Fifth edition Alnoor Bhimani Charles T. Horngren Srikant M. Datar Madhav V. Rajan Farah Ahamed



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solutions-manual-to-bhimani-et-al-management-and-cost-accounting-pearson-2012-1
Solutions to exercises
22.12 Strategy, balanced scorecard.
(30 min)
1
Meredith Ltd follows a product differentiation strategy in 2012. Meredith’s DH machine is distinct from its competitors and generally regarded as superior to competitors products. To succeed, Meredith must continue to differentiate its product and charge a premium price.
2
Balanced Scorecard measures for 2012 areas follows
Financial perspective
(1) Increase in operating income from charging higher margins, (2) price premium earned on products. These measures indicate whether Meredith has been able to charge premium prices and achieve operating income increases through product differentiation.

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