P1 Performance Operations
|
|
- Nancy Henderson
- 6 years ago
- Views:
Transcription
1 Operational Level Paper P1 Performance Operations Examiner s Answers SECTION A Answer to Question One 1.1 The correct answer is D. 1.2 ( ) = 108 days The correct answer is C. 1.3 $46,000/$250,000 = 18 4% The correct answer is A. 1.4 The lowest profit in each case is when the weather is bad. If the maximin rule is applied, the highest profit when the weather is bad is $1,000 i.e. 1,000 burgers. The correct answer is A. May P1
2 1.5 Weather Minimax Regret Table No of burgers purchased 1, Bad $0 ($1,000) ($2,000) ($4,000) Average ($4,000) ($1,000) $0 ($1,000) Good ($9,000) ($6,000) ($3,000) $0 The maximum regret for 1,000 burgers is $9,000 The maximum regret for 2,000 burgers is $6,000 The maximum regret for 3,000 burgers is $3,000 The maximum regret for 4,000 burgers is $4,000 Therefore if he wants to minimise the maximum regret he will purchase 3,000 burgers. The correct answer is C. 1.6 Payment will be made 50 days early. Number of compounding periods = 365/50 = r = r = The cost of offering the discount is 20 3% 1.7 $ $ $ 140,000-50,000 = 90,000 Joint probability is (0 45 x 0 25) = ,000-50,000 = 110,000 Joint probability is (0 25 x 0 25) = ,000-60,000 = 100,000 Joint probability is (0 25 x 0 35) = ,000-70,000 = 90,000 Joint probability is (0 25 x 0 40) = Alternatively: $140,000 $50,000 = $90,000 Joint probability is (0 45 x 0 25) = At cash inflows of $160,000, net cash flows are all greater than $90,000 therefore probability is The probability is 36 25% P1 2 May 2010
3 1.8 Interest is 80/900 i.e. 8 9% plus capital gain at maturity of $100 therefore discount initially at 10%. Cash flows Discount 10% PV of cash flows Discount 12% PV of cash flows $ $ $ Year 0 (900) (900 00) (900 00) Year Year 4 1, NPV By interpolation: 10% + (2% (36 6/( )) = 11 27% May P1
4 SECTION B Answer to Question Two (a) (i) < 1 month 1-2 months 2-3 months >3 months Balance $ $ $ $ $ (ii) (a) (b) (c) (d) Examiner s note: the question asks for two benefits. Examples of points that would be rewarded are given below. Can be used to help decide what action should be taken about debts that have been outstanding for longer than the specified credit period. Provides information about the efficiency of cash collection. Can provide information to assist in setting and monitoring collection targets for the credit control section. Provides information that can be used in setting a bad debt provision. (b) (i) EOQ 2x64,000x150 = ,000 Total cost of inventory management is: Cost of ordering inventory + cost of holding inventory DCo ChQ 64, ,000 + = + Q 2 4,000 2 = $2,400 + $2,400 = $4,800 (ii) One week s usage = 64,000/52 = 1,231 Inventory reorder level = 3 x 1,231 = 3,693 units P1 4 May 2010
5 (c) The traditional approach to determine material requirements is to monitor inventories constantly; whenever they fall to a predetermined level, a preset order is placed to replenish them. This traditional approach (involving re-order levels and economic order quantity calculations) originates in the pre-computer era. A manufacturing resource planning system is a fully integrated computerised planning approach to the management of all the company s manufacturing resources including inventory, labour and machine capacity. It seeks to ensure that resources are available just before they are needed by the next stage of production or despatch. It also seeks to ensure that resources are delivered only when required so that raw material inventory is kept to a minimum. The technique enables managers to track orders through the manufacturing process and helps the purchasing and production control departments to move the right amount of material or sub-assemblies at the right time to the right place. The current inventory management system relies on the assumption that there is constant demand. An MRP system begins with the setting of a master production schedule specifying both the timing and quantity demanded of each of the finished goods items and then works backwards to determine the resource requirements at each stage of the production process. It aims to generate a planned schedule of materials requirements after taking account of scheduled receipts, projected inventory levels and items already allocated to production. The EOQ model can be used within MRP provided that the major assumption in the EOQ model of constant demand applies. (d) Under an activity based budgeting (ABB) system, resource allocation is linked to the strategic plan and is prepared after considering alternative strategies. This approach ensures that new activities that are required to meet the company s strategic objectives are included in the budget. Under a traditional incremental budgeting system the focus is on existing resources and operations. Adjustments are then made for changes in activity and price which results in past inefficiencies being perpetuated. Under an activity based budgeting system, only resources that are needed to perform activities required to meet the budgeted production and sales volumes are included. Activity based techniques including activity based budgeting focus on the outputs of a process rather than the input to the process. This approach provides a clear framework for understanding the link between costs and the level of activity. It allows the ranking of activities and the determination of how limited resources should be allocated across competing activities. Traditional budgeting systems present costs under functional headings i.e. the emphasis is on the nature of the cost. The weakness of this approach is that it gives little indication of the link between the level of activity and the cost incurred. The approach under a traditional system is to make arbitrary cuts in order to meet overall financial targets. Activity based budgeting allows the identification of value added and non-value added activities and ensures that cuts are made to non-value added activities. ABB is also useful for review of capacity utilisation. If it is known that the resources devoted to a particular activity are greater than those currently required then these resources can be reduced or redeployed. May P1
6 (e) Production cost budget for Quarter 3 Budgeted costs $ Direct materials 262,200 Production labour 219,000 Production overheads 278, ,200 Workings: Direct materials Variable cost per unit = $12 Production labour Variable cost per unit (195, ,000) / (20,000 15,000) = $8 Fixed cost $155,000 (15,000 x $8) = $35,000 Production overheads Variable cost per unit (240, ,000) / (20,000 15,000) = $6 Fixed cost $210,000 (15,000 x $6) = $120,000 Quarter 3 Direct material 23,000 units x ($12 x 0 95) = $262,200 Production labour 23,000 units x $8 = $184,000 + $35,000 = $219,000 Production overheads 23,000 units x $6 = $138,000 + $120,000 + $20,000 = $278,000 P1 6 May 2010
7 (f) Decision tree: advertise concert or not No Increase 40% 5,000 ($35,000) ($9,800) Poor 70% Advertise Increase 60% 7,000 $20,000 $8,400 Good 30% No Increase 75% 10,000 $75,000 $16,875 Don t Advertise Poor 70% Increase 25% 13,000 $135,000 $10,125 $25,600 5,000 ($20,000) ($14,000) Good 30% 10,000 $90,000 $27,000 $13,000 Therefore the concert should be advertised. May P1
8 SECTION C Answer to Question Three (a) Reconciliation Statement $ Budgeted gross profit 432,000 Sales price variance 21,300 F Sales volume profit variance 6,000 A Material price variance ETH 1 2,210 A Material price variance RXY 2 9,580 F Material mix variance 13,200 A Material yield variance 18,000 F Fixed overhead expenditure variance 2,000 F Fixed overhead volume variance 4,000 A Actual gross profit 457,470 Workings Budgeted sales $1,440,000 Budgeted cost of sales $1,008,000 Budgeted gross profit $432,000 (or 72,000kg x ($20 - $14)) Sales price variance = ($ $20 00) x 71,000kg = $21,300 F Sales volume profit variance = (71,000kg 72,000kg) x ($20 - $14) = $6,000 A Material price variance ETH 1 = ($ $18 10) x 22,100kg = $2,210 A Material price variance RXY 2 = ($ $5 80) x 47,900kg = $9,580 F Material mix variance Raw Material ETH1 Raw Material RXY2 Actual std mix Kg Actual act mix kg Variance kg Std Price $ Variance $ 21,000 22,100 1,100 A ,800 A 49,000 47,900 1,100 F ,600 F 70,000 70, ,200 A Material yield variance Actual total input 70,000kg Standard yield 96% Expected output 67,200kg Actual output 69,000kg Variance 1,800kg F Std price per kg x $10 Variance $18,000 F Fixed overhead expenditure variance = ($280,000 - $278,000) = $2,000 F Fixed overhead volume variance = (70,000 kg 69,000kg) x $4 = $4,000 A P1 8 May 2010
9 $ Actual sales revenue 1,441,300 ETH1 (400,010) RXY2 (277,820) Fixed o/heads incurred (278,000) Inventory movement (2,000 units x $14) Actual gross profit (28,000) 457,470 (b) Examiner s note: the question asks for three reasons. Examples of points that would be rewarded are given below. In a JIT environment measuring standard costing variances may encourage dysfunctional behaviour. A JIT production environment relies on producing small batch sizes economically by reducing set up times. Performance measures that benefit from large batch sizes or producing for inventory should therefore be avoided. In an AMT environment the major costs are those related to the production facility rather than production volume related costs such as materials and labour which standard costing is essentially designed to plan and control. Fixed overhead variances don t necessarily reflect under or overspending but may simply reflect differences in production volume. An activity based cost management system may be more appropriate, focusing on the activities that drive the cost. In a total quality environment, standard costing variance measurement places an emphasis on cost control to the detriment of quality. Cost control may be achieved at the expense of quality and competitive advantage. A continuous improvement environment requires a continual effort to do things better rather than achieve an arbitrary standard based on prescribed or assumed conditions. In today s competitive environment cost is market driven and is subject to considerable downward pressure. Cost management must consist of both cost maintenance and continuous cost improvement. In a JIT/AMT/TQM environment the workforce is usually organised into empowered, multiskilled teams controlling operations autonomously. The feedback they require is real time. Periodic financial reports are neither meaningful nor timely enough to facilitate appropriate control action. May P1
10 Answer to Question Four (a) Restaurant: Number of customers in Year 1 = (500 x 360) = 180,000 Contribution per meal = $4 Total contribution = $720,000 Cold food outlet: Number of meals in Year 1 = (1,200 x 360) = 432,000 Contribution per meal = $2 50 Total contribution = $1,080,000 Reduction in contribution = $1,080,000 x 40% = $432,000 Cash Flows Year 1 Year 2 Year 3 Year 4 Restaurant 720, , , ,320 contribution Reduction in (432,000) (475,200) (522,720) (574,992) contribution from cold food Salaries (80,000) (80,000) (100,000) (100,000) Additional (70,000) (70,000) (70,000) (70,000) overheads Net cash flows 138, , , ,328 Taxation Year 1 Year 2 Year 3 Year 4 Net cash flows 138, , , ,328 Tax (87,500) (65,625) (49,219) (117,656) Depreciation Taxable profit 50, , ,261 95,672 30% 15,150 30,353 38,778 28,702 Net present value Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Net cash (350,000) 138, , , ,328 flows Tax payment (7,575) (15,177) (19,389) (14,351) Tax ( 7,575) (15,177) (19,389) (14,351) payment Net cash (350,000) 130, , , ,588 (14,351) flow after tax Discount factor Present value (350,000) 120, , , ,047 (9,773) Net present value = $152,765 P1 10 May 2010
11 (b) The NPV is the amount by which the present value of the future cash flows exceeds the initial outlay. The cash flows are discounted at the rate that reflects the alternative use of the funds, normally the company s cost of capital. Investment decisions should be based on NPV since it is the only appraisal method that will ensure the maximisation of shareholders wealth. If the decision is based on NPV then either Project B or C should be undertaken. However NPV does not indicate the range of outcomes that may result. While Project A has a lower expected NPV the standard deviation of Project A is also lower and depending on the company s attitude to risk they may decide to undertake Project A. The standard deviation is a measure of risk. It compares all the possible outcomes with the expected value (or mean outcome). Project B and C have the same NPV therefore it is possible to directly compare the standard deviations. The standard deviation for Project C is lower than that for Project B which means that the outcomes for Project C have less variability. Since Project A has a lower NPV than Project B and Project C it is necessary to calculate the coefficient of variation. The coefficient of variation for Project A and Project C is 6 67% and 16 67% respectively. Therefore, in terms of achieving the expected net present value, Project A is less risky than Project C. We would need however to see the range of possible outcomes since in this case it is the risk of outcomes below the expected outcome that is important. There is however a trade-off between risk and return. The higher the risk, the higher the potential return. The decision on which project to undertake will depend on the managing director s attitude to risk. If the Managing Director is risk averse he would choose Project A. If he is risk seeking he would choose Project B as it has the potential for higher returns. The IRR is the rate of return that equates the present value of future cash flows with the initial outlay. It is the discount rate that will result in a net present value of zero. Project C has the lowest IRR, however as stated above investment decisions should be based on NPV. A limitation of Net Present Value is that it does not consider the life of the project. The longer the project the more uncertain the cash flows are likely to be. The payback method of investment appraisal determines how long it takes for the project to payback its initial investment. It therefore to a certain extent copes with an uncertain future by placing more emphasis on early cash flows. May P1
12 The Senior Examiner for P1 Performance Operations offers to future candidates and to tutors using this booklet for study purposes, the following background and guidance on the questions included in this examination paper. Section A Question One Compulsory Question One consists of 8 objective test sub-questions. These are drawn from all sections of the syllabus. They are designed to examine breadth across the syllabus and thus cover many learning outcomes. Section B Question Two Compulsory Question Two has 6 sub-questions. (a) examines candidates ability to prepare an age analysis of outstanding trade receivables and to state the benefits of this process. (b) (c) (d) (e) (f) examines candidates ability to apply the EOQ formula and to calculate the cost of holding and ordering the suggested level of stock. The ability to calculate the required re-order level based on information regarding a supplier s delivery times is also examined. examines candidates ability to identify and explain the benefits of a manufacturing resource planning system in comparison to a traditional stock management system. examines candidates ability to identify and explain the benefits of activity based budgeting in comparison to a traditional budgeting system. examines candidates ability to identify the cost behaviour for different cost items and then apply this knowledge to calculate the budgeted costs for a different activity level. The ability to apply the high-low method of cost analysis is examined. examines candidates ability to use decision trees to evaluate a decision where there is uncertainty regarding expected cash flows. Section C Questions Three and Four - Compulsory Question Three examines candidates ability to calculate variances including both mix and yield variances and, using these variances, to prepare a statement reconciling the budget profit to the actual profit. The problems with using a standard costing system in an advanced manufacturing environment are also examined. Question Four, in part (a) of the question, examines candidates ability to calculate the net present value of a project involving the identification of relevant costs and calculation of the effect of taxation. Part (b) of the question examines candidates ability to evaluate three investment project given the projects NPV, IRR and standard deviation. P1 12 May 2010
Answers 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 informationP1 Performance Operations March 2014 examination
Operational Level Paper P1 Performance Operations March 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 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 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 informationP1 Performance Operations November 2013 examination
Operational Level Paper P1 Performance Operations November 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 informationP1 Performance Operations
Operational Level Paper P1 Performance Operations Examiner s Answers SECTION A Answer to Question One 1.1 The correct answer is D. 1.2 The maximum regret at a selling price of 40 is 20,000 The maximum
More informationP1 Performance Operations
Operational Level Paper P1 Performance Operations Examiner s Answers SECTION A Answer to Question One 1.1 The correct answer is B. 1.2 The minimum contribution at a selling price of $40 is $20,000 The
More informationP1 Performance Operations
Operational Level Paper P1 Performance Operations Examiner s Answers SECTION A Answer to Question One 1.1 The correct answer is D. 1.2 $40,000 x 3.791 = $151,640 $50,000 / $151,640 = 0.3297 = 33.0% The
More informationPerformance Pillar. P1 Performance Operations. 24 November 2010 Wednesday Morning Session
Performance Pillar P1 Performance Operations 24 November 2010 Wednesday Morning Session Instructions to candidates You are allowed three hours to answer this question paper. You are allowed 20 minutes
More informationSensitivity = NPV / PV of key input
SECTION A 20 MARKS Question One 1.1 The answer is D 1.2 The answer is C Sensitivity measures the percentage change in a key input (for example initial outlay, direct material, direct labour, residual value)
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. 20 November 2013 Wednesday Morning Session
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO Performance Pillar P1 Performance Operations 20 November 2013 Wednesday Morning Session Instructions to candidates You are allowed three hours
More informationPerformance Pillar. P1 Performance Operations. Wednesday 1 September 2010
Performance Pillar P1 Performance Operations Instructions to candidates Wednesday 1 September 2010 You are allowed three hours to answer this question paper. You are allowed 20 minutes reading time before
More informationManagement Accounting
Management Accounting Course map This document outlines the course structure. ACCA: FMA-F2.x Management Accounting Introduction course orientation Lesson 1: Welcome Lesson 2: What, when and why? Lesson
More informationManagement Accounting
Management Accounting Course map This document outlines the course structure. Duration 10 weeks ACCA: FMA-F2.x Management Accounting Course orientation Start of course survey Lesson 1: Welcome Lesson 2:
More informationPaper P1 Performance Operations Post Exam Guide November 2011 Exam
General Comments Performance on this paper was better than in previous diets, mainly as a result of improved performance in Sections A and B. Candidates scored better on average in the multiple choice
More informationPerformance Pillar. P1 Performance Operations. 25 May 2011 Wednesday Morning Session
Performance Pillar P1 Performance Operations 25 May 2011 Wednesday Morning Session Instructions to candidates You are allowed three hours to answer this question paper. You are allowed 20 minutes reading
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. Wednesday 27 August 2014
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar P1 Performance Operations Instructions to candidates Wednesday 27 August 2014 You are allowed three hours to answer this
More informationThe May 2012 examination produced the highest pass rate so far achieved on the P1, Performance Operations paper within the Russian Diploma at 78%.
General Comments The May 2012 examination produced the highest pass rate so far achieved on the P1, Performance Operations paper within the Russian Diploma at 78%. The objective questions within Section
More informationP1 Performance Operations
Operational Level Paper P1 Performance Operations Examiner s Answers SECTION A Answer to Question One 1.1 The correct answer is B. 1.2 The maximum regret at a selling price of $140 is $50,000 The maximum
More informationSUGGESTED SOLUTIONS. December KB 2 Business Management Accounting. All Rights Reserved. KB2 - Suggested Solutions December 2016, Page 1 of 18
SUGGESTED SOLUTIONS KB 2 Business Management Accounting December 2016 December 2016, Page 1 of 18 All Rights Reserved SECTION 1 Answer 01 Relevant Learning Outcome/s: 1.1.1 Assess the key features of the
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. 22 May 2013 Wednesday Morning Session
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO Performance Pillar P1 Performance Operations 22 May 2013 Wednesday Morning Session Instructions to candidates You are allowed three hours to
More informationCertified Cost Controller TM
Certified Cost Controller TM Email: info@iabfm.org Web: www.iabfm.org Tel: + 852 685 40145/+86 756 2216205 5 Key Business Benefits 1. Control and manage ALL of your organisation s costs 2. Fully understand
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. 23 May 2012 Wednesday Morning Session
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO Performance Pillar P1 Performance Operations 23 May 2012 Wednesday Morning Session Instructions to candidates You are allowed three hours to
More informationManagement Accounting (F2/FMA) September 2015 to August 2016 (for CBE exams up to 22 September 2016)
Management Accounting (F2/FMA) September 2015 to August 2016 (for CBE exams up to 22 September 2016) This syllabus and study guide are designed to help with teaching and learning and is intended to provide
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. 21 May 2014 Wednesday Morning Session
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar P1 Performance Operations 21 May 2014 Wednesday Morning Session Instructions to candidates You are allowed three hours to
More informationTRADITIONAL ABSORPTION V ACTIVITY BASED COSTING
TRADITIONAL ABSORPTION V ACTIVITY BASED COSTING A company manufactures two products: X and Y. Information is available as follows: (a) Product Total production Labour time per unit X 1,000 0.5 hours Y
More information(F2/FMA) December 2011
Manage ment Accounting (F2/FMA) December 2011 This syllabus and study guide is designed to help with teaching and learning and is intended to provide detailed information on what could be assessed in any
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 information(F2/FMA) December 2011
Manage ment Accounting (F2/FMA) December 2011 This syllabus and study guide is designed to help with teaching and learning and is intended to provide detailed information on what could be assessed in any
More informationPOLYTECHNIC OF NAMIBIA SCHOOL OF MANAGEMENT SCIENCES BACHELOR OF ACCOUNTING. MANAGEMENT ACCOUNTING 301/310 (PMA 711 SiGMA 711 S) SECOND OPPORTUNITY
POLYTECHNIC OF NAMIBIA SCHOOL OF MANAGEMENT SCIENCES DEPARTMENT: ACCOUNTING, ECONOMICS & FINANCE BACHELOR OF ACCOUNTING MANAGEMENT ACCOUNTING 301/310 (PMA 711 SiGMA 711 S) SECOND OPPORTUNITY EXAMINATION
More informationUnit 4: Elements of Managerial Accounting Syllabus Section Absorption (Total) costing
www.xtremepapers.com Unit 4: Elements of Managerial Accounting Syllabus Section Absorption (Total) costing Learning Outcomes Suggested Teaching Activities Resources Online Resources Students will learn
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. Tuesday 28 February 2012
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO Performance Pillar P1 Performance Operations Instructions to candidates Tuesday 28 February 2012 You are allowed three hours to answer this question
More informationPerformance Pillar. P1 Performance Operations. Wednesday 31 August 2011
Performance Pillar P1 Performance Operations Instructions to candidates Wednesday 31 August 2011 You are allowed three hours to answer this question paper. You are allowed 20 minutes reading time before
More informationP1 Performance Operations May 2014 examination
Operational Level Paper P1 Performance Operations May 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 informationMANAGEMENT INFORMATION
CERTIFICATE LEVEL EXAMINATION SAMPLE PAPER 1 (90 MINUTES) MANAGEMENT INFORMATION This assessment consists of ONE scenario based question worth 20 marks and 32 short questions each worth 2.5 marks. At least
More informationIntermediate Management Accounting
Intermediate Management Accounting Course map This document outlines the course structure. Course orientation Lesson 1: Welcome Lesson 2: Getting your diploma Lesson 3: How do I study this course? Unit
More informationSCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME END SEMESTER EXAMINATION JULY 2016
All Rights Reserved No. of Pages - 17 No of Questions - 07 SCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME END SEMESTER EXAMINATION JULY 2016 AFM 31130 Strategic
More informationDO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO. Performance Pillar. P1 Performance Operations. 21 November 2012 Wednesday Morning Session
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO Performance Pillar P1 Performance Operations 21 November 2012 Wednesday Morning Session Instructions to candidates You are allowed three hours
More information;,CENGAGE Learning* Australia Brazil»Japan Korea «Mexico Singapore Spain United Kingdom United States
COLIN MANAGEMENT AND COST ACCOUNTING NINTH EDITION ;,CENGAGE Learning* Australia Brazil»Japan Korea «Mexico Singapore Spain United Kingdom United States CONTENTS Preface x About the author xvi Acknowledgements
More informationMANAGEMENT INFORMATION
CERTIFICATE LEVEL EXAMINATION SAMPLE PAPER 3 (90 MINUTES) MANAGEMENT INFORMATION This assessment consists of ONE scenario based question worth 20 marks and 32 short questions each worth 2.5 marks. At least
More informationManagement Accounting (MA)/FMA September 2018 to August 2019
Management Accounting (MA)/FMA September 2018 to August 2019 Guide to structure of the syllabus and Study guide This syllabus and study guide are designed to help with teaching and learning and is intended
More informationPaper P1 Performance Operations Russian Diploma Post Exam Guide November 2012 Exam. General Comments
General Comments This paper was generally well attempted by candidates, as evidenced by the overall pass rate. The one question which posed a significant challenge was Question 3, where candidates had
More informationModule 7 Introduction
Module 7 Introduction Module 7 Introduction This module contains three main topics. First, the concept of cost of capital, and, in particular, how to calculate the component elements of a firm s cost of
More informationVARIANCE ANALYSIS: ILLUSTRATION
VARIANCE ANALYSIS: ILLUSTRATION The following information relates to the production of product Alpha for the month of August Standard Cost Card Budgeted production overhead based on 10,000 units $ $ Selling
More informationP2 Decision Management
MANAGERIAL LEVEL MANAGEMENT ACCOUNTING PILLAR PAPER P2 MANAGEMENT ACCOUNTING DECISION MANAGEMENT This is a Pilot Paper and is intended to be an indicative guide for tutors and students of the style and
More informationSUGGESTED SOLUTIONS. KB2 Business Management Accounting. June All Rights Reserved
SUGGESTED SOLUTIONS KB2 Business Management Accounting June 2015 All Rights Reserved SECTION 1 Answer 01 Relevant Learning Outcome/s: 1.1.1, 1.1.3 1.1.1 Assess the key features of the absorption costing
More information(AA32) MANAGEMENT ACCOUNTING AND FINANCE
All Rights Reserved ASSOCIATION OF ACCOUNTING TECHNICIANS OF SRI LANKA AA3 EXAMINATION - JULY 2015 (AA32) MANAGEMENT ACCOUNTING AND FINANCE Instructions to candidates (Please Read Carefully): (1) Time:
More informationP1 Performance Operations
Pillar P P1 Performance Operations Instructions to candidates Specimen Examination Paper You are allowed three hours to answer this question paper. You are allowed 0 minutes reading time before the examination
More informationBFC2140: Corporate Finance 1
BFC2140: Corporate Finance 1 Table of Contents Topic 1: Introduction to Financial Mathematics... 2 Topic 2: Financial Mathematics II... 5 Topic 3: Valuation of Bonds & Equities... 9 Topic 4: Project Evaluation
More informationSUGGESTED SOLUTIONS. KE2 Management Accounting Information. September All Rights Reserved
SUGGESTED SOLUTIONS KE2 Management Accounting Information September 2016 All Rights Reserved SECTION 1 Answer 01 1.1 Relevant Learning Outcome: 1.1.1 Define the terms cost, cost unit, composite cost units,
More informationWEEK 7 Investment Appraisal -1
WEEK 7 Investment Appraisal -1 Learning Objectives Understand the nature and importance of investment decisions. Distinguish between discounted cash flow (DCF) and nondiscounted cash flow (non-dcf) techniques
More informationPaper P1 Performance Operations Post Exam Guide November 2014 Exam. General Comments
General Comments Performance on this paper was fairly poor, with the pass rate below the average for the 2010 syllabus. Many candidates scored very highly; however there were a large number of low-scoring
More informationChapter 11 BUDGETING. 1. Introduction. 2. Benefits of budgeting. 3. Principal budget factor
September-December 2016 Examinations ACCA F5 41 Chapter 11 BUDGETING 1. Introduction Budgeting is an essential tool for the management accounting in both planning and controlling future activity. In this
More informationIntermediate Financial and Management Accounting
Intermediate Financial and Management Accounting Course map This document outlines the course structure. ACCA: FA2-MA2.X Intermediate Financial and Management Accounting Intermediate course orientation
More informationDownload full Test Bank for Accounting and Finance for Non Specialists 6th Edition by Atrill and McLaney
Download full Test Bank for Accounting and Finance for Non Specialists 6th Edition by Atrill and McLaney https://digitalcontentmarket.org/download/test-bank-for-accountingand-finance-for-non-specialists-6th-edition-by-atrill-and-mclaney
More informationCapital investment decisions: 1
Capital investment decisions: 1 Solutions to Chapter 13 questions Question 13.24 (i) Net present values: Year 0% 10% 20% NPV Discount NPV Discount NPV ( ) Factor ( ) Factor ( ) 0 (142 700) 1 000 (142 700)
More informationSUGGESTED SOLUTIONS. KE2 Management Accounting Information. March All Rights Reserved
SUGGESTED SOLUTIONS KE2 Management Accounting Information March 2017 All Rights Reserved Answer 01 SECTION 01 1.1 Relevant Learning outcome : 1.1.2 Explain the nature, scope and purpose of cost classifications
More information(a) Calculate planning and operating variances following the recognition of the learning curve effect. (6 marks)
SECTION A 50 MARKS Question One (a) Calculate planning and operating variances following the recognition of the learning curve effect. (6 marks) Flexed budget Actual output Revised flexed budget Output
More informationRELATIONAL DIAGRAM OF MAIN CAPABILITIES
Syllabus MAIN CAPABILITIES APM (P5) On successful completion of this paper, candidates should be able to: A Explain the nature and purpose of cost and management accounting PM (F5) FM (F9) B Describe costs
More informationMANAGEMENT ACCOUNTING
Series 4 Examination 2009 MANAGEMENT ACCOUNTING Level 3 Tuesday 1 December Subject Code: 3724 S Time allowed: 3 hours INSTRUCTIONS FOR CANDIDATES Answer all 5 questions. All questions carry equal marks.
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 informationMOCK TEST PAPER 2 INTERMEDIATE (IPC): GROUP I PAPER 3: COST ACCOUNTING AND FINANCIAL MANAGEMENT PART I : COST ACCOUNTING. Suggested Answers/ Hints
MOCK TEST PAPER 2 INTERMEDIATE (IPC): GROUP I PAPER 3: COST ACCOUNTING AND FINANCIAL MANAGEMENT PART I : COST ACCOUNTING Suggested Answers/ Hints 1. (a) (i) Standard input (kg.) of Material SW: Test Series:
More informationCERTIFICATE IN MANAGEMENT ACCOUNTING
Series 2 Examination 2007 CERTIFICATE IN MANAGEMENT ACCOUNTING Level 3 Tuesday 29 May Subject Code: 3623/M Time allowed: 3 hours INSTRUCTIONS FOR CANDIDATES Answer 5 questions. All questions carry equal
More informationPaper P1 Management Accounting Performance Evaluation. Examiner s Brief Guide to the Paper 23
November 2007 Examinations Managerial Level Paper P1 Management Accounting Performance Evaluation Question Paper 2 Examiner s Brief Guide to the Paper 23 Examiner s Answers 24 The answers published here
More informationCost Accounting. Level 3. Model Answers. Series (Code 3016)
Cost Accounting Level 3 Model Answers Series 2 2008 (Code 3016) Vision Statement Our vision is to contribute to the achievements of learners around the world by providing integrated assessment and learning
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 informationEXCEL PROFESSIONAL INSTITUTE. LECTURE 9 Holy & Winfred
EXCEL PROFESSIONAL INSTITUTE 1 LECTURE 9 Holy & Winfred 2 Q1. a) Investment Appraisal Lecture 10 &11 i. Types of Investment and Capital Expenditure ii. Objectives of Investment appraisal iii. Investment
More informationHistorical information collected from a research in relation to sales of a company are as follows. Year Cost of promotion Sales revenue
Question bank 05-SA- English Short Answer Questions Question 01 Activity based costing system is used to allocate fixed production overhead in a more representative manner. Explain following terms in relation
More information2018 LAST MINUTE CPA EXAM NOTES
2018 LAST MINUTE CPA EXAM NOTES Page intentionally left blank 2018 LAST MINUTE CPA EXAM NOTES BEC (Volume 1) Copyright 2018 by Glomont LLC. First edition Notice of Rights. All rights reserved. No part
More informationP2 Performance Management
Performance Pillar P2 Performance Management 24 November 2010 Wednesday Afternoon Session Instructions to candidates You are allowed three hours to answer this question paper. You are allowed 20 minutes
More information322 Roll No : 1 : Time allowed : 3 hours Maximum marks : 100
2/2013/CMA (N/S) Roll No : 1 : Time allowed : 3 hours Maximum marks : 100 Total number of questions : 6 Total number of printed pages : 7 NOTE : 1. Answer ALL Questions. 2. All working notes should be
More informationManagement Accounting Level 3
LCCI International Qualifications Management Accounting Level 3 Model Answers Series 2 2011 (3024) For further information contact us: Tel. +44 (0) 8707 202909 Email. enquiries@ediplc.com www.lcci.org.uk
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 informationPAPER C01 Fundamentals of Management Accounting Acorn chapters
PAPER C01 Fundamentals of Management Accounting Acorn chapters 1 Classification of costs 2 The context of management accounting 3 Absorbing fixed production overhead 4 Absorption and marginal costing 5
More informationLevel 3 Certificate in Accounting (IAS) Effective for examinations to be held after January 2008
LCCI International Qualifications Level 3 Certificate in Accounting (IAS) Syllabus Effective for examinations to be held after January 2008 For further information contact us: Tel. +44 (0) 8707 202909
More informationPaper F2. Management Accounting. Pilot Paper from December 2011 onwards. Fundamentals Pilot Paper Knowledge Module
Fundamentals Pilot Paper Knowledge Module Management ccounting Pilot Paper from ecember 2011 onwards Time allowed: 2 hours LL 50 questions are compulsory and MUST be attempted. Formulae Sheet, Present
More informationManagement Accounting
Management Accounting Level 3 Model Answers Series 4 2007 (Code 3023) Vision Statement Our vision is to contribute to the achievements of learners around the world by providing integrated assessment and
More informationCS Executive Programme Module - I December Paper - 2 : Cost and Management Accounting
ISBN : 978-93-5034-747-8 Solved Scanner Appendix CS Executive Programme Module - I December - 2013 Paper - 2 : Cost and Management Accounting Chapter - 1 : Introduction to Cost and Management Accounting
More informationPaper T4. Accounting for Costs. Thursday 9 June Certified Accounting Technician Examination Intermediate Level
ertified ccounting Technician Examination Intermediate Level ccounting for osts Thursday 9 June 2011 Time allowed: 2 hours This paper is divided into two sections: Section LL 20 questions are compulsory
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 informationLCCI International Qualifications. Cost Accounting Level 3. Model Answers Series (3017)
LCCI International Qualifications Cost Accounting Level 3 Model Answers Series 4 2009 (3017) For further information contact us: Tel. +44 (0) 8707 202909 Email. enquiries@ediplc.com www.lcci.org.uk Cost
More informationMark Scheme (Results) Series Pearson LCCI Level 3 COST ACCOUNTING (ASE3017)
Mark Scheme (Results) Series 3 2014 Pearson LCCI Level 3 COST ACCOUNTING (ASE3017) LCCI International Qualifications LCCI International Qualifications are awarded by Pearson, the UK s largest awarding
More informationManagement Accounting. Sample Paper 1 Questions and Suggested Solutions
Management Accounting Sample Paper 1 Questions and Suggested Solutions NOTES TO USERS ABOUT SAMPLE PAPERS Sample papers are published by Accounting Technicians Ireland. They are intended to provide guidance
More informationManagement Accounting Level 3
LCCI International Qualifications Management Accounting Level 3 Model Answers Series 4 2011 (3024) For further information contact us: Tel. +44 (0) 8707 202909 Email. enquiries@ediplc.com www.lcci.org.uk
More informationGlossary of Budgeting and Planning Terms
Budgeting Basics and Beyond, Third Edition By Jae K. Shim and Joel G. Siegel Copyright 2009 by John Wiley & Sons, Inc.. Glossary of Budgeting and Planning Terms Active Financial Planning Software Budgeting
More informationZ I C A ZAMBIA INSTITUTE OF CHARTERED ACCOUNTANTS CHARTERED ACCOUNTANTS EXAMINATIONS LICENTIATE LEVEL L6: CORPORATE FINANCIAL MANAGEMENT
Z I C A ZAMBIA INSTITUTE OF CHARTERED ACCOUNTANTS CHARTERED ACCOUNTANTS EXAMINATIONS LICENTIATE LEVEL L6: CORPORATE FINANCIAL MANAGEMENT SERIES: DECEMBER 2011 TOTAL MARKS 100 TIME ALLOWED: THREE (3) HOURS
More informationMANAGERIAL FINANCE PROFESSIONAL 1 EXAMINATION - APRIL 2016
MANAGERIAL FINANCE PROFESSIONAL 1 EXAMINATION - APRIL 2016 NOTES: Section A Answer Question 1 and Question 2 and either Part A or Part B of Question 3. Section B Answer Question 4 and either Part A or
More informationSUGGESTED SOLUTIONS/ ANSWERS WINTER 2018 EXAMINATIONS 1 of 7 MANAGEMENT ACCOUNTING [M5] MANAGERIAL LEVEL-2 MARKS
SUGGESTED SOLUTIONS/ ANSWERS WINTER 2018 EXAMINATIONS 1 of 7 Question No. 2 (a) (i) Daily Break-even Volume in Lunches and Dinners: Contribution Margin on Lunches and Dinners: Variable cost percentage
More informationP1 Performance Operations Post Exam Guide May 2014 Exam. General Comments
General Comments Performance on this paper was reasonably good with the pass rate above average for the 2010 syllabus. Many candidates scored very highly and there were fewer marginal scripts. However
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 informationManagement Accounting
Management Accounting Level 3 Model Answers Series 2 2008 Malaysia (Code 3623) Vision Statement Our vision is to contribute to the achievements of learners around the world by providing integrated assessment
More informationMTP_Intermediate_Syl2016_June2017_Set 1 Paper 10- Cost & Management Accounting and Financial Management
Paper 10- Cost & Management Accounting and Financial Management Academics Department, The Institute of Cost Accountants of India (Statutory Body under an Act of Parliament) Page 1 Paper-10: Cost & Management
More informationAnalysing costs and revenues
Osborne Books Tutor Zone Analysing costs and revenues Practice assessment 1 Osborne Books Limited, 2013 2 a n a l y s i n g c o s t s a n d r e v e n u e s t u t o r z o n e This assessment relates to
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 informationManagement Accounting
Management Accounting Level 3 Model Answers Series 3 2008 (Code 3023) 1 ASE 3023 2 06 1 3023/2/06 >f0t@w9w2`?[i]bkbw5k# Management Accounting Level 3 Series 3 2008 How to use this booklet Model Answers
More informationACCA Paper F5 Performance Management. Mock Exam. Commentary, marking scheme and suggested solutions
ACCA Paper F5 Performance Management Mock Exam Commentary, marking scheme and suggested solutions Commentary Tutor guidance on improving performance on the exam paper. General Your script is the only evidence
More informationUniversity 18 Lessons Financial Management. Unit 2: Capital Budgeting Decisions
University 18 Lessons Financial Management Unit 2: Capital Budgeting Decisions Nature of Investment Decisions The investment decisions of a firm are generally known as the capital budgeting, or capital
More informationBPC6C Cost and Management Accounting. Unit : I to V
BPC6C Cost and Management Accounting Unit : I to V UNIT -1 FUNDAMENTALS OF COST ACCOUNTING Nature and scope of Cost Accounting, Distinction between cost and financial accounting, Cost sheet, tenders Characteristics
More informationF2 FIA FMA. ACCA Qualification ACCA. Accounting. December 2012 Examinations. OpenTuition Course Notes can be downloaded FREE from
ACCA Qualification Course NOTES ACCA F2 FIA FMA Management Accounting December 2012 Examinations OpenTuition Course Notes can be downloaded FREE from www.opentuition.com Copyright belongs to OpenTuition.com
More informationUNIVERSITY OF BOLTON BUSINESS SCHOOL ACCOUNTANCY SEMESTER 1 EXAMINATION 2015/2016 MANAGEMENT ACCOUNTING AND DECISION MAKING MODULE NO: ACC5002
BBS009 UNIVERSITY OF BOLTON BUSINESS SCHOOL ACCOUNTANCY SEMESTER 1 EXAMINATION 2015/2016 MANAGEMENT ACCOUNTING AND DECISION MAKING MODULE NO: ACC5002 Date: Tuesday 12 th January 2016 Time: 2:00pm to 5:00pm
More information