Tenrack is a fairly large manufacturing company located in the southern United States. The company manufactures tennis rackets, tennis balls, tennis clothing, and tennis shoes, all bearing the company's distinctive logo, a large green question mark on a white flocked ball. The company's sales have been increasing over the past 10 years. The tennis racket division has recently implemented several advanced manufacturing techniques. Robot arms hold the tennis rackets in place while glue dries. And machine vision systems check for defects. The engineering and design team uses computerized drafting and testing of new products. The following managers work in the tennis racket division: Jason Dennis, Sales Manager (supervises all sales representatives) Peggy Groneman, Technical Specialist (supervises computer programmers) Dave Marley, Cost Accounting Manager (supervises cost accountants) Kevin Carson, Production Supervisor (supervises all manufacturing employees) Sally Renner, Engineer (supervises all new-product design teams) Instructions
(a) What are the primary information needs of each manager? Which, if any, financial accounting report(s) is each likely to use? Name one special-purpose management accounting report that could be designed for each manager. Include the name of the report, the information it would contain, and how frequently it should be issued.

The primary information that is required by technical specialist is the details of set process. Technical specialist needs to know the function each manager performs in a computer and the report the other department expects from ERP system.

Dave Marley:

The cost accountants need to know the costs involved in the manufacturing each of the products such as tennis rackets, tennis clothes etc. and the periodical cost of the product and the

break-up of material cost, manufacturing overhead and other indirect cost.

Kevin Carson:

The similar information which the Cost Accounting Manager requires would also be required by the production supervisor with respect to the production cost.

Selly Renner:

Engineer who take cares of the product should know the market details, the type of customer, and available product in the market.

b. Financial accounting report is likely to use:

Financial statement which includes the Balance Sheet, Income Statement and statement of cash flows.

Cost reports, Budget Report and the Variance Report.

Cost of Goods sold would also be useful for the Cost Manager and production manager

Various accounting schedule such as the manufacturing expense schedule, and selling expense schedule

Inventory Statement

Schedule of Breakdown cost

C) Special-purpose management accounting report which could be designed for every manager are:

Sales Manager which supervises all sales representatives :

Total sales schedule which includes all the sales representatives and correlating sales for each period that are issued at weekly intervals.

Technical specialist supervises computer programmers:

Computer programmer cost that reflects cost of every staff of technical staff

Cost accounting manager supervises cost accountants:

Cost of goods manufactured schedule

Production supervisor who supervises all manufacturing employees:

Balanced Scorecard report used to evaluate all aspects of production operations..

Engineer who supervises all new-product design teams:

Product Division Schedule which provides a cost analysis comparison of the current designs with new products that are issued when a new project is proposed.