offer
offer

Get Upto

55% OFF

-Coupon Code-

NEW25

offer
offer

Use Our Seasonal Offers!

Claim Now

4500+ Experts Writer

After completing my masters in Computer Applications from the University of Melbourne, I started offering academic writing services to the college and university students and have successfully delivered 1000+ projects in the last seven years. I hold expertise in all the topics that come under this subject field, and some of them are Computer Applications, Information Systems, Rational Database Systems, Human-Computer Interaction, Algorithms & Data Structures, Advanced Data Base Management System, etc. Hire me to score brilliant grades in any of your academic document related to this field of computer studies.

Kathleen James

Kathleen James

Orders in Progress - 26

Orders Finished - 1239

Hire Now

After completing higher education from the Murdoch University Australia, I started offering online assignment writing assistance to the students studying in the Australian universities/colleges. Till now, I have successfully delivered more than 300 projects on the different topics of microprocessor, such as Pipelining, data level parallelism, IO Operations, Interrupts and fault handling, single cycle data path, etc. I can work on any type of academic paper, be it assignment, coursework, thesis, dissertation, essay, research paper, and so on. Hire me to score brilliant grades in any of your document related to this field of subject.

Keily Nelson

Keily Nelson

Orders in Progress - 78

Orders Finished - 348

Hire Now

I'm a masters holder in International Toursim Marketing from the University of Sydney, Australia. I am also a certified academic writer having ten years of experience in offering academic writing services to the college students. The topics I have covered till now are numerous, but some of them are Visitor Attractions Management, Hospitality and Tourism Operating Systems, Sustainable Tourism Management, International Tourism Marketing, Strategic Hotel Management and many others. Students have scored the best grades in this subject after taking my assistance. I have provided assistence in writing term papers, coursework, assignments, dissertation, theses and research papers related to this field.

Mike Stevan

Mike Stevan

Orders in Progress - 44

Orders Finished - 2423

Hire Now

I have worked as an assistant professor in one of the leading universities of Australia. I hold teaching experience of ten years in the Law field. Therefore, I am well aware of all the university guidelines. I provide writing assistance to the scholars pursuing degree course in Law and its various types in assignments, research papers, reports, theses and dissertations. I have successfully completed many orders on topics like Public Law, Administrative Law, Criminal Law, Human Rights and Immigration Law, Capital Punishment, Criminal Procedure, Double Jeopardy, Criminal Defense, European Law, International Criminal Court, Criminal Sentencing, Civil and Criminal Forfeiture, and many more. If you do not find sufficient time to complete your academic writing work, then you can prefer taking my help.

Kristina Joseph

Kristina Joseph

Orders in Progress - 11

Orders Finished - 1124

Hire Now

Affordable Prices

Top Grades at Cheap Rates!

    Prices Starts From
    USD 7.19
    Offer Discount 25 % Off
    USD7.19

    Get upto 51% OFF on Your First Order !

    Prices Starts From

    USD 7.19

    Amazing Features We Offer

    24*7 Help Service

    100% Satisfaction

    No Privacy Infringement

    Super-fast Services

    Subject Experts

    Professional Documents

    L/508/0442 - Introduction to management accounting for Sewing Easy ltd

    University: University of Chester

    • Unit No: 7
    • Level: Undergraduate/College
    • Pages: 12 / Words 2890
    • Paper Type: PPT
    • Course Code: L/508/0442
    • Downloads: 1630
    Question :
    '

    The purpose of this report is to develop appropriate understanding of learner in the context of management accounting by considering cost calculation approaches with reference to current traditional costing system.

    • Discuss cost per unit of basic and advance models with reference to current traditional costing system.
    • Analyze cost per unit of the two models in the context of Sewing Easy ltd.
    • Evaluate motive of overseas buyers in respect with buying advanced model in Sewing Easy ltd.
    • Identify the reason behind same overheads and suggesting ways in the context of fluctuations.
    • Discuss the benefits and limitations of Sewing Easy ltd.
    '
    Answer :

    INTRODUCTION

    Management accounting is the process of preparing reports and accounts which provides manager with accurate financial as well as statistical information for short-term decision making. In the context of business unit, management accounting ensures better planning and exerts control over the business organization. The present report is based on the case scenario of Sewing Easy ltd which mainly manufactures two models such as basic and advance. Now, with the motive to enhance customer base and maximize profit level business unit wants to explore operations at global level. Hence, in this, report will provide deeper insight about the cost of two concerned models under traditional and activity based costing method. Further, report also depicts the advantages and drawbacks associated with ABC system.

    Calculating cost per unit of basic and advance models of sewing machines under current traditional costing system

     Traditional costing system

    Overhead rate: Total manufacturing overhead / total labour cost

    Particulars

    Basic model (Figures)

    Advance model (Figures)

     

     

     

    Manufacturing overhead

    $250000 (refer W. N. 1)

    $451700 (refer W. N. 2)

    Labour cost (refer W. N. 3)

    240000

    390000

    Overhead rate

    $1.04

    $1.16

     

    Working note 1: Computation of total indirect overheads for basic model

    Particulars

    Figures (in $)

    Inspection

    $20000

    Assembly

    $90000

    Production Scheduling

    $105000

    Machine set-up

    $35000

    Total

    $250000

     

    Working note 2: Total indirect overhead cost assessment for advance model considering other operating expenses are enumerated below: 

    Particulars

    Figures (in $)

    Total indirect expenses as per basic model

    $250000

    Add: selling and administration

    $140600

    Add: interest expense

    $25200

    Add: office rent

    $35900.

    Total

    $451700

     

    Working note 3: Computation of total labour cost

    Particulars

    Basic model (Figures in $)

    Advance model (Figures in $)

    Units produced and sold

    1600

    1500

    Direct Labour cost per unit

    150

    260

    Total labour cost

     

    240000

    390000

     

    Calculation of total unit cost pertaining to basic and advanced model is as follows:

    Basic model (Figures in $)

    Advance model (Figures in $)

    Direct material cost per unit

    325

    560

    Direct Labour cost per unit

    150

    260

    Overhead cost

    (150 * 1.04) = 156

    (150 * 1.16) = 174

    Unit cost

    631

    994

     

    Computing cost per unit of the two models of sewing machines under Activity based Costing

    Unit cost assessment as per activity based costing

    Particulars

    Indirect / overhead costs

    Relevant cost driver

    Total  of activities

    Indirect / overhead costs / related cost driver

    Inspection

    $20,000

    Inspection

    950

    $21.05

    Assembly

    $90,000

    Assembly

    8000

    $11.25

    Production Scheduling

    $105,000

    Production Scheduling

    550

    $190.91

    Machine set-up

    $35,000

    Machine set-up

    350

    $100

     

    Particulars

    Total Indirect / overhead costs

    Total  of activities

    Activity rate (A)

    Activity Usage (Basic model) (B)

    Activity Cost Assigned to basic model  [C = (A * B)]

    Activity Usage pertaining to Advance model (D)

    Activity Cost Assigned to advance model E = (A * D)

    Inspection

    $20,000

    950

    $21.05

    200

    $4,210.53

    750

    $15,789.47

    Assembly

    $90,000

    8000

    $11.25

    4600

    $51,750.00

    3400

    $38,250.00

    Production Scheduling

    $105,000

    550

    $190.91

    50

    $9,545.45

    500

    $95,454.55

    Machine set-up

    $35,000

    350

    $100.00

    100

    $10,000.00

    250

    $25,000.00

    selling and administration

    $140600

    $140600 * 36% = $50616 (refer w. n. 4)

    interest expense

    $25200

    $25200 * 6% = $1512 (refer w. n. 4)

    office rent

    $35900.

    $35900 * 9% = $3231 (refer w. n. 4)

    Total overhead cost

    $75505.98

    $229853

    Per unit overhead cost

    $75505.98 / 1600 = $47.19

    $229853 / 1500 = $153.24

     

    Working note 4:

    Particulars

    Total Indirect / overhead costs

    Labour cost (advanced model)

     

    selling and administration

    $140600

    390000

    36%

    interest expense

    $25200

    390000

    6%

    office rent

    $35900.

    390000

    9%

    Amazing Discount

    UPTO55% OFF

    Subscribe now for More Exciting Offers + Freebies

    Download Full Sample

    Cite This Work

    To export references to this Sample, select the desired referencing style below:

    Students sometimes cannot express their inability to work on assignments and wonder, "Who will do my assignment?" To help them understand the complexities of writing, we are providing "samples" on various subjects. Also, we have experienced assignment writers who can provide the best and affordable assignment writing services, essay writing services, dissertation writing services, and so on. Thus, don't wait any longer! Place your order now to take advantage of discounted deals and offers.

    Limited Time Offer

    Exclusive Library Membership + FREE Wallet Balance