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QUESTION 1 Agro Tech Corporation is considering investing in a new IT system for selling to ths clients identified two new possible systems, which would
QUESTION 1 Agro Tech Corporation is considering investing in a new IT system for selling to ths clients identified two new possible systems, which would be suitable for its customers. Only one of the selected and the directors are looking for guidance on which system would be the best. The cams 15% rate of retum on projects of this nature. The installation cost per project will be R100 000 each, while systems can be disposed for R220 five-years life span. Cach flnws fnr Anrn Tanh Cornnratinn. IT Quctam IDandol Required: 1.1 Determine the payback period in years, months and days for both systems 1.2 Based on your calculations in 1.1, which system should Agro Tech Corporathen whikise thes: Answer ALL questions. QUESTION 1 1.1 Discuss in detail FOUR (4) requirements for effective management accounting. 1.2 Explain TWO (2) limitations of management accounting. 1.3 Discuss the difference between: 1.3.1 Direct and indifect costs 1.3.2 Fixed and variable costs QUESTION 1 Agro Tech Corporation is considering investing in a new IT system for selling to ths clients identified two new possible systems, which would be suitable for its customers. Only one of the selected and the directors are looking for guidance on which system would be the best. The cams 15% rate of retum on projects of this nature. The installation cost per project will be R100 000 each, while systems can be disposed for R220 five-years life span. Cach flnws fnr Anrn Tanh Cornnratinn. IT Quctam IDandol Required: 1.1 Determine the payback period in years, months and days for both systems 1.2 Based on your calculations in 1.1, which system should Agro Tech Corporathen whikise thes: Answer ALL questions. QUESTION 1 1.1 Discuss in detail FOUR (4) requirements for effective management accounting. 1.2 Explain TWO (2) limitations of management accounting. 1.3 Discuss the difference between: 1.3.1 Direct and indifect costs 1.3.2 Fixed and variable costs
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