Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Faith’s Country Primitives:

An Excel Project In Flexible
Budgeting And Standard Cost Analysis
Katherine J. Silvester, Siena College, USA

ABSTRACT

Cost accounting textbooks typically contain extensive technical coverage of standard costing and variance analysis
in a manufacturing context. Covering the material adequately usually requires multiple class lectures, due to the
complexity of the material. The calculations involved are detailed, multi-step, and can be numerically intensive. In
order to make the material accessible to the learner, most textbook problems focus on the individual steps inherent
in the budgeting, calculation, analysis, and interpretation process of standard costing and variance analysis. This
simplification makes it feasible to deliver the material efficiently in the classroom. However, this pedagogical
efficiency occurs at a cost, in that students may fail to understand the overall process and how the individual steps
are interrelated.

This case has been used over the course of 10 semesters with over 500 students in a junior level Cost Accounting
class for accounting majors. It has proven to be an effective tool for both reinforcing the variance analysis content
that is delivered in the classroom, as well as for giving students an opportunity to practice and extend their Excel
skills.

Keywords: Standard Costing; Excel; Variance Analysis

INTRODUCTION

T his paper presents an integrated Excel-based case that can be used in conjunction with a standard
costing teaching module. The Excel-based case contains this Introduction and 4 case sections. The
first case section contains the Student Case Description and Case Attachments. The second case
section contains the Student Project Test Instructions and Data. The third section contains a printed copy of the
Excel Spreadsheet Solutions to the Original Case and to the Project Test. The fourth and final case section contains
the Teaching Notes and Suggestions for the Instructor. As noted later in the paper, an electronic version of the Excel
spreadsheet, formulas, and solutions are also available to faculty upon request.

SECTION 1: STUDENT CASE DESCRIPTION AND CASE ATTACHMENTS

A. Project Overview. Faith’s Country Primitives Company produces and sells fabric country primitive toys for use
in home decor. Each toy uses cotton for the toy’s clothing, fiber for the toy’s outer shell, and stuffing for the toy’s
interior. You are the Controller for Faith’s. As sales have grown, you have also become increasingly busy. To save
yourself some time, you have decided to automate some of the reports that you have been producing manually every
month. As a first step, you have decided to create an Excel spreadsheet program that your clerk can use to produce
monthly variance reports for management.

Every month, your clerk will input new figures into your spreadsheet. However, your clerk isn’t very
knowledgeable about accounting, so he will need to depend on your Excel program to be accurate, complete, and
understandable. Your clerk only knows how to input data, save files, and print in Excel.

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Your project is to create and produce three interconnected Standard Costing and Variance Analysis Reports in
Excel. You must e-mail your Excel file to your professor by the Due Date. To demonstrate that your project works,
you will also be required to test your project (Excel file) in a separately scheduled Project Test Session.

B. Creating the Reports. Creating your report will require you to create at least three worksheets in your Excel
Workbook:

• Worksheet 1: Data Input Worksheet,

• Worksheet 2: A Flexible Budget Variance Report, and
• Worksheet 3: A Price and Efficiency Variance Report.

You will probably find it helpful to create additional Intermediary Worksheets to organize your calculations.
However, these Intermediary Worksheets are not required.

Worksheet 1: The Report Name of Worksheet 1 is “Data Input Worksheet.” Worksheet 1 should be a duplicate of
the sample included as Attachment 1. Worksheet 1 should be formatted and highlighted as similarly as possible to
the provided sample. Worksheet 1 serves as an input sheet for the rest of your Excel model. Every highlighted value
is subject to change during the Project Test Session of your model. Data cannot be input into the other worksheets
during the Project Test Session.

Your first worksheet must be used for data input only. Your second and third worksheets are reports for
management. These latter reports must use the input data from the first worksheet, plus your Excel formulas, to
generate a Flexible Budget Variance Analysis Report (Worksheet 2) and a Price and Efficiency Variance Report
(Worksheet 3).

Therefore, your Workbook must be structured so that it will: (1) allow for any of the highlighted information on
Worksheet 1 to be changed and (2) automatically adjust for these changes and correctly generate revised numbers,
variance indicators, dates, etc. on the other two worksheets.

Rounding: Round all numbers on Worksheet 1 to the 3rd decimal place.

Worksheet 2: The Report Name of Worksheet 2 is “Flexible Budget Variance Report.” Be sure to include a
separate line item for each of the types of Direct Material for Faith’s (Fiber, Stuffing, Cotton). See Attachment 2 for
an outline of the format for this worksheet.1

Rounding: Round the “Standards” Column on Worksheet 2 to the 3rd decimal place. Round the other columns on
Worksheet 2 to the nearest whole dollar.

Worksheet 3: The Report Name of Worksheet 3 is “Price and Efficiency Variance Report.” You must complete a
table that organizes and reports the Price Variance, Efficiency Variance, and Flexible Budget Variances for each of
the 6 different cost items (fiber, stuffing, cotton, labor, variable overhead, and fixed overhead). See Attachment 3
for an outline of the format for this worksheet.

Rounding: Round the variances on Worksheet 3 to the 3rd decimal place.

Optional Additional Intermediary Worksheets. Do not show any additional or intermediary calculations or formulas
on Worksheets 1, 2, or 3 of your Report, other than what is required. Management is already knowledgeable about
how variances are calculated, and Management does not want to see a cluttered report.

1
Horngren, Datar, and Rajan (2015) provide a thorough technical presentation of the material in Chapters 7 and 8. An example of the basic
format for a Flexible Budget Variance report is found on page 253.
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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

You may create additional optional worksheets to organize and calculate your variances or to organize intermediary
figures. You may leave the optional worksheets in your workbook. These additional worksheets will not be graded;
they will be for your use only.

Variance Absolute Values and Indicators. All variances must be reported as Absolute Values. You must also use
the appropriate macros and/or “Nested If” commands to automatically indicate whether the variances are Favorable
[F], Unfavorable [U], or neither (-), whenever variances are reported. Do not use colors to represent the Favorable
or Unfavorable variances.

Attachment 1
Original Input Data
Faith’s Country Primitives Company
Data Input Worksheet
January 2017

Faith’s Master Budget for Calendar Year 2017

Selling Price $80.000 per toy

Expected Monthly Sales 9,500.000 toys

Direct Materials
Standard Price of Cotton per yard $5.000
Standard Quantity of Cotton per toy 1.850 yds.

Standard Price of Fiber per yard $7.300

Standard Quantity of Fiber per toy 2.250 yds.

Standard Price of Stuffing per ounce $0.220

Standard Quantity of Stuffing per toy 9.870 oz.

Direct Labor
Standard Price of Labor $15.250 per hour
Stand Quantity of Labor per toy 0.100 hours

Variable Manufacturing Overhead (in machine hours)

Standard Price $45.000 per machine hour
Standard Quantity 0.300 machine hour(s) per toy

Fixed Overhead Per Month $120,000.000 per month

Faith’s Actual Results for January 2017

Units Produced and Sold 11,115.000 toys

Revenue $ 903.093.750
Direct Labor 1,004.200 hrs. $ 17,230.000

Direct Materials – Cotton Purchased and Used 18,223.000 yds. $ 101,574.000

Direct Materials – Fiber Purchased and Used 21,500.000 yds. $ 192,235.810
Direct Materials – Stuffing Purchased and Used 119,094.000 oz. $ 20,964.440

Variable Overhead 4,067.000 mach. hrs. $ 149,600.000

Fixed Overhead $ 124,500.000

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Attachment 2
Faith’s Country Primitives
Flexible Budget Variance Report
Month Year

Actual Flexible Budget Flexible Sales Volume

Static Budget Standards
Results Variances Budget Variances

Units Sold

Revenue

Variable Costs
Direct Materials-Cotton
Direct Materials-Fiber
Direct Materials-Stuffing
Direct Mfg. Labor
Variable Mfg. Overhead
Total Variable Costs

Contribution Margin

Fixed Manufacturing Costs

Operating Income

Attachment 3
Faith’s Country Primitives
Price and Efficiency Variance Report
Month Year
Price or Spending Variance Efficiency Variance Flexible Budget Variance

Direct Material-Cotton

Direct Material-Fiber

Direct Material-Stuffing

Direct Labor

Variable Overhead

Fixed Overhead

SECTION 2: STUDENT PROJECT TEST INSTRUCTIONS AND DATA

There will be a formal Student Project Test Session scheduled in a Computer Lab. During the Project Test Session,
the following will be expected.

• You must load the same Excel file that was submitted to your professor.
• You must print each of the Original Worksheets 1, 2, and 3 on separate pages.
• You will be given revised test input data and dates for the highlighted information on Worksheet 1.
(Note that the changed information is “boxed.”)
• You must change the highlighted information on Worksheet 1, as indicated. Worksheets 2 and 3 must
then automatically and correctly generate revised numbers and dates.
• You will print each of the Revised Worksheets 1, 2, and 3 on separate pages.
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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Remember that you cannot input any numbers directly into Worksheets 2 and 3 during this Test Session. Therefore,
your Original Project must include formulas that will automatically use the revised Test data from Worksheet 1 to
generate the correct figures and dates for Worksheets 2 and 3.

Attachment 4
Project Test Input Data
Faith’s Country Primitives Company
Data Input Worksheet
May-Test 2018

Faith’s Master Budget for Calendar Year 2018

Selling Price $79.000 per toy

Expected Monthly Sales 10,000.000 toys

Direct Materials
Standard Price of Cotton per yard $4.750
Standard Quantity of Cotton per toy 2.000 yds.

Standard Price of Fiber per yard $7.900

Standard Quantity of Fiber per toy 2.500 yds.

Standard Price of Stuffing per ounce $0.300

Standard Quantity of Stuffing per toy 9.300 oz.

Direct Labor
Standard Price of Labor $15.000 per hour
Stand Quantity of Labor per toy 0.200 hours

Variable Manufacturing Overhead (in machine hours)

Standard Price $51.000 per machine hour
Standard Quantity 0.400 machine hour(s) per toy

Fixed Overhead $130,000.000 per month

Faith’s Actual Results for May-Test 2018

Units Produced and Sold 9,500.000 toys

Revenue $ 748,000.000
Direct Labor 1,805.000 hrs. $ 28,000.000

Direct Materials – Cotton Purchased and Used 19,950.000 yds. $ 93,765.000

Direct Materials – Fiber Purchased and Used 24,000.00 yds. $ 187,200.000
Direct Materials – Stuffing Purchased and Used 87,400.00 oz. $ 27,531.000

Variable Overhead 3,900.000 mach. hrs. $ 195,000.000

Fixed Overhead $ 129,000.000

SECTION 3: EXCEL SPREADSHEET SOLUTIONS

TO THE ORIGINAL CASE AND TO THE PROJECT TEST

The Excel-generated solutions to the Original Case are provided as Exhibits 1, 2 and 3. Exhibit 3 contains an
optional Intermediary Worksheet that students might use to organize their intermediary work product.

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Exhibits 4, 5, and 6 contain the solutions to the Project Test, as well as an optional Intermediary Worksheet.

All of the Excel solution files (with formulas) are available to other faculty by contacting the author by e-mail
(ksilvester@siena.edu) and providing verification of college affiliation.

Exhibit 1
Solution - Original Project Data
Faith’s Country Primitives
Flexible Budget Variance Report
January 2017
Actual Flexible Budget Flexible Sales Volume
Static Budget Standards
Results Variances Budget Variances

Units Sold 11,115 0 - 11,115 1,615 F 9,500 1

Revenue $ 903,094 $ 13,894 F $ 889,200 $129,200 F $ 760,000 $ 80.00

Variable Costs
Direct Materials-Cotton $ 101,574 $ 1,240 F $ 102,814 $ 14,939 U $ 87,875 $ 9.250
Direct Materials-Fiber $ 192,236 $ 9,672 U $ 182,564 $ 26,526 U $ 156,038 $ 16.425
Direct Materials-Stuffing $ 20,964 $ 3,171 F $ 24,135 $ 3,507 U $ 20,628 $ 2.171
Direct Mfg. Labor $ 17,230 $ 280 U $ 16,950 $ 2,463 U $ 14,488 $ 1.525
Variable Mfg. Overhead $ 149,600 $ 453 F $ 150,053 $ 21,803 U $ 128,250 $ 13.500
Total Variable Costs $ 481,604 $ 5,089 U $ 476,516 $ 69,237 U $ 407,278 $ 42.871

Contribution Margin $ 421,490 $ 8,805 F $ 412,684 $ 59,963 F $ 352,722 $ 37.129

Fixed Manufacturing Costs $ 124,500 $ 4,500 U $ 120,000 $ 0 - $ 120,000

Operating Income $ 296,990 $ 4,305 F $ 292,684 $ 59,963 F $ 232,722

Exhibit 2
Solution - Original Project Data
Faith’s Country Primitives
Price and Efficiency Variance Report
January 2017
Price or Spending Variance Efficiency Variance Flexible Budget Variance

Direct Material-Cotton $ 10,459.00 U $ 11,698.750 F $ 1,239.750 F

Direct Material-Fiber $ 35,285.810 U $ 25,613.875 F $ 9,671.935 U

Direct Material-Stuffing $ 5,236.240 F $ 2,065.569 U $ 3,170.671 F

Direct Labor $ 1,915.950 U $ 1,636.325 F $ 279.625 U

Variable Overhead $ 33,415.00 F $ 32,962.500 U $ 452.500 F

Fixed Overhead $ 4,500.00 U $ - - $ 4,500.000 U

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Exhibit 3
Solution - Original Project Data

Faith’s Country Primitives

Additional Detailed Work
January 2017

Direct Materials-Cotton

Actual Flex
Output 11,115 11,115

Inputs / Output 1.6395 1.85

Total Input Quantity 18,223.00 20,562.75

Price of Input $ 5.574 $ 5.000

Total Cost $ 101,574.00 $ 105,813.75

Price Variance
Difference in Prices $ 0.574
Total Actual Quantity 18,223.000
$ 10,459.00 U

Efficiency Variance
Difference in Total Quantity 2,339.750
Standard Price $ 5.000
$ 11,698.750 F

Flexible Budget Variance $ 1,239.750 F

Direct Materials-Fiber

Actual Flex
Output 11,115 11,115

Inputs / Output 1.9343 2.25

Total Input Quantity 21,500.000 25,008.75

Price of Input $ 8.941 $ 7.30

Total Cost $ 192,235.81 $ 182,563.88

Price Variance
Difference in Prices $ 1.641
Total Actual Quantity 21,500.000
$ 35,285.810 U

Efficiency Variance
Difference in Total Quantity 3,508.750
Standard Price $ 7.300
$ 25,613.875 F

Flexible Budget Variance $ 9,671.935 U

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Direct Materials-Stuffing

Actual Flex
Output 11,115 11,115

Inputs / Output 10.7147 9.87

Total Input Quantity 119,094.00 109,705.05

Price of Input $ 0.176 $ 0.220

Total Cost $ 20,964.44 $ 24,135.11

Price Variance
Difference in Prices $ 0.044
Total Actual Quantity 119,094.000
$ 5,236.240 F

Efficiency Variance
Difference in Total Quantity 9,388.950
Standard Price $ 0.220
$ 2,065.569 U

Flexible Budget Variance $ 3,170.671 F

Direct Labor

Actual Flex
Output 11,115 11,115

Inputs / Output 0.0903 0.100

Total Input Quantity 1,004.20 1,111.50

Price of Input $ 17.158 $ 15.250

Total Cost $ 17,230.00 $ 16,950.38

Price Variance
Difference in Prices $ 1.908
Total Actual Quantity 1,004.200
$ 1,915.950 U

Efficiency Variance
Difference in Total Quantity 107.300
Standard Price $ 15.250
$ 1,636.325 F

Flexible Budget Variance $ 279.625 U

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Variable Overhead

Actual Flex
Output 11,115 11,115

Inputs / Output 0.3659 0.300

Total Input Quantity 4,067.00 3,334.50

Price of Input $ 36.78 $ 45.00

Total Cost $ 149,600.00 $ 150,052.50

Price Variance
Difference in Prices $ 8.216
Total Actual Quantity 4,067.000
$ 33,415.000 F

Efficiency Variance
Difference in Total Quantity 732.500
Standard Price $ 45.000
$ 32,962.500 U

Flexible Budget Variance $ 452.500 F

Fixed Overhead

Actual Flex
Output 11,115 11,115

Total Cost $ 124,500.000 $ 120,000.000

Price Variance

$ 4,500.000 U

Efficiency Variance

$ - -

Flexible Budget Variance $ 4,500.000 U

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Exhibit 4
Solution - Project Test
Faith’s Country Primitives
Flexible Budget Variance Report
May-Test 2018
Actual Flexible Budget Flexible Sales Volume Static Budget Standards
Results Variances Budget Variances

Units Sold 9,500 0 - 9,500 500 U 10,000 1

Revenue $ 748,000 $ 2,500 U $ 750,500 $ 39,500 U $ 790,000 $ 79.000

Variable Costs
Direct Materials-Cotton $ 93,765 $ 3,515 U $ 90,250 $ 4,750 F $ 95,000 $ 9.500
Direct Materials-Fiber $ 187,200 $ 425 F $ 187,625 $ 9,875 F $ 197,500 $ 19.750
Direct Materials-Stuffing $ 27,531 $ 1,026 U $ 26,505 $ 1,395 F $ 27,900 $ 2.790
Direct Mfg. Labor $ 28,000 $ 500 F $ 28,500 $ 1,500 F $ 30,000 $ 3.000
Variable Mfg. Overhead $ 195,000 $ 1,200 U $ 193,800 $ 10,200 F $ 204,000 $ 20.400
Total Variable Costs $ 531,496 $ 4,816 U $ 526,680 $ 27,720 F $ 554,400 $ 55.440

Contribution Margin $ 216,504 $ 7,316 U $ 223,820 $ 11,780 U $ 235,600 $ 23.560

Fixed Manufacturing Costs $ 129,000 $ 1,000 F $ 130,000 $ 0 - $ 130,000

Operating Income $ 87,504 $ 6,316 U $ 93,820 $ 11,780 U $ 105,600

Exhibit 5
Solution - Project Test
Faith’s Country Primitives
Price and Efficiency Variance Report
May-Test 2018
Price or Spending
Efficiency Variance Flexible Budget Variance
Variance

Direct Material-Cotton $ 997.500 F $ 4,512.500 U $ 3,515.000 U

Direct Material-Fiber $ 2,400.000 F $ 1,975.000 U $ 425.000 F

Direct Material-Stuffing $ 1,311.000 U $ 285.000 F $ 1,026.000 U

Direct Labor $ 925.000 U $ 1,425.000 F $ 500.000 F

Variable Overhead $ 3,900.000 F $ 5,100.000 U $ 1,200.00 U

Fixed Overhead $ 1,000.000 F $ - - $ 1,000.000 F

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Exhibit 6
Solution - Project Test

Faith’s Country Primitives

Additional Detailed Work
May-Test 2018

Direct Materials-Cotton

Actual Flex
Output 9,500 9,500

Inputs / Output 2.1000 2.000

Total Input Quantity 19,950.00 19,000.00

Price of Input $ 4.700 $ 4.750

Total Cost $ 93,765.00 $ 90,250.00

Price Variance
Difference in Prices $ 0.050
Total Actual Quantity 19,950.000
$ 997.500 F

Efficiency Variance
Difference in Total Quantity 950.000
Standard Price $ 4.750
$ 4,512.500 U

Flexible Budget Variance $ 3,515.000 U

Direct Materials-Fiber

Actual Flex
Output 9,500 9,500

Inputs / Output 2.5263 2.500

Total Input Quantity 24,000.00 23,750.00

Price of Input $ 7.800 $ 7.900

Total Cost $ 187,200.00 $ 187,625.00

Price Variance
Difference in Prices $ 0.100
Total Actual Quantity 24,000.000
$ 2,400.000 F

Efficiency Variance
Difference in Total Quantity 250.000
Standard Price $ 7.900
$ 1,975.000 U

Flexible Budget Variance $ 425.000 F

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Direct Materials-Stuffing

Actual Flex
Output 9,500 9,500

Inputs / Output 9.200 9.300

Total Input Quantity 87,400.00 88,350.00

Price of Input $ 0.315 $ 0.300

Total Cost $ 27,531.00 $ 26,505.00

Price Variance
Difference in Prices $ 0.015
Total Actual Quantity 87,400.000
$ 1,311.000 U

Efficiency Variance
Difference in Total Quantity 950.000
Standard Price $ 0.300
$ 285.000 F

Flexible Budget Variance $ 1,026.000 U

Direct Labor

Actual Flex
Output 9.500 9.500

Inputs / Output 0.1900 0.200

Total Input Quantity 1,805.00 1,900.00

Price of Input $ 15.512 $ 15.000

Total Cost $ 28,000.00 $ 28,500.00

Price Variance
Difference in Prices $ 0.512
Total Actual Quantity 1,805.000
$ 925.000 U

Efficiency Variance
Difference in Total Quantity 95.000
Standard Price $ 15.000
$ 1,425.000 F

Flexible Budget Variance $ 500.000 F

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Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

Variable Overhead

Actual Flex
Output 9,500 9,500

Inputs / Output 0.4105 0.400

Total Input Quantity 3,900.00 3,800.00

Price of Input $ 50.00 $ 51.00

Total Cost $ 195,000.000 $ 193,800.00

Price Variance
Difference in Prices $ 1.000
Total Actual Quantity 3,900.00
$ 3,900.000 F

Efficiency Variance
Difference in Total Quantity 100.000
Standard Price $ 51.000
$ 5,100.000 U

Flexible Budget Variance $ 1,200.00 U

Fixed Overhead

Actual Flex
Output 9,500 9,500

Total Cost $ 129,000.000 $ 130,000.00

Price Variance

$ 1,000.000 F

Efficiency Variance

$ - -

Flexible Budget Variance $ 1,000.000 F

SECTION 4: TEACHING NOTES AND SUGGESTIONS FOR THE INSTRUCTOR

Cost accounting textbooks typically contain extensive technical coverage of standard costing and variance analysis
in a manufacturing context. Covering the material adequately usually requires multiple class lectures, due to the
complexity of the material. The calculations involved are detailed, multi-step, and can be numerically intensive. In
order to make the material accessible to the learner, most textbook problems focus on the individual steps inherent in
the budgeting, calculation, analysis, and interpretation process of standard costing and variance analysis. This
simplification makes it feasible to deliver the material efficiently in the classroom. However, this pedagogical
efficiency occurs at a cost, in that students may fail to understand the overall process and how the individual steps
are interrelated.

Copyright by author(s); CC-BY 97 The Clute Institute

Journal of Business Case Studies – Fourth Quarter 2017 Volume 13, Number 4

This case has been used over the course of 10 semesters with over 500 students in a junior level Cost Accounting
class for accounting majors. It has proven to be an effective tool for both reinforcing the variance analysis content
that is delivered in the classroom, as well as for giving students an opportunity to practice and extend their Excel
skills.

A few additional details regarding the project appear below.

A. Timing of Assignment. Students seem to benefit most if this project is assigned at the beginning of
the technical coverage of a Standard Costing, Flexible Budgeting, and Variance Analysis content
module. The project can then be referenced and explained as each section of the technical material is
covered.
B. Student Time to Complete. The project generally takes about 4 hours to complete, assuming that the
students have a basic competence with Excel. This seems to hold true whether the project is done
individually or in groups of two students.
C. Project Benefits for Students. As mentioned above, a strong educational benefit of this project is
that it requires students to prepare an entire set of standard costing reports – beginning with the
calculation of a Standard Cost and culminating in the generation of Price and Efficiency Variances.
However, additional significant benefits include:

• Teaching the use of an Input Page that feeds the other worksheets,
• Forcing the extensive use of linking between and within worksheets in a workbook,
• Reinforcing basic Excel skills (summation, referencing, division, etc.),
• Introducing a few more advanced skills (Nested If Statements and Absolute Value Functions), and
• Emphasizing the importance of data organization in analysis and reporting.

AUTHOR BIOGRAPHY

Katherine J. Silvester, Ph.D. is an Associate Professor of Accounting at Siena College in Loudonville, NY. Prior
to joining academia, she was employed in private industry for a decade in various management accounting roles.
Her primary research interests include cost accounting, pricing, and accounting pedagogy. Her previous work has
appeared in journals such as: The Journal of Accounting Case Research, The Journal of Higher Education Theory
and Practice, and The Journal of Cost Management. E-Mail: ksilvester@siena.edu

REFERENCES

Horngren, C., Datar, S., & Rajan, M. (2015). Cost accounting: A managerial emphasis, 15th edition. Upper Saddle
River, New Jersey: Pearson-Prentice Hall.

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