This paper introduces and analyzes a monopolistically competitive model of airline markets which takes account of the product differentation effect resulting from variation in flight departure times, and the effects of flight frequency and load factor on service quality. The basic results are that (1) when the direct benefits (to consumers) of increasing flight frequency are exhausted, socially optimal choices of price and frequency result in zero profits for the industry, but (2) a noncooperative, free entry equilibrium always results in higher prices, lower load factors, and greater frequency than are socially optimal.

This note considers two single-machine multi-product scheduling problems with deterministic demand that have appeared in the management science literature: the economic lot scheduling problem and the joint replenishment problem. These problems are shown to be closely related. In addition, they are shown to be nearly identical to a one-warehouse, several-retailer inventory problem. As a consequence, any algorithm which solves one of the problems also solves the other two problems.

Abstract ABSTRACT: Two graphs are constructed to show (1) the effects of sales level changes on absorption costing income (at any specified production volume) and, (2) the effects of production volume changes on absorption costing income (at any specified sales level). Each construction is based on a graph of direct costing income with the result that a useful picture of the relationship between direct and absorption costing income is obtained.

Abstract ABSTRACT: Few of the reported studies of innovative techniques for accounting education have found significant improvements in students' performance and attitude. This paper reports on an experimental study in an elementary managerial accounting class using an innovative teaching methodology, The Personalized System of Instruction (PSI). The PSI teaching method was selected for testing because studies in other academic disciplines had found that PSI classes performed better and had better attitudes than traditional lecture/discussion classes. The present study found significantly better performance and attitudes in PSI taught sections of an elementary managerial accounting class. The study also found a higher course drop-out rate for the PSI taught sections.

The group decision making approaches investigated utilized a problem requiring high technical quality and high participant acceptance for the successful solution. A leader skill oriented approach (PCL) proved superior on the major variable of effectiveness. Questions are raised regarding the relationship of the problem to the group process employed.

This article presents a review of the book ?Business in Literature,? edited by Charles Burden, Elke Burden, Sterling Eisiminger and Lynn Ganim.

Decision-makers spend their professional lives identifying situations that merit action. Nutt defines this process of placing problems in action or deferred categories as "managerial diagnosis." It is felt that this is a critical aspect of managerial action because it rests on assumptions that need to be considered in project planning and evaluation. To facilitate future studies of the effectiveness of managerial behavior, a framework of fourteen propositions which describe the process of managerial diagnosis is presented. The author says that: 1) the manager will defer those perceptions where performance exceeds expectations; 2) decision-makers are goaded into evaluation (a process used to measure performance or comparative alternatives) by stimuli such as conflict, uncertain performance, and uncertain expectations; and 3) evaluation findings are deemed acceptable only when they reduce conflict.

Abstract The article presents a reply to a comment made by Kenneth Brooks and Richard Schroeder on an article by the author, "Management Strategy in a Large Accounting Firm." In regard to the comment that the time frame chosen was not appropriate, the author responds that the time frame chosen was probably the most appropriate of any that could have been chosen, in that it was a cross-section of all of the activities that the firm is engaged in and not merely auditing. The full range of activities was observed, including field auditing situations. Indeed, it was found that observing field auditing was not particularly helpful towards developing an understanding of management strategy, and that it was only in the office environment that such strategy was fully revealed. Although it was imperative that client confidentiality be maintained, there were no impediments placed in the way of observation by management of the firm. The author does not believe that he implied that all successful firms follow the same strategy which he observed. In fact, the paper specifically indicates that this was a model of a successful firm, not all successful firms.

Commonly defined, a market is efficient if prices always fully reflect available information. That market might be viewed as consisting of two major segments: an information market and pricing mechanism. The efficiency has been amply documented elsewhere. The information market, however, should be afforded increased attention. In particular, the efficiency of the information market may vary across securities and with respect to particular securities, across time. Stated another way, the degree of imperfection in the information market may vary across securities and across time, resulting in a relative efficiency phenomenon. The presence of such a phenomenon would offer research opportunities yielding a greater understanding of the functioning of the information market and the pricing of securities.