留學生dissertation網提供英國澳洲美國ACCOUNTING ASSIGNMENT代寫，代寫留學生會計essay，代寫會計assignment服務。MANAGEMENT ACCOUNTING ASSIGNMENT QUESTIONS

Please take note that copying the work of others, allowing others to copy your work, and /
or attempting to do any of the above mentioned will result in automatic failure of your
assignment. NO EXCUSES FOR ACTS OF PLAGIARISM WILL BE ENTERTAINED.
You may of course consult textbooks, journals, or any publications for reference
purposes. All sources or materials used should be clearly quoted / referenced.
Before submitting your assignment you should make a copy and submit the original for
assessment. Late submissio
ns will not be entertained unless there is (are) some legitimate
mitigating factor(s).
QUESTION 1 (14 marks)
Instructions :
(i) Based on the following case study information, build a spreadsheet model using
Excel 97 to answer the accompanying problems.
(ii) The spreadsheet model should include a “Data Input Section” (whereby all raw /
original data from the case should be entered), “Additional Information Section”
(whereby other relevant information for the individual problems should be
entered) and an “Output Section” (whereby the final answers to each problem is
presented).
(iii) Program your spreadsheet to perform all necessary calculations. Do not “hard
code” any amounts, use the addition, subtraction, multiplication, division
operations or any other specialised formulas.
(iv) Print a copy of the spreadsheet with the answers / results to the problems.
(v) Print a copy of the spreadsheet showing the formulas used therein.
Note : Please submit a copy of your CD with your Excel file.
Case study information :
Furnish Well Ltd. manufactures a single product which passes through 2 departments,
Assembly and Finishing.
All work is commenced in Assembly, from which all output is immediately transferred to
Finishing where additional materials are added when processing is 25% complete.
In Finishing, conversion costs are incurred uniformly throughout the process. Overhead is
allocated on the basis of 150% of direct labour cost.
Work in process, 1 Mar (9,000 units, 80% complete), cost of which includes :
Department - Assembly costs $182,250
Department - Finishing direct materials $62,100
Department - Finishing direct labour $22,320
Department - Finishing overheads $?
During the month of Mar, 85,000 units were completed and transferred to finished goods
inventory. Units transferred in from Assembly were charged at $20.50 per unit. #p#分頁標題#e#
Finishing’s costs in Mar were :
Material ，
s added $535,800
Direct labour $260,480
Overheads $?
At the end of the month, 24,000 units were still in process in Finishing. These were
estimated to be 15% complete.
Required :
Prepare the Finishing production cost report for the month of Mar 2007 using the FIFO
method. (14 marks)
QUESTION 2 (11 marks)
Cornerstone Inc. produces 2 products, Capstone and Anchorock. The direct costs of
manufacturing are materials and la
bour. All other costs are considered as indirect
overhead.
The following information relates to the 2 products for the year 2007 :
Capstone Anchorock
No. of units produced / sold 80,000 40,000
Total direct materials cost $360,000 $120,000
Direct labour cost per hour $12 $12
Total direct labour hours per unit 1.5 2.0
The estimated total overhead for 2007 is $1,800,000. Cornerstone is considering the use
of activity-based costing (ABC) to refine its costing system. It obtains the information
below :
Cost Driver Capstone
(Expected total driver units
for 2004)
Anchorock
(Expected total driver units
for 2004 )
Floor space (Sq m) 30,000 20,000
Machine hours (MH) 100,000 150,000
No. of Setups 42,000 18,000
Overhead costs for 2007 includes : $
Factory rental 70,000 Floor space related
Machine power a
nd maintenance 1,250,000 Machine hours related
Machine setup 480,000 Setup related
1,800,000
Required :
(a) Calculate the total cost of each product (assuming that the expected no. of units are
produced) using the activity-based costing system. (6 marks)
(b) Why is it important for employees to participate in identifying activities in ABC?
Discuss 3 “red flags” that indicates that companies have problems with their costing
system. (Word limit : 300). (5 marks)
QUESTION 3 (5 marks)
Jonah Ltd. manufactures 2 joint products. Both products require additional processing
beyond the split-off point. There were no opening inventories at 1 Jan 2007. The
following information relates to the month of Jan :
Small-Fry Big-Whale
Production (units) 70,000 81,000
Sales (units) 58,500 67,800
Closing inventories (units) 11,500 13,200
Selling price per unit $18 $19
Additional processing costs $189,000 $230,000
Total joint processing costs for Jan were $580,000. Joint costs are allocated using the net
realisable value method. The closing inventories are finished goods that are ready for
sale.
Required :
(a) Determine the cost of the ending inventories of each of the products as at 31 Jan
2007. (3 marks)
(b) Small-Fry could be processed further into Medium-Dolphin for an additional cost of #p#分頁標題#e#
$5.00 per unit. Medium-Dolphin would sell for $25.00 per unit. Should the company
produce Medium-Dolphin? (2 marks)

(b) Explain why overcosting and undercosting product occur with traditional costing systems. Why might individuals resist ABM and how could an organization overcome the resistance? (Word limit: 300)
Traditional costing systems which allocates overhead to the cost object arbitrarily and based on volume based measure such as direct labour hours or machine hours. Traditional costing systems, which assume that products cost all resources in proportion to their production volumes, thus report distorted product costs and caused overcosting and undercosting product. For instance, one product might take more time in one expensive machine than another product, but since the amount of direct labor and materials should be the same, the additional cost for the use of the machine would not be recognized and identified when the same broad ‘on-c

bour. All other costs are considered as indirect
overhead.
The following information relates to the 2 products for the year 2007 :
Capstone Anchorock
No. of units produced / sold 80,000 40,000
Total direct materials cost $360,000 $120,000
Direct labour cost per hour $12 $12
Total direct labour hours per unit 1.5 2.0
The estimated total overhead for 2007 is $1,800,000. Cornerstone is considering the use
of activity-based costing (ABC) to refine its costing system. It obtains the information
below :
Cost Driver Capstone
(Expected total driver units
for 2004)
Anchorock
(Expected total driver units
for 2004 )
Floor space (Sq m) 30,000 20,000
Machine hours (MH) 100,000 150,000
No. of Setups 42,000 18,000
Overhead costs for 2007 includes : $
Factory rental 70,000 Floor space related
Machine power a
nd maintenance 1,250,000 Machine hours related
Machine setup 480,000 Setup related
1,800,000
Required :
(a) Calculate the total cost of each product (assuming that the expected no. of units are
produced) using the activity-based costing system. (6 marks)
(b) Why is it important for employees to participate in identifying activities in ABC?
Discuss 3 “red flags” that indicates that companies have problems with their costing
system. (Word limit : 300). (5 marks)
QUESTION 3 (5 marks)
Jonah Ltd. manufactures 2 joint products. Both products require additional processing
beyond the split-off point. There were no opening inventories at 1 Jan 2007. The
following information relates to the month of Jan :
Small-Fry Big-Whale
Production (units) 70,000 81,000
Sales (units) 58,500 67,800
Closing inventories (units) 11,500 13,200
Selling price per unit $18 $19
Additional processing costs $189,000 $230,000
Total joint processing costs for Jan were $580,000. Joint costs are allocated using the net #p#分頁標題#e#
realisable value method. The closing inventories are finished goods that are ready for
sale.
Required :
(a) Determine the cost of the ending inventories of each of the products as at 31 Jan
2007. (3 marks)
(b) Small-Fry could be processed further into Medium-Dolphin for an additional cost of
$5.00 per unit. Medium-Dolphin would sell for $25.00 per unit. Should the company
produce Medium-Dolphin? (2 marks)

留學生dissertation網提供英國澳洲美國ACCOUNTING ASSIGNMENT代寫，代寫留學生會計essay，代寫會計assignment服務。
(b) Explain why overcosting and undercosting product occur with traditional costing systems. Why might individuals resist ABM and how could an organization overcome the resistance? (Word limit: 300)
Traditional costing systems which allocates overhead to the cost object arbitrarily and based on volume based measure such as direct labour hours or machine hours. Traditional costing systems, which assume that products cost all resources in proportion to their production volumes, thus report distorted product costs and caused overcosting and undercosting product. For instance, one product might take more time in one expensive machine than another product, but since the amount of direct labor and materials should be the same, the additional cost for the use of the machine would not be recognized and identified when the same broad