Intermediate You have applied for the position of assistant accountant in a company manufacturing a range of products with a sales turnover of £12 million per annum and employing approximately 300 employ¬ ees. As part of the selection process you are asked to spend half an hour preparing a report, to be addressed to the managing director, on the topic of ‘cost control’.

You are required to write the report which should deal with what is meant by ‘cost control’, its purpose and the techniques which you believe would be useful within this particular company.

(20 marks)

CIMA Foundation Cost Accounting 1