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Assignment of Management Accounting
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Added on 2020-03-16
Assignment of Management Accounting
Added on 2020-03-16
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Running head: MANAGEMENT ACCOUNTINGManagement AccountingName of the Student:Name of the University:Author’s Note:
1MANAGEMENT ACCOUNTINGAssignment Part 1:MonthNumber ofDaysTable Model 1Table Model 2Total Tables(Model 1 +Model2)Machinery's Electricity UsageOther Electricity UsageTotal Electricity Usage(kwh)(kwh)(kwh)131320080040001200243144322840001000500015002491749331480012006000180026120614306400160080002400337.92737.9531760019009500285048933396304400110055001650607.22257.27316240156078002340638.42978.48317120178089002670697.53367.59304800120060001800480228010316400160080002400337.92737.91130768019209600288024631261231800020001000030004003400TOTAL36570640176608830026490498731477Answer 1:ParticularsElectricity Provider 1Electricity Provider 2Total Nos. of Days365365Total Electricity Usage (kwh)3147731477Primary Limit of Usage (kwh)335.34255Usgae rate for First Limit$0.2980$0.2955Electricity Expense for 1st Limit$99.93 $75.35 Balance Usage (kwh)3114231222Usage Rate for Balance Usage$0.3001$0.2875Electricity Expense for Balance Usage$9,345.58 $8,976.30 Annual Electricity Cost$9,445.51$9,051.65
2MANAGEMENT ACCOUNTINGAnswer 2:Electricity Provider 1Electricity Provider 2MonthNumber ofDaysTotalElectricity UsageFirst Limit (kwh)Rate per kwhBalance UsageRate per kwhSupply Charge per dayTotal Electricity CostFirst Limit (kwh)Rate per kwhBalance UsageRate per kwhSupply Charge per dayTotal Electricity Cost1311443335.34$0.29801107.66$0.3001$4.012556.71209255$0.29551188$0.2875$5.000$541.272281749335.34$0.29801413.66$0.3001$4.012636.50669255$0.29551494$0.2875$5.000$617.213312061335.34$0.29801725.66$0.3001$4.012742.17389255$0.29551806$0.2875$5.000$718.954302737.9335.34$0.29802402.56$0.3001$4.012941.29958255$0.29552482.9$0.2875$5.000$909.555313339335.34$0.29803003.66$0.3001$4.0121125.7017255$0.29553084$0.2875$5.000$1,086.376302257.2335.34$0.29801921.86$0.3001$4.012797.04151255$0.29552002.2$0.2875$5.000$771.357312978.4335.34$0.29802643.06$0.3001$4.0121017.4856255$0.29552723.4$0.2875$5.000$982.708313367.5335.34$0.29803032.16$0.3001$4.0121134.2545255$0.29553112.5$0.2875$5.000$1,094.579302280335.34$0.29801944.66$0.3001$4.012803.88379255$0.29552025$0.2875$5.000$777.9010312737.9335.34$0.29802402.56$0.3001$4.012945.31158255$0.29552482.9$0.2875$5.000$913.5611303126335.34$0.29802790.66$0.3001$4.0121057.7684255$0.29552871$0.2875$5.000$1,021.1312313400335.34$0.29803064.66$0.3001$4.0121144.0078255$0.29553145$0.2875$5.000$1,103.91TOTAL36531476.910902.14710538.4688
3MANAGEMENT ACCOUNTINGAssignment Part 2:MonthTotal TablesTotal Electricity CostRentOther ExpensesRaw Material CostsLabor CostTotal Cost14000$541$10,000$5,642$10,825$136,000$163,00925000$617$10,000$4,000$12,344$170,000$196,96136000$719$10,000$6,540$14,379$204,000$235,63848000$910$10,000$7,000$18,191$272,000$308,10059500$1,086$10,000$7,536$21,727$323,000$363,35065500$771$10,000$7,565$15,427$187,000$220,76377800$983$10,000$11,345$19,654$265,200$307,18288900$1,095$10,000$10,007$21,891$302,600$345,59396000$778$10,000$7,589$15,558$204,000$237,925108000$914$10,000$6,700$18,271$272,000$307,885119600$1,021$10,000$4,152$20,423$326,400$361,9961210000$1,104$10,000$8,800$22,078$340,000$381,982TOTAL88300$10,538$120,000$86,876$210,769$3,002,200$3,430,384Requirement 1:Classification cost are done based on fixed, variable and mixed cost. Electricity- Electricity is usually regarded as mixed cost, this is because, a fixed rate canbe charged using a base amount. For any usage above the base amount, business will be requiredto pay additional variable charge. Rent is classified as fixed cost as this is considered as periodic charge for using of realestate by business that is owned by landlord. Sometimes, rent is classified as mixed cost if theoffice space is on lease. Fixed cost would be flat monthly rate and variable cost will be treated aspercentage of gross sales.
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