You, the managerial accountant, are asked by the CFO (Mr. Smith) of WilsonWest Manufacturing (a new company) to set up a product costing system. The following are the types of expenses that will be included:

• Direct labor
• Direct materials
• Utilities
• Depreciation
• Maintenance
• Insurance on the equipment
• Rent on the plant
• Administrative salaries
• Rent for the office

In a memo format, explain to Mr. Smith and the president what will be included in product costing.

• Explain what is involved in a product costing system.
• Explain why WilsonWest Manufacturing needs to have a product costing system.
• Allocate the above expenses as fixed, mixed, or variable expenses.
• Prepare calculations for the following, and explain your computations:
  • Variable cost: The unit rate is $0.25, and the actual hours used for manufacturing are 15,000.
  • Mixed cost: The unit rate is $0.25, actual hours are 10,000, and the fixed cost is $5,000 per month.
  • Total cost: Use your calculations from above.
• Explain this to Mr. Smith who will prepare these calculations on a monthly basis.

  

In the “Introduction” to the Bhagavad Gita (begin at page 13), Easwaren makes the following claim:

“The gunas form the basis of the most compassionate account of human nature that I have come across in any philosophy or psychology, East or West. They not only explain differences in character; they describe the basic forces of personality and allow the possibility of reshaping ourselves after a higher ideal” (46).

Having read the account of the gunas in the “Introduction,” explain what Easwaren might mean when he calls them the “basis of the most compassionate account of human nature.” Explain, in other words, how the gunas help one have a compassionate understanding of humanity and human nature. Feel free to include a thoughtful and illuminating example, if it helps you explain your ideas.

This will take a great deal of reflection on the material you’ll read. And then clear articulation, of course. Remember to stay focused on what you are being asked to think about (namely, how the gunas provide a compassionate view of human nature).

Please write at least 1 page. in a standard font, 12 pt, double-spaced)