SECTION A Application Questions (40 marks) information are as follows: Price of sugar will increase by 90cents VAT exclusive per kilogram from today. The new prices of sugar: 1kg $2.30FJ $1.04US 2kg $4.60 $2.08US 4kg $9.20 $4.15US 25kg $57.50 $25.96US According to the Fijian Competition and Consumer Commission the new prices are a result of extensive public consultations and exhaustive reviews of FSCs financials. A statement from FCCC said the new prices were determined after a thorough review of the submission made by the Fiji Sugar Corporation (FSC) on 12 June 2021. required:

Question 1- Over the years, Fiji Sugar Corporation claims that its Cost of Production has increased remarkably. Comment on at-least 5 cost drivers at FSC. Explain how these cost drivers drive the cost with practical examples. (10 marks)

Question 2- List and Explain 5 aspects of management accounting that can be used to control costs in Sugar Manufacturing. Practically relate your arguments to the sugar industry. (10 marks)