1. You have studied the differences between managerial accounting and financial accounting in session one. Using a similar framework we used for comparison, discuss the similarities and differences between cost accounting and financial accounting.

Note: you can consult web resources for compiling your answer. Avoid verbatim copy/paste of content.

2. You researched the web and worked on answering questions relating to how ENRON leadership fooled investors and regulators by manipulating financial data. In this respect, what learnings did you gain working on this assignment, specifically?

(a). What new terms, concepts, and phrases did you learn/acquire?

(b). How did this financial scandal affect or provide a new beginning to corporate accountability and corporate ethics.

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Classification of cost is the arrangement of items of costs in logical groups having regard to their nature or purpose. The basis for cost classification can be by nature, traceability, association, changes in activity, function, controllability or decision making. Elaborate the statement using suitable examples for each.

From the following information relating to four jobs undertaken by a manufacturer, ascertain the total cost and selling price of each job:

	Job # E-101	Job # E-102	Job # E-103	Job # E-104
Direct material issued (in kilograms)	80	100	120	140
Direct material rate per kilogram	$ 10	$ 10	$ 10	$ 10
Direct labor hours consumed (in hours)	350	250	300	400
Direct labor rate per hour	$ 2	$ 3	$ 2	$ 3
Direct expenses incurred	$ 400	$ 200	$ 250	$ 300

Factory Overheads are applied to respective jobs according to direct labor (amount). Factory overhead incurred during the period amounted to $ 5,500. Office overheads incurred during the period amounted to $2,500 which are apportioned to jobs based on factory cost.

All the Jobs were completed during the period. They were billed to the customers at a price which included 18% of the selling price of the job.

5. A product is obtained after passing through 3 distinct processes P1, P2 and P3. From the following info relating to the year ending March 2020, prepare relevant process accounts by identifying normal and abnormal process losses.

5,000 kgs of direct material were introduced at the rate of $5 per unit in the first process (P1).

Particulars	P1	P2	P3
Other Direct Materials consumed $	18,000	20,000	22,000
Direct Labor $	15,000	18,000	20,000
Overheads on Direct labor	100%	90%	80%

Other relevant information are:

Process	Production / Process Output (units)	Normal loss %	Scarp value (per unit $)
P1	4,000	20%	1.8
P2	3,400	15%	1.5
P3	3,000	10%	1.2