Unless a snowstorm eliminates a class session this week, we’ll be able to wrap up our discussion of the Cost section, i.e. the third of six sections of our business planning and analysis activity. We’ll also discuss the first of five installments of our term project; it is due via a Google Plus text message on Friday evening at 11:59 pm.
Details about the term project installment are listed in the Project 1 page of our course blog. You can access the page by clicking on the Project 1 link under the masthead of our blog’s home page.
On Monday, we will discuss Activity Based Costing, the final topic of our Cost section. To prepare for this session, please read an ABC News story about a food additive, as well as a subsequent NBC news story regarding the same topic. In addition, please watch the 2 minute, 45 second YouTube video that is embedded after the first brief paragraph of the NBC news story.
On Wednesday, we will discuss how Job Order Costing, Activity Based Costing, Variance Analysis, and Cost Behavioral Analysis (i.e. fixed and variable cost and revenue functions) all “come together” in the Cost section of a business plan. In advance of this session, please review the Wikipedia web page entitled Break-even (economics).
Finally, on Friday, we will begin our conversation of Revenue by focusing on pricing strategies. Please prepare for this session by reading a brief article about various relevant pricing methods.
And after that … please enjoy your Spring Break! :)