Quality Watches Company (QWC) manufactures different brands of a hand watch in Bangkok, Thailand
BBAC501 Assignment: (Groups of 2 students) (Total Marks 15) Due Date: Session 5.2 Quality Watches Company (QWC) manufactures different brands of a hand watch in Bangkok, Thailand. The company’s accountant, Tony Blake, has just received the sales forecast for the coming year for QWC’s three watch products: QW-Orient, QW-Fossil, and QW-Citizen. QWC has experienced considerable discrepancy in sales volumes and variable costs over the past two years, and Bernard believes that the forecast should be cautiously assessed from a cost-volume-profit perspective. The initial budget data for the year 2017 is as follows. QW-Orient QW-Fossil QW-Citizen Total Sales units 5,000 5,000 10,000 20,000 Total Sales Revenue $400,000 $500,000 $2,000,000 $2,900,000 Total variable manufacturing costs $150,000 $200,000 $600,000 $950,000 Total variable selling & Admin. costs $60,000 $80,000 $200,000 $340,000…
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