QUESTION TWO

a$)$ Management accounting should assist in EACH of the Planning, Control and Decision Making processes in an organization. Discuss the ways in which relationships stated above are relevant in the design of an effective management accounting system

b$)$ Management accounting deals more about the future more than the past, discuss

c$)$ Discuss the relevance of Cost, Volume and Price $($C$-$V$-$P$)$ analysis in decision making for Small and Medium size enterprises in Kenya

d$)$ Product Z has a variable costs of Shs $30$ per unit and a selling price of Shs $80$ per unit. The fixed costs are Shs $100,000$ per year.

i$)$ If budgeted sales and production are $20,000$ units, calculate the budgeted profit $($or loss$)$ for the year

ii$)$ Calculate breakeven point $($in units$)$

iii$)$ How many units need to be sold to achieve a target profit of shs $30,000,000$ per year?