Financial accounting and management accounting are two different but closely related accounting topics. Both of these...
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Financial accounting and management accounting are two different but closely related accounting topics. Both of these branches are useful for communicating a company's performance to different groups of people, who will use them for various purposes. Based on the information given, EXPLAIN the role of management accounting to its users. Your explanation must be supported by recent studies (published between year of 2017 to 2021). (You are required to provide references in the answer script) QUESTION 2 (CLO2) Mr Sulaiman is part of the management team at Trio Sdn Bhd, which is headquartered in George Town, Penang, Malaysia. He is responsible to ensure that his senior managers is well- informed about matters pertaining to the cost incurred by the company. In the upcoming meeting with senior managers, Mr Sulaiman is required by his managers to explain matter related to the "cost classification by traceability" and "cost classification by normality". Based on the information given, ASSIST Mr. Sulaiman in providing explanation to his top management and provide ONE (1) example for each of the above category. (20 marks) QUESTION 3 (CLO4) Triump Sdn Bhd, a clothing factory in Klang, has been in operation for ten years. This company divides department into Design Department, Sewing Department, and Quality Department as the production process and the Support Department, which offers help to the production departments. Page 1 of 10 The following information was obtained from Triump Sdn Bhd for the year ended 30 Jun 2020: Lighting Factory Rental Insurance of machines Overhead Depreciation of machines Total (RM) 40,000 80,000 60,000 30,000 The following information was obtained from Triump Sdn Bhd for the year ended 30 Jun 2020: Lighting Factory Rental Insurance of machines Overhead Depreciation of machines Cleaning Security Building maintenance Utilities Additional information: Total (RM) 40,000 80,000 60,000 30,000 8,000 9000 5,000 16,200 Basis/Department Design Sewing Decoration & Quality Support Kilowatt 240 400 200 160 Value of machines 30,000 66,000 24,000 0 Floor area 20 40 25 15 No. of employees 8 22 14 6 Maintenance hours 20 60 20 0 Based on the information given, PREPARE the Overhead Analysis Sheet for the year ended 30 June 2020. Reapportionment the overhead in service departments to production departments (using secondary distribution). (Round off your overhead analysis rate to two decimal places and your total amount to the nearest RM). QUESTION 4 (CLO3) Lavender Enterprise is a recently opened cake shop in Subang Jaya, which just started this year. The shop specializes in custom-made cakes for birthdays, weddings, and special occasions such as communion, anniversaries, and graduations. Due to their impressive talent for crafting innovative cake designs and flavours, the store gained a small level of notoriety for a brief period of time, and as a result, they have a vast base of clients that originate from all over the world. Page 2 of 10 The following is the information that resulted from producing the personalised cakes that were requested (order no. 182) by the boss's customer in 2020: Direct Material Direct Labour: Designing Baking RM 120 1 hours RM 40 per hour 2 hours RM 50 per hour The following is the information that resulted from producing the personalised cakes that were requested (order no. 182) by the boss's customer in 2020: Direct Material RM 120 Direct Labour: Designing 1 hours RM 40 per hour Baking 2 hours RM 50 per hour Decorating 8 hours RM 30 per hour Overhead - - Design Baking Decorating RM 35 RM 65 RM 55 The company also incurred the following costs: 1) Administrative overhead is at 8% of factory cost. 2) Selling and distribution overhead is 15% more than administrative overhead. Additional information: 1) Special machines were hired during the production process at RM 230. 2) Profit was estimated at 45% of selling price. company ing 1) Administrative overhead is at 8% of factory cost. 2) Selling and distribution overhead is 15% more than administrative overhead. Additional information: 1) Special machines were hired during the production process at RM 230. 2) Profit was estimated at 45% of selling price. Based on the information given, a. DETERMINE the value of total cost, selling price and profit for order no. 182 using Job Costing Method. (15 marks) b. DESCRIBE the cause of Lavender Enterprise using Job Costing Method instead of Process Costing Method. (5 marks) (Total: 20 marks) QUESTION 5 (CLO5) Bata Sdn Bhd. is a company that manufactures a variety of footwear. The following is the information obtained from Bata's account: (i) Sales volume of Bata in April 2020 is 1,500 units. The selling price is at RM 120 per unit. (ii) It is the company's policy for monthly opening stock is 20% more than the previous month. Opening Stock March 2020 380 (iii) The company produced 1,350 units of Bata in April 2020. (iv) In April 2020, the variable cost of the product is RM 38 per unit. Whilst the fixed production cost is RM 5,000. (v) Selling and distribution cost for April 2020 is RM 5,800 and 30% of it is a variable cost. (vi) The company incurred RM 10,000 for administrative cost and divided equally between variable and fixed cost. (iv) In April 2020, the variable cost of the product is RM 38 per unit. Whilst the fixed production cost is RM 5,000. (v) Selling and distribution cost for April 2020 is RM 5,800 and 30% of it is a variable cost. (vi) The company incurred RM 10,000 for administrative cost and divided equally between variable and fixed cost. Based on information given, a. PREPARE the Statement of Comprehensive Income for April 2020 using Marginal Costing Approach. (15 marks) b. Based on your answer in (a), DESCRIBE the reasons for any difference in profits between marginal and absorption costing profit calculations. (5 marks) [Total: 20 marks] [TOTAL: 100 marks] Financial accounting and management accounting are two different but closely related accounting topics. Both of these branches are useful for communicating a company's performance to different groups of people, who will use them for various purposes. Based on the information given, EXPLAIN the role of management accounting to its users. Your explanation must be supported by recent studies (published between year of 2017 to 2021). (You are required to provide references in the answer script) QUESTION 2 (CLO2) Mr Sulaiman is part of the management team at Trio Sdn Bhd, which is headquartered in George Town, Penang, Malaysia. He is responsible to ensure that his senior managers is well- informed about matters pertaining to the cost incurred by the company. In the upcoming meeting with senior managers, Mr Sulaiman is required by his managers to explain matter related to the "cost classification by traceability" and "cost classification by normality". Based on the information given, ASSIST Mr. Sulaiman in providing explanation to his top management and provide ONE (1) example for each of the above category. (20 marks) QUESTION 3 (CLO4) Triump Sdn Bhd, a clothing factory in Klang, has been in operation for ten years. This company divides department into Design Department, Sewing Department, and Quality Department as the production process and the Support Department, which offers help to the production departments. Page 1 of 10 The following information was obtained from Triump Sdn Bhd for the year ended 30 Jun 2020: Lighting Factory Rental Insurance of machines Overhead Depreciation of machines Total (RM) 40,000 80,000 60,000 30,000 The following information was obtained from Triump Sdn Bhd for the year ended 30 Jun 2020: Lighting Factory Rental Insurance of machines Overhead Depreciation of machines Cleaning Security Building maintenance Utilities Additional information: Total (RM) 40,000 80,000 60,000 30,000 8,000 9000 5,000 16,200 Basis/Department Design Sewing Decoration & Quality Support Kilowatt 240 400 200 160 Value of machines 30,000 66,000 24,000 0 Floor area 20 40 25 15 No. of employees 8 22 14 6 Maintenance hours 20 60 20 0 Based on the information given, PREPARE the Overhead Analysis Sheet for the year ended 30 June 2020. Reapportionment the overhead in service departments to production departments (using secondary distribution). (Round off your overhead analysis rate to two decimal places and your total amount to the nearest RM). QUESTION 4 (CLO3) Lavender Enterprise is a recently opened cake shop in Subang Jaya, which just started this year. The shop specializes in custom-made cakes for birthdays, weddings, and special occasions such as communion, anniversaries, and graduations. Due to their impressive talent for crafting innovative cake designs and flavours, the store gained a small level of notoriety for a brief period of time, and as a result, they have a vast base of clients that originate from all over the world. Page 2 of 10 The following is the information that resulted from producing the personalised cakes that were requested (order no. 182) by the boss's customer in 2020: Direct Material Direct Labour: Designing Baking RM 120 1 hours RM 40 per hour 2 hours RM 50 per hour The following is the information that resulted from producing the personalised cakes that were requested (order no. 182) by the boss's customer in 2020: Direct Material RM 120 Direct Labour: Designing 1 hours RM 40 per hour Baking 2 hours RM 50 per hour Decorating 8 hours RM 30 per hour Overhead - - Design Baking Decorating RM 35 RM 65 RM 55 The company also incurred the following costs: 1) Administrative overhead is at 8% of factory cost. 2) Selling and distribution overhead is 15% more than administrative overhead. Additional information: 1) Special machines were hired during the production process at RM 230. 2) Profit was estimated at 45% of selling price. company ing 1) Administrative overhead is at 8% of factory cost. 2) Selling and distribution overhead is 15% more than administrative overhead. Additional information: 1) Special machines were hired during the production process at RM 230. 2) Profit was estimated at 45% of selling price. Based on the information given, a. DETERMINE the value of total cost, selling price and profit for order no. 182 using Job Costing Method. (15 marks) b. DESCRIBE the cause of Lavender Enterprise using Job Costing Method instead of Process Costing Method. (5 marks) (Total: 20 marks) QUESTION 5 (CLO5) Bata Sdn Bhd. is a company that manufactures a variety of footwear. The following is the information obtained from Bata's account: (i) Sales volume of Bata in April 2020 is 1,500 units. The selling price is at RM 120 per unit. (ii) It is the company's policy for monthly opening stock is 20% more than the previous month. Opening Stock March 2020 380 (iii) The company produced 1,350 units of Bata in April 2020. (iv) In April 2020, the variable cost of the product is RM 38 per unit. Whilst the fixed production cost is RM 5,000. (v) Selling and distribution cost for April 2020 is RM 5,800 and 30% of it is a variable cost. (vi) The company incurred RM 10,000 for administrative cost and divided equally between variable and fixed cost. (iv) In April 2020, the variable cost of the product is RM 38 per unit. Whilst the fixed production cost is RM 5,000. (v) Selling and distribution cost for April 2020 is RM 5,800 and 30% of it is a variable cost. (vi) The company incurred RM 10,000 for administrative cost and divided equally between variable and fixed cost. Based on information given, a. PREPARE the Statement of Comprehensive Income for April 2020 using Marginal Costing Approach. (15 marks) b. Based on your answer in (a), DESCRIBE the reasons for any difference in profits between marginal and absorption costing profit calculations. (5 marks) [Total: 20 marks] [TOTAL: 100 marks]
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Related Book For
Management Accounting Information for Decision-Making and Strategy Execution
ISBN: 978-0137024971
6th Edition
Authors: Anthony A. Atkinson, Robert S. Kaplan, Ella Mae Matsumura, S. Mark Young
Posted Date:
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