CHAPTER 6. Master Budgeting and Responsibility Accounting
|
|
- Joseph Perkins
- 5 years ago
- Views:
Transcription
1 CHAPTER 6 Master Budgeting and Responsibility Accounting 1
2 Budget Defined The quantitative expression of a proposed plan of action by management for a specified period, and An aid to coordinating what needs to be done to implement that plan May include both financial and nonfinancial data 2
3 The Ongoing Budget Process: 1. Managers and accountants plan the performance of the company, taking into account past performance and anticipated future changes. 2. Senior managers distribute a set of goals against which actual results will be compared. 3. Accountants help managers investigate deviations from budget. Corrective action occurs at this point. 4. Managers and accountants assess market feedback, changed conditions, and their own experiences as plans are laid for the next budget period. 3
4 Strategy, Planning, and Budgets, Illustrated 4
5 Advantages of Budgets Provides a framework for judging performance Motivates managers and other employees Promotes coordination and communication among subunits within the company 5
6 Components of Master Budgets Operating budget building blocks leading to the creation of the budgeted income statement Financial budget building blocks based on the operating budget that lead to the creation of the budgeted balance sheet and the budgeted statement of cash flows 6
7 Basic Operating Budget Steps 1. Prepare the revenues budget. 2. Prepare the production budget (in units). 3. Prepare the direct materials usage budget and direct materials purchases budget. 4. Prepare the direct manufacturing labor budget. 7
8 Basic Operating Budget Steps 5. Prepare the manufacturing overhead costs budget. 6. Prepare the ending inventories budget. 7. Prepare the cost of goods sold budget. 8. Prepare the operating expense (period cost) budget. 9. Prepare the budgeted income statement. 8
9 Basic Financial Budget Steps Based on the operating budgets: 1. Prepare the capital expenditures budget. 2. Prepare the cash budget. 3. Prepare the budgeted balance sheet. 4. Prepare the budgeted statement of cash flows. 9
10 Sample Master Budget, Illustrated 10
11 Example for Preparing the Operational Budget An operating budget for Stylistic Furniture for Two models of granite-top coffee tables: Casual Deluxe. Revenue unrelated to sales, such as interest income, is zero. WIP inventory is negligible and is ignored. Direct materials inventory and finished goods inventory are costed using FIFO method Unit costs of direct materials purchased and unit costs of finished goods sold remain unchanged throughout each budget year but can change from year to year. There are two types of direct materials: red oak (RO) and granite slabs (GS). 11
12 Example for Preparing the Operational Budget Direct manufacturing labor workers are hired on an hourly basis; no overtime is worked. There are two cost drivers for manufacturing overhead costs direct manufacturing labor-hours setup labor-hours. 12
13 Example for Preparing the Operational Budget For computing inventoriable costs, Stylistic allocates All (variable and fixed) manufacturing operations overhead costs using direct manufacturing labor-hours and All machine setup overhead costs using setup labor-hours. Nonmanufacturing costs consist of product design, marketing, and distribution costs. All product design costs are fixed costs for The variable component of marketing costs equals the 6.5% sales commission on revenues paid to salespeople. The variable portion of distribution costs varies with cubic feet of tables moved. 13
14 14
15 15
16 16
17 17
18 18
19 19
20 Schedule 3A 20
21 21
22 Schedule 3B 22
23 Schedule 4 23
24 Setup Hour Calculation Stylistic s managers forecast the following setup information for the Casual and Deluxe tables: 24
25 Schedule 5 25
26 Schedule
27 Finding the rates Manufacturing operations overhead costs are allocated to finished goods inventory at the budgeted rate of $30 per direct manufacturing labor-hour (total budgeted manufacturing operations overhead, $9,000, ,000 budgeted direct manufacturing labor-hours). Machine setup overhead costs are allocated to finished goods inventory at the budgeted rate of $200 per setup-hour (total budgeted machine setup overhead, $3,000,000 15,000 budgeted setup labor-hours 27
28 28
29 Schedule 6-B *Given in the next slide. ** Given in the next slide ***From previous slide 29
30 30
31 Schedule 7 31
32 Schedule 8 Product design costs are fixed costs, determined on the basis of the product design work anticipated for Marketing Cost: The variable component is the commissions paid to sales people equal to 6.5% of revenues. The fixed component equal to $1,330,000 is tied to the marketing capacity for Distribution Cost: The variable component The cost driver of the variable component of budgeted distribution costs is cubic feet of tables moved (Casual: 18 cubic feet 50,000 tables + Deluxe: 24 cubic feet 10,000 tables = 1,140,000 cubic feet). Variable distribution costs equal $2 per cubic foot. The fixed component of budgeted distribution costs equals $1,596,000 and is tied to the distribution capacity for
33 33
34 SENSITIVITY ANALYSIS 34
Master Budget and Responsibility Accounting
Master Budget and Responsibility Accounting 1 Budgeting Cycle Performance planning Providing a frame of reference Investigating variations Corrective action Planning again 2 The Master Budget Master Budget
More informationTHE MASTER BUDGET ET R BUDGE VERVIEW OV. Horngren 13e
Chapter 6: THE MASTER BUDGET Horngren 13e 1 ET R BUDGE W OF THE MASTER VERVIEW OV 2 3 Learning Objective 1: Describe the master budget... The master budget is the initial budget prepared p before the start
More informationBudgeted production = (expected sales) + (expected ending inventory) (expected beginning inventory)
The correct answer is: 86,000 units. Budgeted production is calculated as follows: Budgeted production = (expected sales) + (expected ending inventory) (expected beginning inventory) The expected ending
More informationTHE MASTER BUDGET ET R BUDGE VERVIEW OV. Horngren 13e
Chapter 6: THE MASTER BUDGET Horngren 13e 1 ET R BUDGE W OF THE MASTER VERVIEW OV 2 3 Learning Objective 1: Describe the master budget... The master budget is the initial budget prepared p before the start
More informationThe Basic Framework of Budgeting
7-1 The Basic Framework of Budgeting A budget is a detailed quantitative plan for acquiring and using financial and other resources over a specified forthcoming time period. 1. The act of preparing a budget
More informationChapter 9 Activity-Based Costing
Chapter 9 Activity-Based Costing SUMMARY This chapter deals with the allocation of indirect costs to products. Product cost information helps managers make numerous decisions, such as pricing, keeping
More informationSTANDARD COSTS AND VARIANCE ANALYSIS
STANDARD COSTS AND VARIANCE ANALYSIS Key Terms and Concepts to Know Static or Planning Budgets Used for planning purposes Prepared at the beginning of the period Based on one projected level of activity
More informationMBP1133 Managerial Accounting Prepared by Dr Khairul Anuar
1 MBP1133 Managerial Accounting Prepared by Dr Khairul Anuar L9 Master Budgeting www.notes638.wordpress.com 2 Learning Objective 1 Understand why organizations budget and the processes they use to create
More informationManagerial Accounting
Managerial Accounting Making Decisions and Motivating Performance Srikant M. Datar Madhav V. Rajan PEARSON Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai
More informationIntroduction to Managerial Accounting and Job Order Cost Systems p. 1 The Differences Between Managerial and Financial Accounting p.
Introduction to Managerial Accounting and Job Order Cost Systems p. 1 The Differences Between Managerial and Financial Accounting p. 2 The Management Accountant in the Organization p. 4 Manufacturing Cost
More informationHigher National Diploma in Accountancy Third Year, First Semester Examination 2014 DA3101-Advanced Management Accounting
[All Rights Reserved] SLIATE SLIAE SRI LANKA INSTITUTE OF ADVANCED TECHNOLOGICAL EDUCATION (Established in the Ministry of Higher Education, vide in Act No. 29 of 1995) Higher National Diploma in Accountancy
More informationBrief Contents. Preface xv Acknowledgements xix
Brief Contents Preface xv Acknowledgements xix PART ONE Foundations of Management Accounting 1 Chapter 1 Why Management Accounting Matters 3 Chapter 2 Cost Concepts and Classifications 27 Chapter 3 Cost
More informationManagement Accounting: Costing (MMAC)
Management Accounting: Costing (MMAC) Question and answer book October 2018 AAT is a registered charity. No. 1050724 Questions Question 1 Buzz Electrics pays its production workers a group bonus of 20%
More informationPaper 1. Question The accuracy of entries into staff records. (1) No person may make a false entry in a record maintained.
Paper 1 Question 1 1.1. The place and function of cost accounting. (8) Cost accounting is the process (1) to compile the cost of producing (1) a certain product, and this will include services and activities.
More informationThe Manager and Management Total Costs and Unit Costs 57 Accounting 24 Unit Costs 57 Use Unit Costs Cautiously 57. Are Up Costs and Period Costs 58
The Manager and Management Total Costs and Unit Costs 57 Accounting 24 Unit Costs 57 Use Unit Costs Cautiously 57 Pnc.ng: Downloads Are Down, but Profits Sectors, Types of Inventory, Inventoriable Are
More informationAFM481 - Advanced Cost Accounting Professor Grant Russell Final Exam Material. Chapter 10: Static and Flexible Budgets
AFM481 - Advanced Cost Accounting Professor Grant Russell Final Exam Material Chapter 10: Static and Flexible Budgets Budget: formalized financial plan for operations of an organization for a specified
More informationLecture 16 Flexible Budgets and Variance Analysis
Economics, Management and Entrepreneurship Prof. Pratap K. J. Mohapatra Department of Industrial Engineering & Management Indian Institute of Technology - Kharagpur Lecture 16 Flexible Budgets and Variance
More informationLO 1: Budgeting. Terms Budget Sales forecast Budget committee Participative budgeting Budgetary slack
Terms Budget Sales forecast Budget committee Participative budgeting Budgetary slack LO 1: Budgeting Long-range planning Master budget Operating budget Financial budget Benefits of Budgeting: Planning
More informationCost Accounting, 14e (Horngren/Datar/Rajan) Chapter 8 Flexible Budgets, Overhead Cost Variances, and Management Control
Cost Accounting, 14e (Horngren/Datar/Rajan) Chapter 8 Flexible Budgets, Overhead Cost Variances, and Management Control Objective 8.1 1) Overhead costs have been increasing due to all of the following
More informationREVIEW FOR FINAL EXAM, ACCT-2302 (SAC)
1. Types of Cost Classification REVIEW FOR FINAL EXAM, ACCT-2302 (SAC) CHAPTER 16 a. By Behavior: (1) Variable Cost - constant per unit, changes proportionally with volume. (2) Fixed Cost - fixed in total
More information2016 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC9: COSTING AND BUDGETARY CONTROL
EXAMINATION NO. 2016 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC9: COSTING AND BUDGETARY CONTROL THURSDAY 2 JUNE 2016 TIME ALLOWED : 3 HOURS 9.00 AM - 12.00 NOON INSTRUCTIONS 1. You are allowed
More informationYOU MUST COMPLETE THIS ASSIGNMENT IF YOU ARE REGISTERED FOR THE FIRST OR SECOND SEMESTER.
ASSIGNMENT 03/2016, FIRST AND SECOND SEMESTER YOU MUST COMPLETE THIS ASSIGNMENT IF YOU ARE REGISTERED FOR THE FIRST OR SECOND SEMESTER. THIS ASSIGNMENT IS FOR SELF-ASSESSMENT AND SHOULD NOT BE SUBMITTED
More information2017 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC 9: COSTING & BUDGETARY CONTROL
EXAMINATION NO. 2017 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC 9: COSTING & BUDGETARY CONTROL THURSDAY 1 JUNE 2017 TIME ALLOWED: 3 HOURS 9.00 AM - 12.00 NOON INSTRUCTIONS 1. You are allowed
More informationMcGraw-Hill /Irwin McGraw-Hill /Irwin McGraw-Hill /Irwin McGraw-Hill /Irwin Advantages McGraw-Hill /Irwin McGraw-Hill /Irwin
7-1 Today s LEcture Management Accounting Lecture 11 (Chapter 7) Profit Planning n What is a n Why and how organizations n ing n Sales n Production n Sales & Administration n Balance Sheet Items n Working
More informationVII. Categorias, Flujos y Asignacion de Costos
VII. Categorias, Flujos y Asignacion de Costos Exercise 11-3A Event Balance Sheet Income Statement No. Assets = Liab. + Com. Stk. + Ret. Ear. Rev. - Exp. = Net Inc. a. I D = NA + NA + NA NA NA = NA b.
More informationCORNERSTONES. of Managerial Accounting. Dan L. Heitger. Maryanne M. Mowen. Don R. Hansen. Miami University ~ Oxford. Oklahoma State University
FUNDAMENTAL CORNERSTONES of Managerial Accounting Dan L. Heitger Miami University ~ Oxford Maryanne M. Mowen Oklahoma State University ;... ^.. _ ;... Don R. Hansen Oklahoma State University THOMSON SOUTH-WESTERN
More informationRevision of management accounting
1 Revision of management accounting The following topics are covered in this chapter: Standard costing Flexible budgeting Absorption and marginal costing 1.1 STANDARD COSTING LEARNING SUMMARY After studying
More informationSAMPLE QUESTIONS - PART 2
Section A. Budget Preparation SAMPLE QUESTIONS - PART 2 1. Trumbull Company has budgeted sales on account of $120,000 for July, $210,000 for August, and $195,000 for September. Collection experience indicates
More information(59) MANAGEMENT ACCOUNTING & BUSINESS FINANCE
All Rights Reserved THE ASSOCIATION OF ACCOUNTING TECHNICIANS OF SRI LANKA FINAL EXAMINATION JULY 2013 (59) MANAGEMENT ACCOUNTING & BUSINESS FINANCE Time: 03 hours Instructions to candidates: (1) This
More informationIndex COPYRIGHTED MATERIAL
A ABC (activity-based costing). See also costs; peanut butter costing allocating indirect costs, 77 78 allocations to cost pools, 79 analyzing cost activities, 78 79 applying to bottlenecks, 353 applying
More informationACCY 121 Chapter 16 Practice Quiz Fundamentals of Variance Analysis (1)
ACCY 121 Chapter 16 Practice Quiz Fundamentals of Variance Analysis (1) 101. The Hageness Company has had great difficulty in controlling overhead costs. At a recent convention, the president heard about
More informationP1 Performance Operations September 2014 examination
Operational Level Paper P1 Performance Operations September 2014 examination Examiner s Answers Note: Some of the answers that follow are fuller and more comprehensive than would be expected from a well-prepared
More information12 Months Master Pay Scale Salary Table
B-1 Master Pay Scale Salary Table 2017-2018 An employee who does not earn a credited year of service and/or who remains on the same pay step for any other reason (such as being at the maximum pay step)
More informationProduct costing (process costing) In Class Exercise
Product costing (process costing) In Class Exercise makes stained glass lamps. Production process uses two departments: cutting department and assembly department where they are put together. Record the
More informationBALIUAG UNIVERSITY CPA REVIEW MANAGEMENT ADVISORY SERVICES STANDARD COST AND VARIANCE ANALYSIS THEORY
STANDARD COST AND VARIANCE ANALYSIS THEORY 1. How is labor rate variance computed? a. The difference between standard and actual rate multiplied by actual hours b. The difference between standard and actual
More informationOM and Finance Interface
OM and Finance Interface Chapter 5 These slides are based in part on slides that come with Cachon & Terwiesch book Matching Supply with Demand http://cachon-terwiesch.net/3e/. If you want to use these
More informationSCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME
All Rights Reserved No. of Pages - 12 No of Questions - 07 SCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME YEAR I SEMESTER I (Intake V Group A) END SEMESTER
More informationFill-in-the-Blank Equations. Exercises
Chapter 26 Cost Allocation and Activity-Based Costing Study Guide Solutions Fill-in-the-Blank Equations 1. Total budgeted plantwide allocation base 2. Department factory overhead rate 3. Ratio of allocation
More informationExam: RR - Budgeting; Standard Cost Accounting
Exam: 061572RR - Budgeting; Standard Cost Accounting When you have completed your exam and reviewed your answers, click Submit Exam. Answers will not be recorded until you hit Submit Exam. If you need
More informationThe budgeted information on the two business opportunities that Green Bush records are currently considering investing in is as follows:
ICB Cost and Management Accounting Playlist Handbook SECTION A: REVISION VIDEO QUESTIONS Break-even analysis The budgeted information on the two business opportunities that Green Bush records are currently
More informationWEEK 6 OPERATING BUDGETS (MANUFACTURING ORGANISATIONS) Case Study. The budgets that you need to prepare include:
WEEK 6 OPERATING BUDGETS (MANUFACTURING ORGANISATIONS) Case Study manufactures cardboard boxes which are used for transporting very special toys to toy stores all around Australia. You have already been
More information8. BUDGETARY CONTROL
1. DEFINE THE TERM BUDGET. 8. BUDGETARY CONTROL Definition: Budget is a financial and /or quantitative statement, prepared and approved prior to a defined Period of time of the policy to be pursued during
More informationOsborne Books Tutor Zone. Elements of Costing. Answers to chapter activities
Osborne Books Tutor Zone Elements of Costing Answers to chapter activities Osborne Books Limited, 2016 2 e l e m e n t s o f c o s t i n g t u t o r z o n e 1 The costing system 1.1 (a) and (c) Materials;
More informationBudgets and Budgetary Control. By: CA Kapileshwar Bhalla
Budgets and Budgetary Control By: CA Kapileshwar Bhalla Learning Objectives Understand the objectives and importance of budgeting and budgetary control Understand the Advantages and disadvantages of budgetary
More informationPreparing and using budgets
Osborne Books Tutor Zone Preparing and using budgets Chapter activities Osborne Books Limited, 2013 2 p r e p a r i n g a n d u s i n g b u d g e t s t u t o r z o n e 1 The budgeting environment 1.1 Match
More informationBudgetary Planning. Managerial Accounting, Fourth Edition. Chapter 9-2
9-1 CHAPTER 9 Budgetary Planning Managerial Accounting, Fourth Edition 9-2 Study Objectives 1. Indicate the benefits of budgeting. 2. State the essentials of effective budgeting. 3. Identify the budgets
More informationChapter 10 Standard Costs and Variances
Chapter 10 Standard Costs and Variances Solutions to Questions 10-1 A quantity standard indicates how much of an input should be used to make a unit of output. A price standard indicates how much the input
More informationINDUSTRIAL BUDGETING AND COST ANALYSIS
C h a p t e r INDUSTRIAL BUDGETING AND COST ANALYSIS 10.1 INTRODUCTION Everybody is familiar with the idea of a plan. Not only in business, but in private life also people make plans though there are considerable
More informationPrepare the following budgets for the year, showing both quarterly and total figures:
Page 1 of 7 Question 1 Mynor Corporation manufactures and sells a seasonal product that has peak sales in the third quarter. The following information concerns operation for Year 2-the coming year-and
More informationFINALTERM EXAMINATION. Spring MGT402- Cost & Management Accounting (Session - 2)
FINALTERM EXAMINATION Spring 2009 MGT402- Cost & Management Accounting (Session - 2) Question No: 1 ( Marks: 1 ) - Please choose one All of the following indicate the problems in traditional budget EXCEPT:
More informationProfit Planning: REVISION
Profit Planning: REVISION rue / False Questions No statement /F 1 he production budget is typically prepared prior to the sales budget. F 2 One benefit of budgeting is that it coordinates the activities
More informationMGT402 Cost & Management Accounting. Composed By Faheem Saqib MIDTERM EXAMINATION. Spring MGT402- Cost & Management Accounting (Session - 1)
MGT402 Cost & Management Accounting Composed By Faheem Saqib 14 Midterm Papers 3 of 2010 & 11 of 2009 For more Help Rep At Faheem_saqib2003@yahoo.com Faheem.saqib2003@gmail.com 0334-6034849 MIDTERM EXAMINATION
More informationChapter 10 Process Costing Ibrahim Sameer (MBA - Specialized in Finance, B.Com Specialized in Accounting & Marketing)
Chapter 10 Process Costing Ibrahim Sameer (MBA - Specialized in Finance, B.Com Specialized in Accounting & Marketing) The Basic of Process Costing Process costing is a costing method used where it is not
More informationChapter 10 Static and Flexible Budgets
Cost Management Measuring, Monitoring, and Motivating Performance Chapter 10 Static and Flexible Budgets Prepared by Gail Kaciuba Midwestern State University Eldenburg & Wolcott s Cost Management, 1e Slide
More informationPaper 8- Cost Accounting
Paper 8- Cost Accounting Dos, The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) Page 1 Paper 8- Cost Accounting Full Marks : 100 Time allowed: 3 hours Section A Question
More informationDecember CS Executive Programme Module - I Paper - 2
December - 2015 CS Executive Programme Module - I Paper - 2 (New Syllabus) Cost and Management Accounting Total number of questions: 100 Maximum marks: 100 Assertion A: 1. In management accounting, firm
More informationMANAGEMENT ACCOUNTING
MANAGEMENT ACCOUNTING FORMATION 2 EXAMINATION - AUGUST 2011 NOTES: Section A - Questions 1 and 2 are compulsory. You have to answer Part A or Part B only of Question 2. (If you provide answers to both
More informationICAN MID DIET LIVE CLASS FOR MAY DIET 2015 PERFORMANCE MANAGEMENT
ICAN MID DIET LIVE CLASS FOR MAY DIET 2015 PERFORMANCE MANAGEMENT PERFORMANCE MEASUREMENT NON- FINANCIAL MEASUREMENT PERFOMANCE MEASUREMENT OF A NON- PROFIT ORGANISATION DIVISIONAL PERFORMANCE MEASURE
More informationCode No. : Sub. Code : R 3 BA 52/ B 3 BA 52
(8 pages) Reg. No. :... Sub. Code : R 3 BA 52/ B 3 BA 52 B.B.A. (CBCS) DEGREE EXAMINATION, NOVEMBER 2014. Fifth Semester Business Administration Main MANAGEMENT ACCOUNTING (For those who joined in July
More informationBUDGETING AND PROFIT PLANNING
BUDGETING AND PROFIT PLANNING Key Terms and Concepts to Know Profit Planning and Budgeting: Profit plan is the steps taken by the business to achieve their planned levels of profits. Budget is a quantitative
More informationACCA. Paper F2 and FMA. Management Accounting December 2014 to June Interim Assessment Answers
ACCA Paper F2 and FMA Management Accounting December 204 to June 205 Interim Assessment Answers To gain maximum benefit, do not refer to these answers until you have completed the interim assessment questions
More informationManagerial Accounting Prof. Dr. Varadraj Bapat Department of School of Management Indian Institute of Technology, Bombay
Managerial Accounting Prof. Dr. Varadraj Bapat Department of School of Management Indian Institute of Technology, Bombay Lecture - 29 Budget and Budgetary Control Dear students, we have completed 13 modules.
More informationADMINISTRATIVE PROCEDURE MANUAL
04-0101 1 OF 1 SECTION 4 Finance November 2, 1987 The purpose of this section is to outline the overall purpose for and extent of the Administrative and Business Services Volume of the Administrative Procedures
More informationDisclaimer: This resource package is for studying purposes only EDUCATIO N
Disclaimer: This resource package is for studying purposes only EDUCATIO N Chapter 9: Budgeting The Basic Framework of Budgeting Master budget - a summary of a company s plans in which specific targets
More informationMGT402 Short Notes Lecture 23 to 45 By
MGT402 Short Notes Lecture 23 to 45 By http://vustudents.ning.com Lec # 23 PROCESS COSTING SYSTEM (Opening balance of work in process) Two methods of cost allocation (1) The weighted average (or averaging)
More informationPrinciples of Managerial Accounting
GALILEO, University System of Georgia GALILEO Open Learning Materials Business Administration, Management, and Economics Open Textbooks Business Administration, Management, and Economics Spring 2019 Principles
More informationMERMAID. Manufacturers of surf gear Established The firm
BOARDIES @ MERMAID Manufacturers of surf gear Established 1960 The firm Boardies @ Mermaid (Boardies) is a manufacturer of items of surf gear. What began as a small family business has now grown into a
More informationActivity-cost driver. 90,000 orders 15,000 maintenance hours 45,000 setups 21,000 inspections
~Pff~53U: ~~f4 : :iljg;tbwj : 0223 ep.:;;: : 3 Answer questions (1) to (4) using the information below: Mayan Potters manufactures two sizes of ceramic paperweights, regular and jumbo. TI1e following information
More informationCOMMERCE & LAW PROGRAM DIVISION (CLPD) ANSWER KEY TO CS-EXECUTIVE DECEMBER-2014 (ATTEMPT) CODE-C SUBJECT : COST & MANAGEMENT ACCOUNTING
COMMERCE & LAW PROGRAM DIVISION (CLPD) ANSWER KEY TO CS-EXECUTIVE DECEMBER-2014 (ATTEMPT) CODE-C SUBJECT : COST & MANAGEMENT ACCOUNTING 1. If the minimum stock level and average stock level of raw material
More informationP1 Performance Operations September 2013 examination
Operational Level Paper P1 Performance Operations September 2013 examination Examiner s Answers Note: Some of the answers that follow are fuller and more comprehensive than would be expected from a well-prepared
More informationCourse # Cost Management : Accounting and Control
Course # 171023 Cost Management : Accounting and Control based on the electronic.pdf file(s): Cost Management : Accounting and Control by: Dr. Jae K. Shim, Ph.D., 2009, 306 pages 20 CPE Credit Hours Accounting
More informationALLAMA IQBAL OPEN UNIVERSITY ISLAMABAD (Department of Business Administration) COST ACCOUNTING (186) CHECKLIST SEMESTER: SPRING 2014
Final on 13-3-2014 ALLAMA IQBAL OPEN UNIVERSITY ISLAMABAD (Department of Business Administration) COST ACCOUNTING (186) CHECKLIST SEMESTER: SPRING 2014 This packet comprises the following material: 1.
More information137,000 lbs 140,000 lbs 158,000 lbs 160,000 lbs
FINALTERM EXAMINATION Fall 2008 MGT402- Cost & Management Accounting (Session - 1) Marks: 80 Question No: 1 ( Marks: 1 ) - Please choose one Superior Products makes a special ski. Next year Superior expects
More informationQuestion Paper Management Accounting (MB161) : October 2004
Question Paper Management Accounting (MB161) : October 2004 Answer all questions. Marks are indicated against each question. 1. A Balance Sheet account, which has significant overlap between Managerial
More informationFINALTERM EXAMINATION Fall 2009 MGT402- Cost & Management Accounting (Session - 3) Solved by vuzs Team Mehreen Humayun
FINALTERM EXAMINATION Fall 2009 MGT402- Cost & Management Accounting (Session - 3) Solved by vuzs Team Mehreen Humayun www.vuzs.net Question No: 1 ( Marks: 1 ) - Please choose one All of the following
More information5_MGT402_Spring_2010_Final_Term_Solved_paper
5_MGT402_Spring_2010_Final_Term_Solved_paper http://vustudents.ning.com Question No: 1 ( Marks: 1 ) - Please choose one BDH produced 30,500 units of Kisty (a product). Each unit of Kisty takes two units
More informationFree of Cost ISBN : Appendix. CMA (CWA) Inter Gr. II (Solution upto Dec & Questions of June 2013 included)
Free of Cost ISBN : 978-93-5034-631-0 Appendix CMA (CWA) Inter Gr. II (Solution upto Dec. 2012 & Questions of June 2013 included) Paper - 8 : Cost and Management Accounting Chapter - 3 : Labour Accounting
More informationTHE PUBLIC ACCOUNTANTS EXAMINATION COUNCIL OF MALAWI 2011 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC9: COSTING AND BUDGETARY CONTROL
EXAMINATION NO. THE PUBLIC ACCOUNTANTS EXAMINATION COUNCIL OF MALAWI 2011 EXAMINATIONS ACCOUNTING TECHNICIAN PROGRAMME PAPER TC9: COSTING AND BUDGETARY CONTROL TUESDAY 7 JUNE 2011 TIME ALLOWED : 3 HOURS
More informationSales Budget. Production Budget
F2 - LECTURE EXAMPLE 9 Budgeted sales in units Selling Price Budgeted total sales Sales Budget April May June Q2 Totals Ref. 1,000 1,200 1,800 4,000 SB1 400 400 380 400,000 480,000 684,000 1,564,000 SB2
More informationChapter 11 Flexible Budgets and Overhead Analysis
Chapter 11 Flexible Budgets and Overhead Analysis Solutions to Questions 11-1 A static budget is a budget prepared for a single level of activity. The static budget is not adjusted even if the activity
More informationJanuary 10,000 units February 15,000 units. 15,000 units
In Class #9.1 Prepare the sales budget Royal Company is preparing budgets for the quarter ending June 30 th. Actual sales for January to March are as follows: Month Sales Budget January 10,000 units February
More informationDistractor B: Candidate gets it wrong way round. Distractors C & D: Candidate only compares admin fee to cost without factor.
Answers ACCA Certified Accounting Technician Examination, Paper T10 Managing Finances June 2010 Answers Section A 1 D 2 A 365/ 23 100 1 173 % 100 1 = 365/ 23 1 1+ 1 173 99 = % Candidates should answer
More informationDr. M.D. Chase Accounting 610 Examination 1 Chapters 1-8,11 Horngren et.al. 15 th. Spring 2011
Exam No: Dr. M.D. Chase Accounting 610 Examination 1 Chapters 1-8,11 Horngren et.al. 15 th Spring 2011 Business ethics are the cornerstone of a successful free enterprise economy. Personal ethics are the
More informationIbrahim Sameer (MBA - Specialized in Finance, B.Com Specialized in Accounting & Marketing)
Ibrahim Sameer (MBA - Specialized in Finance, B.Com Specialized in Accounting & Marketing) Variances A variance is the difference between a planned, budgeted, or standard cost and the actual cost incurred.
More informationP1 - Performance operations May-10 Sep-10 Nov-10 Mar-11 May-11 Sep-11 Nov-11 Mar-12 May-12 Sep-12 A - Cost accounting systems (30%) Q3a 4 marks
A - Cost accounting systems (30%) 1. Discuss costing methods and their results (i) (ii) (a) compare and contrast marginal (or variable), throughput and absorption accounting methods in respect of profit
More informationMTP_Intermediate_Syllabus 2008_Jun2015_Set 2
Paper 8: Cost & Management Accounting Time Allowed: 3 Hours Full Marks: 100 Question No 1 is Compulsory. Answers any five Questions from the rest. Working Notes should form part of the answer. Question.1
More informationAnswers A, B and C are all symptoms of overtrading whereas answer D is not as it deals with long term financing issues.
SECTION A 20 MARKS Question One 1.1 The answer is D Overtrading occurs when a company has inadequate finance for working capital to support its level of trading. The company is growing rapidly and is trying
More informationJob Costing Cost Accounting Horngreen, Datar, Foster 1
Job Costing 1 Building Block Concepts of Costing Systems The following five terms constitute the building blocks that will be used in this chapter: 1 A cost object is anything for which a separate measurement
More informationAnswer FOUR questions; THREE questions from Section A and ONE question from section B.
UNIVERSITY OF EAST ANGLIA Norwich Business School UG Main Series Examination 2012-13 MANAGEMENT ACCOUNTING NBS-2F1Y Time allowed: 3 hours Answer FOUR questions; THREE questions from Section A and ONE question
More informationOsborne Books Tutor Zone. Elements of Costing. Practice assessment 2
Osborne Books Tutor Zone Elements of Costing Practice assessment 2 Osborne Books Limited, 2016 2 e l e m e n t s o f c o s t i n g t u t o r z o n e Task 1 Identify the following statements as being true
More informationFixed predetermined manufacturing overhead absorption rate = $450,000/50,000 = $9 per machine hours
Cost-volume-profit analysis HKDSE (2016, 3) (Cost-Volume-profit analysis) Thomson Company computes its annual predetermined manufacturing overhead absorption rate on the basis of machine hours. In December
More informationFINALTERM EXAMINATION Fall 2009 MGT402- Cost & Management Accounting (Session - 3) Ref No: 1232793 Time: 120 min : 84 Student Info ExamDate: 2/22/2010 12:00:00 AM For Teacher's Use Only Q 1 2 3 4 5 6 7
More informationCost Accounting. Level 3. Model Answers. Series (Code 3016) 1 ASE /2/06
Cost Accounting Level 3 Model Answers Series 3 2007 (Code 3016) 1 ASE 3016 2 06 1 3016/2/06 >f0t@w9w2`?[6zbkbwgc# Cost Accounting Level 3 Series 3 2007 How to use this booklet Model Answers have been developed
More informationAnswer to MTP_ Final _Syllabus 2012_Dec2016_Set 2 Paper 19: Cost and Management Audit
Paper 19: Cost and Management Audit Academics Department, The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) Page 1 Paper 19 - Cost and Management Audit Full Marks :
More informationChapter 11 Standard Costs and Variance Analysis
Chapter 11: Standard Costs and Variance Analysis 229 Chapter 11 Standard Costs and Variance Analysis LEARNING OBJECTIVES Chapter 11 addresses the following questions: LO1 LO2 LO3 LO4 LO5 LO6 LO7 LO8 Explain
More informationMock One. Performance Management F5PM-MK1-Z16-A. Answers & Marking Scheme. Becker Study School DeVry/Becker Educational Development Corp.
Mock One Performance Management F5PM-MK-Z6-A Answers & Marking Scheme 206 DeVry/Becker Educational Development Corp. Question Answer Mark Question Answer Mark Section A Section B D 6 A 2 C 7 A 3 C 8 A
More informationMTP_Intermediate_Syllabus 2016_Dec2017_Set 1 Paper 8 Cost Accounting
Paper 8 Cost Accounting Academics Department, The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) Page 1 Paper 8 Cost Accounting Full Marks : 100 Time allowed: 3 hours
More informationACC406 Tip Sheet. Direct Labour (DL): labour that is directly attributable to the goods and service that are being produced by a firm.
ACC406 Tip Sheet Definitions Direct Cost: a cost that can be easily allocated to a certain object. Variable Cost (VC): a cost that changes in direct relation to output (output increases VC increases) Fixed
More informationProfit Planning DISCUSSION QUESTIONS
9 DISCUSSION QUESTIONS 1. Budgets are the quantitative expressions of plans. Budgets are used to translate the goals and strategies of an organization into operational terms. 2. Control is the process
More informationAPPLICATION OF MANAGEMENT ACCOUNTING TECHNIQUES. Department of Management Accounting
MAC3701/203/3/2015 Tutorial Letter 203/3/2015 APPLICATION OF MANAGEMENT ACCOUNTING TECHNIQUES MAC3701 SEMESTE 1 and SEMESTE 2 Department of Management Accounting This tutorial letter contains important
More information