TASK 1. Financial and Management Accounting (6 Marks) PC 1.1 The statements below describe some of the characteristics of financial accounting and management accounting systems. The timing and content of its report is decided by managers Its purpose is to provide information for managers . It complies with accounting rules It is based on past events Gives up-to-date reports which can be used for controlling the business It provided information for owners and investors Write the correct statement in the table below. FINANCIAL ACCOUNTING COST & MANAGEMENT ACCOUNTING I Task 2 Job Cost_(13 marks) PC 2.1, 2.2, 2.7 Belal Engineering Limited is asked to quote for the supply of a replacement cylinder head for a large engine for Etihad Airlines. The Company started the Job No. CNS008 on 12th July, 2020 and finished on 26th September, 2020. You are to complete the following Job Cost Sheet to show the estimated total cost of the job, and the selling price. Profit is to be 25% of cost price. Direct Materials: Aluminum High strength steel 6500 kgs @ 5.00 per kgs 8000 kgs @ 4.45 per kgs Direct Labour: Foundry Finishing 100 hours @ 8 per hour 120 hours @ 12 per hour Production Overheads: Foundry Finishing AED 12 per labour hours AED18 per labour hours JOB COST SHEET Job No.: Customer: Date Started: Date Completed: Direct Materials Quantity Used Unit Cost Total Total Direct Materials Cost Direct Labour Hours Used Hourly Rate Total Foundry Finishing Total Direct Labour Cost Prime Cost TOTAL Rate of absorption Hours used Production Overheads Foundry Finishing TOTAL PRODUCTION COST TOTAL COST PROFIT SELLING PRICE Task 3 BATCH COST_{15 marks) PC 2.1, 2.2, 2.4 Coco Limited is a company that designs and manufactures sports T-shirts. This week Coco Ltd is making a batch of 1,000 Sports T-Shirts for Splash. I The cost of the batch is expected to be: Direct materials 100 metres of cloth at AED20 per metre Direct labour Cutting 200 hours at 12 AED per hour Sewing 100 hours at 10AED per hour Finishing 75 hours at 8 AED per hour The overhead absorption rate is 15AED per direct labour hour for each section. A profit of 60% is added to the total cost. The Job Number is SP-TEE 12AD The job start date is 6th February and the completion date is 15th February The accounts supervisor asks you, an accounts assistant to calculate the total cost of producing the batch of T-shirts, and to add the profit. She also asks you to calculate the company's cost per dress and the selling price. Answers should be displayed at 2 decimal places. Batch Number: Date Started: Direct Materials: BATCH COST SHEET Customer: Date Completed: I Total Direct Labour Department Hours Used Hourly Rate Total Total Prime Cost Production overheads Hours Used Hourly Rate Total Total Total Production Cost Add: Selling Price Cost per Dress = Selling Price per dress Task 4 Marginal and absorption costing (22 marks)__PC1.6, 2.4, 6.2,6.3 Stella Limited manufactures one product. For the month of June 2020 the following information is available: Number of units manufactured Number of units sold Selling price Direct materials Direct labour Fixed production overheads 10,000 8,000 4AED per unit 0.8 AED per unit 1.6 AED per unit 10,000AED REQUIRED a) The directors ask your help in producing statements of profit or loss using the marginal costing and absorption costing methods. They say that they will use the one that gives the high profit to show the bank manager. b) Write a note to the director's explaining the reason for the different profit figures. (4 marks) Statement of Profit or Loss - Absorption costing AED AED Sales Direct Materials Direct Labour Fixed Overheads Total Cost of Production Less Closing Cost of Sales Profit Statement of Profit or Loss - Marginal Costing AED AED Sales Variable Materials Variable Labour Variable Cost of Production Less Closing Inventory Variable Cost of Sales Fixed production overheads Profit ACC5202 Assessment ! . Task 5 Process Costing PC2.1, 2.2,2.3,2.4, 6.2,6.3 _(14 marks) LBB Limited is a manufacturing business. The Cutting department uses process accounting for some of its products. The process account for December for one of its processes needs to be completed from the following information. material CK70 150kg at AED15 per kg material CK90 250kg at AED20.00 per kg material CK99 100kg at AED50 per kg Four employees worked on this process during December. The employees worked 20 hours for one week and were paid AED 12.50 per hour. Overheads are absorbed on the basis of AED20 per labour hour. LBB Limited expects a normal loss of 10% during the process, which if then sells for AED4.50 per kg There is expected to be no abnormal gain or loss. (a) Complete the process account below for December. Description kg Unit kg COSI AED Total Description cost AED Unit cost AED Total cost AED Material CL54 Material CL75 Material CL96 Labour Overheads