Tale , Format Painter EXERCISES 1-30 Marketing and Management Accounting A cross

Question

Tale , Format Painter EXERCISES 1-30 Marketing and Management Accounting A cross-functional team of managers, including the management accountant, performs each of the tollowing activities. However, depending on the nature of the decision to be made, one functional area will take the leadership role. Which of these activities is primarily a marketing decision? What would the managenent 1. Porsche Motor Company must decide whether to buy a part for one of its cars or to make the part at one of its plants. 2. Airbus must decide the price to charge for spare parts it sells over the Internet using its Spare Parts Web site t contribute to each of the marketing decisions? 3. St. Luke's Hospital must decide how to finance the purchase of expensive new medical analysis 4. Amazon.com must forecast the impact on video sales of a new advertising program 5. Mission Foods, a leading producer and distributor of tortillas to retail and food service industries, must decide whether to accept a special order for tortilla chips by a large, national 6. Target Stores must decide whether to close one of its retail stores that is currently operating at retail chain a loss Q%

Explanation / Answer

The marketing decision is in case of airbus deciding the price to charge for spare parts it sells over the internet .it contains the price element of 4 P’s of marketing. Other decision are basically related to procurement or financing. The function mention for Amazon to measure the impact of advertising programmed is the after effect of marketing decision being already taken and implemented.

Management accountatant can make his contribution by providing management with cost which is relevant to the pricing decision

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