{"id":182854,"date":"2018-02-20T23:50:30","date_gmt":"2018-02-20T23:50:30","guid":{"rendered":"https:\/\/writemyessayfree.com\/sxs-dune-adventures-experience-the-dunes-and-sea-side-by-side"},"modified":"2018-10-24T09:17:22","modified_gmt":"2018-10-24T09:17:22","slug":"sxs-dune-adventures-experience-the-dunes-and-sea-side-by-side","status":"publish","type":"post","link":"https:\/\/www.benedictsol.com\/blogs\/sxs-dune-adventures-experience-the-dunes-and-sea-side-by-side\/","title":{"rendered":"SxS DUNE ADVENTURES: Experience the Dunes and Sea, Side by Side"},"content":{"rendered":"<p><strong>Background<\/strong><\/p>\n<p>Welcome to the Summer 2016 version of the comprehensive assignment prepared<\/p>\n<p>specifically for Accounting 294.<\/p>\n<p>Made up of 2 parts this assignment is meant to fulfill a number of objectives for you.<\/p>\n<p>These include:<\/p>\n<p>1) Test and apply your knowledge of the concepts of managerial accounting.<\/p>\n<p>2) Increase your experience and abilities with respect to report writing.<\/p>\n<p>3) Illustrate scenarios and issues you will face in the \u201creal world\u201d<\/p>\n<p>4) Provide for an additional method of evaluation of your knowledge and skills<\/p>\n<p>rather than the traditional quizzes and tests.<\/p>\n<p>Please take all parts of this assignment seriously. This is an opportunity to actually apply<\/p>\n<p>your knowledge rather than just memorize a textbook.<\/p>\n<p>Please prepare the assignment using either Word or Excel rather than by hand. The<\/p>\n<p>finished product will look more professional as well as create some consistency between<\/p>\n<p>submissions.<\/p>\n<p>In order to make this assignment easier and your result more successful I suggest that you<\/p>\n<p>do not leave this assignment to the last day or even week. The assignment parts are<\/p>\n<p>constructed to coincide with the topics that have been or will be covered in class. If you<\/p>\n<p>begin working on the assignment immediately then as your lectures\/seminars progress<\/p>\n<p>you will be immediately reinforcing the course content that you are being exposed to and<\/p>\n<p>it will make application of that content easier as well.<\/p>\n<p>The 2 parts of the assignment are worth a total of 14 % of your final grade and therefore<\/p>\n<p>each part will have a significant effect on your final letter grade. Making a submission on<\/p>\n<p>time even if incomplete, will be more to your benefit than giving up and not making any<\/p>\n<p>submission at all.<\/p>\n<p><strong>Important Notes Regarding Student Conduct <\/strong><\/p>\n<p><strong>Each part of this assignment is an individual assignment<\/strong>. All submissions are required<\/p>\n<p>to be your own words and calculations. While it is recognized that students may discuss<\/p>\n<p>concepts and ideas each student is required to construct their own response. In the event<\/p>\n<p>that the responses prepared by individual students appear to be the same or highly similar<\/p>\n<p>the instructor will consider referring the students to the Faculty of Management<\/p>\n<p>Academic Integrity Committee for consideration.<\/p>\n<p><strong>Plagiarism <\/strong><\/p>\n<ul>\n<li><strong><em>Plagiarism<\/em><\/strong> refers to the practice of presenting the words of another author (it may<\/li>\n<\/ul>\n<p>be a text writer or another student) as your own.&nbsp; This is not permitted.&nbsp; At times<\/p>\n<p>you will be asked to learn about and discuss the views or theories of others.&nbsp; This<\/p>\n<p>should be done with appropriate acknowledgement of source materials.&nbsp; In other<\/p>\n<p>words, you <strong>must <\/strong>reference your work.&nbsp; Acknowledge your sources \u2013 both direct<\/p>\n<p>and indirect quotes \u2013 with in-text citations.&nbsp; Refer to the <strong>Referencing<\/strong> section<\/p>\n<p>contained below for further information.<\/p>\n<p><strong>Academic Conduct Violations <\/strong><\/p>\n<ul>\n<li>Any violation of the rules of Academic Conduct as described above will result in<\/li>\n<\/ul>\n<p>the immediate confiscation of all related materials of all parties involved. In<\/p>\n<p>addition, all parties will be immediately reported to the Faculty of Management<\/p>\n<p>Academic Misconduct Committee for consideration of further actions including<\/p>\n<p>(but not limited to) receiving a zero for the submission, a failure in the course and<\/p>\n<p>the possibility of suspension or expulsion.<\/p>\n<p><strong>Referencing&nbsp; <\/strong><\/p>\n<p>Faculty of Management (Business) requires the APA style of referencing for academic papers.<\/p>\n<p>Resources for using APA are available from the VIU Writing Centre (Library, Room 474). You can<\/p>\n<p>find their hours of operation and access to online student resources (including tutorials and a<\/p>\n<p>printable Quick Guide) at: http:\/\/sites.viu.ca\/writingcentre\/.\u201d<\/p>\n<p><strong>For further information please discuss with your instructor and\/or refer to the<\/strong><\/p>\n<p><strong>following Student Academic Code of Conduct <\/strong><\/p>\n<p>https:\/\/www2.viu.ca\/policies\/documents\/Policy99.01.pdf<\/p>\n<p><strong>SxS Dune Adventures<\/strong><\/p>\n<p><strong>Experience the Dunes and Sea, Side by Side<\/strong><\/p>\n<p><strong>&nbsp;<\/strong><strong>Your Role<\/strong><\/p>\n<p>While you believe you are a student currently taking Accounting 294, for the<\/p>\n<p>purposes of this assignment you are in fact an employee of SxS Dune<\/p>\n<p>Adventures. SxS is a company located in Florence Oregon. The business has<\/p>\n<p>2 focuses, rentals of Polaris Rzr\u2019s and tours of the Oregon dunes located<\/p>\n<p>between Florence, Oregon and North Bend, Oregon.<\/p>\n<p>While this employment will provide you with varied experience, you are<\/p>\n<p>about to be assigned work specifically related to the business. You have just<\/p>\n<p>been hired by the owner, Sam Lownie(SL) of SxS because of your recently<\/p>\n<p>acquired knowledge related to managerial accounting. He expects you to<\/p>\n<p>write memos, perform quantitative and qualitative analysis as well as<\/p>\n<p>providing conclusions or recommendations for the management and owners<\/p>\n<p>of SxS Dune Adventures.<\/p>\n<p>At all times, work submitted must be professional both in terms of content as<\/p>\n<p>well as presentation. This is not high school or university but rather the real<\/p>\n<p>world. Do the work as if your job depends on it, because it does!!<\/p>\n<p><strong>SxS Dune Adventures <\/strong><\/p>\n<p><strong>&nbsp;<\/strong>SxS Dune Adventures is a privately owned company located in Florence,<\/p>\n<p>Oregon in the United States. Florence is located on the coast about 60 miles<\/p>\n<p>west of Eugene Oregon. Its locations is spectacular with the rugged Pacific<\/p>\n<p>Ocean and the start of the world famous Oregon sand dunes heading to the<\/p>\n<p>south.<\/p>\n<p>The sand dunes are what the company uses to generate its income. The<\/p>\n<p>company has two separate revenue streams:<\/p>\n<p>1) Rental of Polaris Side By Side (SxS) Utility Terrain Vehicles (UTV)<\/p>\n<p>These are two seat vehicles meant to go off road through rough terrain<\/p>\n<p>and on the sand dunes<\/p>\n<p>2) Dune Tours in a 4 seat UTV.<\/p>\n<p>Guided by experienced SxS staff, these tours allow people unable or<\/p>\n<p>unwilling to rent and drive their own UTV to experience the thrill of<\/p>\n<p>driving over the sand dunes and also speed along the beaches on the<\/p>\n<p>edge of the Pacific.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>Due to its location as well as the variety of activities, SxS Dune Adventures<\/p>\n<p>has created a niche in the growing sand dune tourism market. The<\/p>\n<p>management of SxS believe that outstanding customer service is the way to<\/p>\n<p>differentiate their product from the competitors and by offering professional<\/p>\n<p>guides, well planned and presented guest activities and quality experiences<\/p>\n<p>SxS will continue to be recognized as the premier way to<\/p>\n<p>\u201cExperience the Dunes and Sea, Side by Side\u201d.<\/p>\n<p>The rentals and tours operate from June to September each year.<\/p>\n<p><strong>SxS Dune Adventures Ownership <\/strong><\/p>\n<p>SxS Dune Adventures is owned by Sam Lownie who put in $500,000 in<\/p>\n<p>capital to start the company. While Sam has long time experience in the<\/p>\n<p>industry he is lacking in financial knowledge which is why he hired you.<strong>&nbsp;<\/strong><\/p>\n<p><strong>&nbsp;SxS Dune Adventures Management <\/strong><strong>&nbsp;<\/strong><\/p>\n<p>Brian Beech (BB)<\/p>\n<p>Brian is the operations manager of SxS. Brian\u2019s previous experience<\/p>\n<p>involved managing a variety of tour related businesses such as Klanawa<\/p>\n<p>Nature Adventures which is an adventure facility located in British<\/p>\n<p>Columbia.<\/p>\n<p>Adam Farmer (AF)<\/p>\n<p>Adam\u2019s expertise is in the mechanics of utv\u2019s and other all-terrain vehicles.<\/p>\n<p>A graduate of the Recreational Power sports Mechanics program at the<\/p>\n<p>Northern Alberta Institute of Technology (NAIT).&nbsp; Adam and his team of<\/p>\n<p>technicians keep the equipment at SxS running smoothly.<\/p>\n<p><strong>Facilities <\/strong><\/p>\n<p>&nbsp;<\/p>\n<p>The company location consists of a 6,000 square foot building with<\/p>\n<p>approximately 1,500 square feet of office and administrative space, 3,000<\/p>\n<p>square feet for the vehicle storage and maintenance and 1,500 square feet for<\/p>\n<p>the customer service and training space.<\/p>\n<p><strong>Transcript of Meeting with Sam Lownie, Brian Beech, Adam<\/strong><\/p>\n<p><strong>Farmer and Student <\/strong><\/p>\n<p>Student:&nbsp; Thank you very much for hiring me to assist you with your<\/p>\n<p>operations. I am sure that my analysis and advice will be of great benefit to<\/p>\n<p>your operations. I am very eager to get started.<\/p>\n<p>SL:&nbsp; You came highly recommended as to both your knowledge and<\/p>\n<p>problem solving skills. Our business has grown and I now realize that we<\/p>\n<p>need a more professional approach to things. We still want to ensure the<\/p>\n<p>quality of our services and our commitment to \u201cSafety First\u201d but we also<\/p>\n<p>obviously want to make money. I think you can help us understand how to<\/p>\n<p>do that.&nbsp; I would think that the first tasks we can get you to do will be to<\/p>\n<p>assist in the analysis of past operations so that Brian, Adam and I can work<\/p>\n<p>on improving things.<\/p>\n<p>As you know our fiscal year just ended on March 31, 2016.&nbsp; Talking to Brian<\/p>\n<p>the other day he thought it would be helpful to him if we took the financial<\/p>\n<p>results to the end of September and provided some classification of the<\/p>\n<p>amounts between types of costs. Specifically he wanted costs identified as<\/p>\n<p>product\/period costs, Fixed\/variable, direct\/indirect costs and sunk costs. I<\/p>\n<p>understand what he means by each of these terms but to be honest, I have<\/p>\n<p>not had the time to do it. I would like to know the total of each of these<\/p>\n<p>categories as well as what makes each one up.<\/p>\n<p>I have printed out a copy of the results to March 31, 2016 and also provided<\/p>\n<p>a description of the costs (Exhibit 1). Would it be possible for you to look at<\/p>\n<p>these costs and provide the analysis Brian wants?<\/p>\n<p>Student- Definitely, in fact I have a format that I can follow in preparing this<\/p>\n<p>analysis. (Exhibit 2)<\/p>\n<p>BB- You are quite a knowledgeable individual so let me add 2 more<\/p>\n<p>challenges.<\/p>\n<p>1) In order to a proper analysis of the business I need to be able to<\/p>\n<p>prepare budgets. I cannot do that with the income statement in the<\/p>\n<p>format in Exhibit 1. I need an income statement in a \u201cContribution<\/p>\n<p>Margin\u201d format. As you know in order to do this we need to separate<\/p>\n<p>all costs into either a variable or fixed category. Sam has already<\/p>\n<p>asked you to categorize the costs between fixed and variable.<\/p>\n<p>In addition we need to separate the product costs between the 2<\/p>\n<p>products we offer to our customers.<\/p>\n<p>Please prepare an income statement for me in the contribution margin<\/p>\n<p>format?<\/p>\n<p>See sample format in Exhibit 3<\/p>\n<p>&nbsp;<\/p>\n<p>2) I have received a request from the Costco in Eugene asking if we can<\/p>\n<p>host tours for the staff party coming up at Halloween, October 31. As<\/p>\n<p>our regular business shuts down at the end of September we know that<\/p>\n<p>we will have equipment available and I think the exposure that we can<\/p>\n<p>get from doing this for Costco would be good marketing on our part.<\/p>\n<p>&nbsp;<\/p>\n<p>I am not sure how much they are willing to pay but I would rather not<\/p>\n<p>lose money on the deal despite the marketing benefit.<\/p>\n<p>&nbsp;<\/p>\n<p>Using an incremental analysis approach, could you please tell me<\/p>\n<p>what the lowest selling price we can offer Costco on this without<\/p>\n<p>losing money on it is? I have provided additional information for you.<\/p>\n<p>(Exhibit 4).<\/p>\n<p>&nbsp;<\/p>\n<p>AF:&nbsp; Seeing how all of you are getting Student to do things I might as well<\/p>\n<p>put in my request.<\/p>\n<p>&nbsp;<\/p>\n<p>In preparing for next year I have had some discussions with both staff<\/p>\n<p>and some of our suppliers. Each of them is proposing a significant<\/p>\n<p>change in how they are paid but there is a similar theme to all of these<\/p>\n<p>requests. Could you please do a memo for me explaining the issue of<\/p>\n<p>7<\/p>\n<p>cost structure and also provide an example on how it would affect our<\/p>\n<p>operating income in the future? I have provided notes in Exhibit 5.<\/p>\n<p>&nbsp;<\/p>\n<p>Student: I can certainly prepare the reports that each of you require. Is there<\/p>\n<p>a deadline for all of this work? What date would you like it by?<\/p>\n<p>&nbsp;<\/p>\n<p>SL- If you have it for May 19, 2016 that would be great.<\/p>\n<p>&nbsp;<\/p>\n<p>Required<\/p>\n<p>&nbsp;<\/p>\n<p>1) Prepare an analysis of costs identifying product (direct materials, direct<\/p>\n<p>labour, product overhead) \/period costs, Fixed\/variable, direct\/indirect costs<\/p>\n<p>and sunk costs. Provide the classification of each cost as well as a total of<\/p>\n<p>each category.&nbsp; Cost information is provided in Exhibit 1.<\/p>\n<p>&nbsp;<\/p>\n<p>For the \u201cmixed\u201d costs please use the information provided to separate them<\/p>\n<p>into their variable and fixed components.<\/p>\n<p>&nbsp;<\/p>\n<p>See Exhibit 2<\/p>\n<p>&nbsp;<\/p>\n<p>2) Prepare an income statement in the contribution margin format based on<\/p>\n<p>the sample provided in Exhibit 3.<\/p>\n<p>&nbsp;<\/p>\n<p>3) Using an incremental analysis approach, calculate the lowest selling price<\/p>\n<p>on the Costco job which allows the company to break even on the job<\/p>\n<p>specifically.&nbsp; The details of the Costco proposal are in Exhibit 4<\/p>\n<p>&nbsp;<\/p>\n<p>4) Prepare a memo to Adam explaining the issue of cost structure and<\/p>\n<p>provide relevant examples on how it would potentially affect the company\u2019s<\/p>\n<p>operating income in the future? Adam\u2019s notes are in Exhibit 5\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Background Welcome to the Summer 2016 version of the comprehensive assignment prepared specifically for Accounting 294. Made up of 2 parts this assignment is meant to fulfill a number of objectives for you. These include: 1) Test and apply your <a href=\"https:\/\/www.benedictsol.com\/blogs\/sxs-dune-adventures-experience-the-dunes-and-sea-side-by-side\/\" class=\"read-more\">Read More &#8230;<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-182854","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/182854","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=182854"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/182854\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=182854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=182854"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=182854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}