LL(J.ldr
,{ L i.r,rrr
c,rslnoei 0^] 1 r
r u lu
[t]to]h
c,) ClE\}l]3r t uf,.
.*i q
n\irrlr..r lr
eacu
c{xnru.r
c2)
culrrtre.- \io. a.\F:qorc:: hqr
.r. l,j.
{;el-r
dltriL(/ 1r DJlEeo
n&
1rd , d lc i
| , e i n i . t
6?L'1n
p'ctnq
al
q".'n,
red,)"
Itre
s.di@
9e tm
folor.
.ri .rPp'odrL
t
r
fnL
r.t rLliLJ
Nc0r
Ainlrqh o
sdcs
tzt
no
p
.,1,.c
.r
'n
,d
r-
n ;r 'r
lii..r
d,rd
b,
€d
1b
arsfo'yE
/voel
ef;. .
cdqdi').i,L
,.
i ,.n.,
il
t,n':
e.,r ,r f,ro
Ptiqnq
1D
ar '0 4t tle Ti1'-r-q a {.ebc
s.tuQ, e\tla/td
i
i:r
Applidni
l&l
r
n4P
r,r.r rart
r\r)
e
&Ft
,, rinin
, .r,i
E
o\€trlj.j,n
f:
rr.L
rlir
+
rf,r-: t.
riir.rt.tr
;.d
n/eu
ot\
.li{a{r
i
I
:) r:':r
qtra
u -r
ir
rr;
-I
rtcrr
|
'i
-r
lt (
Fo-d
?.rP< 1ola15
1r.r .i.-
ri.zarnknE
.'
:L,r rFrir:
.
i..r..:
)\' tJ'r:rhq
-
8/16/2019 CA Final Costing Theory Notes for May 2015
26/57
LZ
LIIE
C\cLE
COgTLN6
Dhqi is Tofql
LiF-C'dol€
iBtinq
aproorl/?
llbt ie
\L
ihps$dtrt?
qal
ol
fr$dv*
lrP 0icre
L\P A{)e'
@.nnq
e\nnci.},
tdake
dnd
a@ht)a1er Ve eolB
0 €d
a
produ*renr@
tu?
.n,Fo o91
. taqo
\1
tzc
6- l , , 4(or . " r
,€n, .6
0.o
hpr ,d i o l
h/e risrJ
cl
bod<
o,p.
(?/.
o'l
@1,
,d.4
fnod<
lh' (oLrur
,r...t,d
rrc
Ve
lo,\
6r.
,.
(
lnd alcnq
.L{{
,f.r
Js
'e
nre
\in
-q
F.r*
.^Q
P dJ4
delriin.
dQxQla?^an+,a^r\wata,
maakohn,
setvcinB
ord
rL{
ibjc.h"€
rr rc
o.qftLrlot or/
i@
@dlr
aw a
pmetd
ttfe aULlao
d"x
-
8/16/2019 CA Final Costing Theory Notes for May 2015
27/57
64ploinnro osreofiol
f€trI1{z{
q
tit€ oide @rb.q
Psiuc+ LF
q le
co(fnq . .1.{
. rtracinq
q
.cft ctnd r.^ci r
.f
pra.j|L}
reooc-
n'q{t'oJt
nae,6
ite
1.,c
e1nph.lhs
s
oo
leet and
Yeferu.
rP
qct€
E
h€
Factd
rd
,{L'e
.Rl-'
I
n-t r4 5u\eo.LL
qd
Lt
locora
cn delelTment
61E,
inened
ta
. . . ' . , {
n 4i{ eunfo life qJcla
T6lul
'no.{ir\dc
of
R
D
i61;
.,5e
l,oDlad
o..l
Lhi.,ned
l.nL
1
le
-
8/16/2019 CA Final Costing Theory Notes for May 2015
28/57
1',
}U|,GF,I
9.
BuD6
rAaY
oNlRol-
Uohcrt
a@
ha€ vartous
lormdos
luol
o_6u
(ed
i. caloloitnq
BdW]€?
Poho
?
E.1q,P.1
oo
o
'
(
,@ndr ,d
. l$6> ^.n
or
f lo , r
)
\
'oo
Acfv\
A-abo ;
C
-
8/16/2019 CA Final Costing Theory Notes for May 2015
29/57
/Etva^Wu
oI
Fb
o)
n
pi\\.cL>
.
t.,jjcnrdl.
.rrlr. r,
ln,'
e0L dn..
oLr
nc{
-
f
" , I
of
(coitt
rL
q
tu)
lt
enrt@J lr,1oi \.'nL
f.a,L"
lnd.lnr(
L , i1k
.Jfur.lDn
o(L
.s r
@l
-
o
ba \
Perpreci
in
ria
rrlt rnLl
't
r
_,' Aler
o,
ir d'n T4
L'1)
-r^.
a\ea ol oa\,-f{ .V,.,,-i,L,; (, ,i. ::.i (l i
i,\r
l rLLir
LLrl..d
L.
rt
.orP qr"
cqe.hvet
cu) Tu€
fecuni|e
ca.
olK L irrr
rai
r,i. ,rhi.rlLhon
4nd
1or
6riocr( 6chnrr., .nLLi
4r-i
r rt,\r.
. i,)';lqu
.6-J-be@Ft
nolif<
rmprlm€nl"ltDn
T
tL], s.l:r.i
+
'n'i{leder+
bq
(qa}rvel
Dis6'dvdotaqeJ+
283
()
vdri]r ofldltou.l
\liSblrms
|
b.
Fled
r,
r,".."hrg
(
'.)
F
,'
slq on
4
l-op
ron\ea
"
.r) rt
i hhu
Lonsum,nq
u
well
a
-
t
I
.n)
lt
64lir.zN
F,o?et
haiieo
na,,n.l.r:.
q.i'
t'..shnqvicq berween -iradhouql a/d
LLrnMq
o' , ,
-L:J..JenL4
c
P1'-
r:
-
8/16/2019 CA Final Costing Theory Notes for May 2015
30/57
L..*,-'
"
r
l
\7*
(''r)
bescnb€
ll4e
Ua]d
d"nenq
\ta+ vn\Jrd ve
ioLlod€d_rn
KitchCn
rnq
oalonLoSrona
Cdrd
Kii.Le. hnq edbo4
&n'ecord
alpold clercy'be
E
p-idu*
dilfc,znk
60n
.ltre
le{ pinB
nroi e.o0ld b€ ,o4oded
o'e
'
F,"onoql
e{sfctjv€
-
\h.kap, id
c?€rGhft
rn.,r6e t{
cl.,'ryn( bi$hca
rioq,.s on
,i,or.adnda
clsiqn€{ &lnpechn€
-
Aonv.l s\^d6a
L
rr'rqf"end
Li}.l?eo
rqnq€
llrorlz+
ond clcft,hcf SotcF60D
l.llla ,l 6 .6,neis
?e$y.hr'e.
-
^^oNpdfi?
nLguq,
oid4f de[vn
i,]?
on hne
dc,veq
d.l
neui
plcfucF
ai,e
Laaffi'q a'lrd
6)i.,rru
?e6\E(hr'e:
Da{ett)pietlt
\16e,
pt
dec,Ta\nq
ft@
end
frcdLc}
ond
rmprweoar?
Ln
nanYau\inq
f'ccest
c5)
6Alc'^
bnelu
tue
.n
rb '
q)riror€nB
.E a
BaE.tzd Sla6e
@6d
A
Garr
o{elitned
lrolqn
?-d
.c\oi?
.atd
6ht ne.
F.en,roa
,reqo "J
cF
Po4
rrynndn.e.
oitLl
de.thde4
of tua
rrni
cl. 1v€ 1
t
r h4€ Jreri'i-r
'\e'
eat\\6 tu. 9aL.tt
-
8/16/2019 CA Final Costing Theory Notes for May 2015
31/57
c6)
e,tlo,.
Dnenk uc
'to
\u
..,Ard ,.
rr?
Fiir-
,-t 'le..l
morl,.n
'
Tqe
DJl).€g h
,
r - t
qrao
i-e priro1lrt,
.r.nnr,l.
rrlr : 12
n^2. .e\eL) n^e. if
r.ralflri
r:r'r;"
'
TLLobri4motunq
)ri.i>
;
r:
ri :.,
c() GttbLrslw€,i
LI
tr . {f.i)n,.Ii,.1 .,r
ll .i
ihpilrorr,r
ad)
Del. ' rq
lL4
i te lc\ .nf
' ) . . r , ' r , -
cz) ,lllzction
cT
cloh, dncl iDfer, i..
ca)
/lnolqkiE
of
\rnd'nff
b4reir
@
cr.r.
ca)
knuldhon
aod
r.nplahenkhon
cl
ii
tq)
coolhtd-
monibrl.q
ond re/[email protected]
uhot
ot@
be4hho&nq
codz
o{
.oid.u*'
.
0€i(hrna(I,
\
rs
tLe
T
€s
q
fcch.e
cnlrof€d€
io n
,{rild
lt
it
a
0 L
:,. ,rrL
i\r
:Lnr,i
:,:
'n
f
'or '€ '1 ro oi
-
8/16/2019 CA Final Costing Theory Notes for May 2015
32/57
tq:
A,
, r.l l ' DA-L)
(0
rl\4"
''
tEr+
@n
u'E
mornqei
crrlq
o+ hne
poinl
g
commltneni ond
nor
of
xre
\rorni
o{
ltud
pr.c
n"e .fode
rL
.
neccasond
D
aohu{,
tAr
6a?loin
iha
sh?lomen+
Jttu
n"+ten@
to svvdu?rol
a;d
e^ffiql
A
F f,
@mmii LosE a+ tue,
l,\e
q desqnihE
|t,e
p-crld
(rnd
t l . .d.^o1
,r}c\r
y
piD{
Lr
. .
t . d.r ,
. , -
r<
-t ;1""
rr€
r
ae d,
qve
d" , . .nL i lon- , t t
- -
, .c
.
na. t t "
r te
q
crdl efeo
of taa
hre eh?-n
L1-r+ 6a lnLalre{l
lTaetrcFr€. f
i ,
sad
lua+
u]e+ecan
be otu.la.(d.tt
n^;
patlr
al
(rsr
dnver<
otu
fqrtii3
ha"t dbra .c.6nfhfi
+
a. l
r ,Fao
L
u.* . r .o r r ,o+o
ve;huat
ntrgolc.)@
lli\Jt
ltN.ir€l
,:o.'t
dni €6.
d r e
F -
lr,e
'r,rMaa;AAl
AdA
J
unftui4h n
.,1d
ln@4t1 drq c{tliers oncl .l]stjnef
'It
i
ofrv,Dr
.d]
rns+.lnverJ
..^h
b,.
ncn,aXed
o.
\
of
],e
fon+
l
. \ . \ r c t
o .
o l€ ioF
d
r?,ro
v L
. . r
I
-
8/16/2019 CA Final Costing Theory Notes for May 2015
33/57
r))
urhat
s h.e
hjndoftenk]l
diKanen@
beLezh
4')c
%rfeh
oid
Tiadibonal
@ehn€
I'dst€m?
tthlj,
hoyz
ond nore-
o'lani
-
8/16/2019 CA Final Costing Theory Notes for May 2015
34/57
LE
,
S
TANDA{D
OSrlNCr
Ubql a\e,
ttro
Frh,re,
Y
tbthnl AeoAt+ tuoulft\W(arDeo
glio&rd
/ st
cFi6n.rx
(ri
tz
*ottd.v.)
tr
id
t{r)kr
q
a(/a-irr
\
r, ,,
it3hoL o,r k hr-l
6t_
trrhot
pra. q
-
8/16/2019 CA Final Costing Theory Notes for May 2015
35/57
Tc
69tr
ItD
UJiqnL.
,".
.BsAt
ch\
k
tr€dd
ur..Fr
(9J
dau.t ac ut;l
'n$vt
dicyaad q?
h
o sld .,tsh\
q{ q,h?
ciPlaiu
I
rl"6e
L:
no
urr^,inq
r[
opi,on
omenq
ld,l
k/@nl'nk bArldd
dT*iho^
q
laYlorler.ILio
@mfr$rrt ued Delrltd
f r nuI . r i "Dor [h
. .
--;
.f
'.
-rr,;,
r,
-
p
' 4a
..d..
rr-
-au.. itr
.
r
{ t,
iirik-d
qarJ,
/tft:L
an.)
, _rl-
q
- ql€r
.iq, tu nhrinedd+
-
8/16/2019 CA Final Costing Theory Notes for May 2015
36/57
.
el€nent
o?
cosf
VrronLa
of
\l;inirnL{,
OF lbron4
Of
tlfaenu4
Pnce
L)J.q€,
^liltwe,
Yied
P6lee
LlF.jeool,rdtea,4e'
ala
Fq
ttFot"l dP@dttu'e Relasoq
W"*1
C.rla)lotion
Ol
wrtona, h
slond?rd fodrnq is
n(Fo.
ead
in it'elt,
blJ+q
fi@on9 D
o^ eIJ
".
-l..scu.r
.o(ii.g
tier
in
v.rrjon@anolid&j Slrndord ao.nhf
r'(
lbo
fc.Jl.tqto
Lirhe@b{
(bnd6rcl
.rsk
66e
pEeddomnid€d
dDd
6)Ac4reoh\A
.Dof,of4j ailu n4,
recr{ced
aLt\al
.oEa
lf is o
t€cr-.Lqrclrs
of
cosf
ae0rllai^d€n+
dnd @Ef
.o^h,rl It etFabtig*t
fildekrn
4'd
e hror-€,
.t
"
r{- of
f,r"\
rk
ara kn
ut
tuea
a^
hon q,f4.l(
lb.d6ds
{
'and.'o
.o.l
ne rooo"u t<
FZiraaa
E-,
ffi,, coq
i4 mof?,
hdq i 1,
(idqdcrtd
(Et,llr.L
" 6tiana,
i,
6prDr,sc,t7e
-
8/16/2019 CA Final Costing Theory Notes for May 2015
37/57
Tu€,{or€
ecbrLl
cLfer\qrrLa.
.fr
ii+
F nd
d€bii€d
0.0l 6\
tD
€n6'e
r(lqeiari
fu
crcetle
.c']iril
cl.r
p.q
lf i odl
a.orxh
r,
L , . . .
i c \6 ,
0 j
,u
.
5
n r
"
\
" . ' " ,
t r ,
I
t -
i _r.qlired
i7, tr.1r lLrtt ctqtn
o'jcr
.. e. al
.r4rcotr
t$
hrE,oll
n€.tlcni
leircclqL
-
8/16/2019 CA Final Costing Theory Notes for May 2015
38/57
16'.
-TRANSFI-R
P&CtNCi
tetao&
al
1.'.aa1e' nart
t^
an
osq;;Ectan
?
filo
oQiedv€9
o{
Tlonrf€
^nonq
t{sle/Y'
"
rlhdf
o€ n
€
@
r
lr]e
ri1.e
L
-i.h
cne
divrgon
c'+
on ortoDrl6nc.
Lhodq€r
t
-.
a
podr* or
sedv,ce s1"flrr"dl1,-;^oiu?J-]; rDn
oi-r1r,?
(oDe
' -
T-
.T..
c-
.nd
anp,
,
m..y,
1az;q
o"c
c,) Efipholr o.
bo-FB
,,trc,''mun tit'onon e1 ptr,r,ico1.cirr4
Ol
mse
olro(lhon
of
inon 61
6€s uve.i
-r*-.c.ao,
-€,\,"Do.
oI
.ic
"Pd
6
.
t-
otr
c.,)
Pnc'nq
or| a{sl .
r.
t @
qi
rr.@
follourinq
rers'
td.rt\ b^.WlDn.E>r
r\rlr
@rr ptL/r
4ro6ld,up
.\,
?-
,.c
a-
/,d11
r
.\
d
-;n.
--
t
;A;
.
ond se4La t.oapr,za to OLd"O-s,or,r
.d
p".c{
k,,,J
-a.Lea
[bi@
orc
q
t.d
L-rqP
dekm,€a
h.t
&J
baty\n
i
ot
N€qrhaled
hlrerrn-r.--r-ft-;t
ir
6^bd.re
d
os
cr
nctl-naol
w+ ona
ruh rnir
d€ud€
&; r\a,.Jl€i;.cE
R4otjcirol
ot t
rt4,."r8
-
8/16/2019 CA Final Costing Theory Notes for May 2015
39/57
/\.oLnnonorolnon
-
8/16/2019 CA Final Costing Theory Notes for May 2015
40/57
Lc)
L h6+ ora
?od@
toolc
o{
a
riorEl4
d
Fao€
s.dEiera
n
on
o'qcni24i\o
It
Pilrrdas
,.f1]]liohon
tho+ ornni.r
d,rhtn?l haffqai
rc rr&
toDd
cldnomr d2ailr0.5
lLjrrch
,G 'a
f . t .o .L
h - . / c l r t ue
p Fl4
o{
ri-fonq
a(
o ohdle
,
lt
Fnsdej
InFtrolon
d,hiLh ol
lre
r
-
8/16/2019 CA Final Costing Theory Notes for May 2015
41/57
i
|
lJ"
PRI(]N6 DT.ISIDN(
i9
(Zaekation
buncj?
&ha+ aA lt.
cirdnslaoc
-
8/16/2019 CA Final Costing Theory Notes for May 2015
42/57
L1)
EaFlo,n
l.i6minq
Ptarq
srdot?tia
lt
;s
.
frlc'{
urhafa
nj?
P'.zr
ore tsqr
n€h dlnq
tue €6d*
lre'.d
0{
,n
t
. . . )p , \
,
. . r , -
\d^ . .$ ,
. .1
%..q .
Tn0'o,
eyeilrlf"6a or'rrj
n
ntre
io11e,r
{ea6
tue
P{ce
-
8/16/2019 CA Final Costing Theory Notes for May 2015
43/57
9Yt*a
rc
Wncal
Widelires
tD
be
(red
iD 6dop|t4gq
r.c.nq
Yolicq
in
o ftoitFrh-D'int
odqanirlbo-
.
P,Js.{
fbr,q:l8L6rld
eoLart
(a
c?h.num
hlirFon
q
t"6rJr.r,
(D) qro*
l-adqtd
a
bdtpt
t\lan@
beto.p?' Mndnj
gf.r?l|-
ar
Pim6ie
eY
(c
qFn?
crl
o.
'
l^l'€
Fr.
"En.
pLh."L
|a
tu
e
P'".,",n
bld 'doPhnq imf,\,Yzdklb.doft
ce) ovoid d,€d.e er€cf an tue 6e9 qt|n ettnaht
t-lhsl
i6
trtc4
Td'3.'o1'robr,
?
utd€r
qjhat
ci6(1)mdor'4g ic
+
fotdbte
2.
,
?tce
l)6.nondhoh is
chaisi'}a d,f1€Brni
Fncer
dih1
r€rf.|
Lo
o.rstofte.s,
P) duck.
p
acer
ond
h/ne
It
is
PesrDLe
rhe,
.')
t1.e
nral'te*
Ei^q.6pabl2
L€'nt s€ -col€.r
c
L)
h,a crrghtrme89nc'f
oble
i .r2se
| 1,\e
P-do't
atq
ci ) ihe oqnPhinr\ unden1ellinq
e
rof
Po
-
8/16/2019 CA Final Costing Theory Notes for May 2015
44/57
HouJ
?ate.ft,trnL(de,
IrelPfv
"
Poanq
of
prcdrc+
n
lv€
cdl-
cre
tin
c€alin
1.h14mJI
l\ed,tF
' i \ r 'e ,cra
. r . " -
-^ lun.^"h
'od
r t . r
t
to
.o .
lt
tn onaL{i:
Pn.€.lDlhe
reloh|jn(hP
futr.
rof
rr€m
tbreb
A.ai{,
s
lred
F
o'crL{{trit
nre
Ftrfr
albtrdt€d
eoletr
ovz.le
Fnd
.'dB
{evenLJe
s e6med
i ,r
6lrLrLl}
rJ,/
T
iE
p:ldrdl
sarLh
anoLt ]s
D€
?
nr'sroP
non.(€ment fr
deleqql"
hie
l)nanq
crea(ron t
.rflnar{im.riclt00,/of ts prnal[} n [a rcirrretr€'elol m;,ai€n nt
\ ' .
r . - .4 ta- -
o '
.
"oe,r tu
.
I rnds
oipi 1 lnol;((t ?r7
c{
r,tr'.h
B
aqle
ni"r-r
f''
lre
.r,fr-1-; sr
./^l]a
-11\ r
-
8/16/2019 CA Final Costing Theory Notes for May 2015
45/57
COIT
CONC€
T<
N
bECI I
clN
MAKINTT.
-'-_
l '&
*"
w
t
\7*
cL)
bsiint\j,sh
b€hreo
;Modtr.s{
/osi'
o.d
'rbife6?ihol
,9"
^ idrq,notL.1f
af t r . .
; " -
o .L- ,doa
u 'd , . r '
d,o,
d
.d..:r
crtro\?
n
c(truf
.
|r1t
,4. c nhnt \ron4bt
..Rt
tPa .rE
, t " .
t t ' ,W,
ni, rr . ;
u, or.ur
' . n's
E1',1
Gt
OlrrbL
o
to . r_
. . .e
e." ,c{
6, .
\
t tuMr\ .
.
D-"d" t j
io , : . ,
o.
r , .n.od
?
Pr d
hr.
0.e ui'r 4 i'ftllt I' s$r..
; ,d.d
+
[ t
, , i
- . . . '
" t
Trz
Non
point ftt
d ln(jllMer
ond
dLf
-
8/16/2019 CA Final Costing Theory Notes for May 2015
46/57
.v')
0plifri),nq
ioverhreni
ldn
cL$
cf
m,lhple
ollrmdh/er
.rL) ruole
or
\
d€rieo.E
l" ' .
. .
\
u€rr ,
n
u
bq ,pmzt
rqr lo i {menl
rd
scn
( t )
I
t'nuto
i::fa or'e etarnote ea.n n.|cit s.iE-
@tt
te
t$eleva
&.ac,ane,
btt
lrrAsvonf
roel- adt
oot &r1L
@ ls.
9).L att 'e a hrcmn.oi aogi i.c fied '. lle pds+. l^ ah,er ilord if i
d
i. t
ol
a
.te.r m-L
c,lraodt
oorlo, €d
F]rrue'
de.jo.n
n
@ led
q
iu
reill,rce
b,
I nut
Do
qfeckd
bri rt
F]r
cianpl€i
rrrol.
volle
of
h4.llrlct,
h€..e
q'nl.
cGE
o ?
rtrietevont
i.
d€Li(L^
mdLr.rt
lrrelelo'* a.:,llE
.z
.0i
neds(r)
onl.
,reE
lir
elrmrl€,
urhen
c1
lrn'tri(0n
+
h,Jr'cLf€r.rhve
f\rdrLhff
oehard
6n.1 h1€
a,ne maier.ri
q('.b\ffi
,ndien.lf
,:rT=
rcazrf
-
8/16/2019 CA Final Costing Theory Notes for May 2015
47/57
qdvant
q4
of
sall
nt
ob'e
.tGvrEl
.€+
a
-
8/16/2019 CA Final Costing Theory Notes for May 2015
48/57
@bal a.o
nlo
t@a
L0ard
n
ohi/./ diitztenrol
-
8/16/2019 CA Final Costing Theory Notes for May 2015
49/57
l1
'bL\l , [ lqENT<
-\
|(TNI'
rN.{P0
tt)
L.d te
tue
l:r'danerol
d.6
-
8/16/2019 CA Final Costing Theory Notes for May 2015
50/57
D'i orr
,
.q
.r{
.
bac.ip c1,
o.:d1
^
e,
-
c
^ .l
srieh.don.ol
clmprrlq can
adltPxQ,
6w Lo* tF,n9,.tq\u'2
baih
help<
nxtna426
\^
cte4dLnq
tu)
hr
qpptli
r,1dor{inqrhcn\vzt&bte
phqqcol
dnd hDn:r
feeil,.lc
tt ?och
lrnted
Pi€.ese
*- a.
b
adtiale
6J5+effetbtenelt
,o'u,
nnolt
/c^
o.
(o(r
f?.1t4o,
^ Te
pll.tj
nA
nanp6
Rt
ideohfuinq nd
.f?dovir{
atld..LesearU
mpffieoE
n
d
frnnd+
(rh
Lh Dod
utiht\d riil€d
n,{
.l' C\,'.q
crt'pr'4r h
o
-
8/16/2019 CA Final Costing Theory Notes for May 2015
51/57
.rle
q,rp', j
I
r ,.lJ
. :n
tu (
r f
J
I a ,4e n \
m@
, i
o -a i . ^
d'-' clrLr\
raar [€
tr]DToir.l
6n off.\
atld n\e
mnnu.r .lr.ejtabk
Ireseirc in arrli|].,
c+
in6.3r e
n'6r' eb.q
rztardr,
hrtq+
.r€dlriqua
c4n
dl
be
,r
-
8/16/2019 CA Final Costing Theory Notes for May 2015
52/57
a2*v,'
7a6
br€eln€.it Sh.qLill
uthe tuifUr.X/ Dra,nslDnDnQ
s{snman.e.,'wfo.
q:
arr
olp€tk
+
erc
Lisi
o )t Ua Tededier
ovoilabt€
st
d
ff.016e(
erperen@d
r,)
i..ate
cI a
hrn
ha n6
.n
or.-$^rt
h
le-
tro,
Dn
ht're
Dr
dl l r
o
.?tr ,+
' .
na.e
'1 '&.dcr
,- .n, , f I
-o<
(-
qf .
L(
r f { rhrb,
or
e
-
8/16/2019 CA Final Costing Theory Notes for May 2015
53/57
L6)
Ltaen?|i1^a
Vttsuinq
nea..6et rnder alTg)fiat
ttteTatlP't
rhd
rlavrften
a@te&td
Pa
a B6nr"nq
o'fr" dhlh e..er
,^ iE
hD€
A
ftd
|rrd'd.tLalzd
tD
r,l€
in tn,&
e
beLn
llitu
r,4
ra&e
-
8/16/2019 CA Final Costing Theory Notes for May 2015
54/57
LQ)
t4)at^
tha
W't61rist4
F
< (.e4fr'l
cpeahDnof
,4dieial Req,rirehe4+
harn'.no
LL)
fte dt€xi
pr]i.h.'1
dtu
PJi.h.bnq
-
8/16/2019 CA Final Costing Theory Notes for May 2015
55/57
co) Ufte'znbats
- -n;-;nlcrt
uel^reer"tu.
paaa
ono
t'on
qrl'"'M
i"
I
qhv.'w
.
Tha lqlL/e-added
dcliYiha af.
laoge
oohnher
L'JhiLh
ar€
naa,trct\
Ft
@
fbp tro."
o?
V11x4.
utrl od,ha{ 6(
Fe{eft
Dofr @t
'.ba.7
ydlusd
bd
hrr
eriEnral
6
,n€-al c.xfotao.
t,
oetoi'laa
q6e
u6ull{
orllinq tu
Pa(
cin
firie
k {.1
le{
itre
sedi@
6t
q
:
Prlithj\
i'n,tu'e
h1
o
dnttsot €6 d€aL,iq
n
lldilald
i< o
\?lue
rt1a
r,.n.voluz-add€d o.hrrv '€p.z..nE lllort nrql-
e
ni,+
tdued
bd
rq€
erJernql
or
i'ri€mol c e| oe .
Nl/A
do
noi
nPNve
Xr€
q'ctq 6-
ili.hon
4
4
pldr(t
o' setl.", but
cdn
advetr
-
8/16/2019 CA Final Costing Theory Notes for May 2015
56/57
^frto.*.
der{eed and
eLhnoloqu.l[1€
f€4t')6a{
h.h.Dnnnea rib
b
t
ve
Ua
\r'olue e
-
8/16/2019 CA Final Costing Theory Notes for May 2015
57/57
ffi;n,l]**Gh-;
r rfi;-,a,,.
-
11
sL
l
I
e.+.
::j
l
\ . _ /
*
Lnni.h
rtull-{ ue
d|h
ededent
of
oqe.hve"i
llr',thp+
( uid
rLLarN' e.
ni
et i ldLL
of
icilL€al
avrL6
taLt +
h. ne.d iD
q.hrc,?
hah
orqU]
D
riodu.r
o h{t
u .
\
'a
o t
ne 'u
01
.he
I
c,
)
TrDr)lqhM
ac.d-'jbLrb0n
it
r
ik
rcrcot'
urlr dr
ire
qfEh
9eft,rfe
fq r
rv { .
oe l 4o
L / \
'
ao4e
c ,
@
P:hcl
I
n,?C
a L €
*
rd
\.'
.r
lld
d
LL) lnlesfdlh: ]ii,< 16 xe rlh D? maEtqr . + 0t drf€Lt ffot'qrs, n€.ldrd,
^r r , ' { . i ,d ^"5, r PrD & r .u P+r
.r) ol'd{ crrannq aEt
r..6
€1wr3
6rr
-;tr
AFr'tu,'ed
Ee*
r.'qhF
q-{qhrq
.Er t6nat
i,6
L r{a
drh
n
rn
el
dlrr""f,6
ohaY
T€idhot-
4ef