Product details

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Case
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Reference no. 9B01B026
Published by: Ivey Publishing
Originally published in: 2001
Version: 2002-03-01
Length: 12 pages
Data source: Field research

Abstract

NCPC Beta Co, Ltd makes antibiotic products and was the largest state-owned pharmaceutical enterprise in China. The company has fully integrated product lines, each with different target markets and profit. The company''s current cost allocation method is based on revenue of each product, which has caused unfair allocations of shipping expenses between products so that the true competitiveness of the products is hidden. The chief accountant is asked to analyse the company''s cost allocation methods and provide recommendations to ensure products are priced competitively. There is a simplified Chinese version available ‘9B01BC26’.
Location:
Size:
Large
Other setting(s):
2000

About

Abstract

NCPC Beta Co, Ltd makes antibiotic products and was the largest state-owned pharmaceutical enterprise in China. The company has fully integrated product lines, each with different target markets and profit. The company''s current cost allocation method is based on revenue of each product, which has caused unfair allocations of shipping expenses between products so that the true competitiveness of the products is hidden. The chief accountant is asked to analyse the company''s cost allocation methods and provide recommendations to ensure products are priced competitively. There is a simplified Chinese version available ‘9B01BC26’.

Settings

Location:
Size:
Large
Other setting(s):
2000

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