Assignment Management Accounting: Costing and Budgeting
17 Pages3923 Words62 Views
Added on 2020-06-06
Assignment Management Accounting: Costing and Budgeting
Added on 2020-06-06
ShareRelated Documents
Management Accounting:Costing and Budgeting
Table of ContentsINTRODUCTION...........................................................................................................................1TASK 1............................................................................................................................................1Q1................................................................................................................................................1a). Cost classification into Fixed, variable and semi-variable costs:..........................................1b). Explain other ways of classifying costs:................................................................................2Q2. ..............................................................................................................................................3A). Calculation of costs at various level:....................................................................................3B). Analysis the cost via graphs..................................................................................................4Q3 Calculation of inventory by using FIFO,LIFO and average inventory method:...................4Q4 Preparation of January month report through using inventory methods:..............................6Q5. ..............................................................................................................................................6a). Diverse performance indicators:............................................................................................6b).................................................................................................................................................71. To reduce costs:.......................................................................................................................72. To enhance value:...................................................................................................................7TASK 2............................................................................................................................................8Q6................................................................................................................................................8a). Budget:...................................................................................................................................8B). Objectives of budget formulation:........................................................................................8c). Process of budget preparation:...............................................................................................8Q7: Preparation of different budgets...........................................................................................9Q8.Cash Budget .......................................................................................................................10TASK 3..........................................................................................................................................10Q9. Computation of budgeted statements.................................................................................10Q10............................................................................................................................................11CONCLUSION..............................................................................................................................12REFERENCES..............................................................................................................................13
INTRODUCTIONManagement accounting tools are an essential aspect for growing the firm's developmentand likewise support firm's management. In order to make decision for short term as well as longterm, managers should need to prepare management reports and accounts to get accurate resultand provide financial and statistical information (Renz, 2016). The main aim of this report is toknow that how management accounting uses financial data in order to making planning,monitoring and control of the finance within organisation. Therefore it is necessary to introducethe fundamentals of management accounting which applies within the organisation in order tooperate business environment. Therefore the methods and techniques and tools should need to beimplemented in order to control the usage of finance which help an organisation to face thefinancial problems (Suomala, Lyly-Yrjänäinen and Lukka, 2014).TASK 1Q1a). Cost classification into Fixed, variable and semi-variable costs:Cost: This is the main aspect for producing a good. If the management of the smart lookLtd effectively implement management accounting tools in a firm the company could get thesustainable development in the firm. Cost is divided into three parts which are namely: fixed,variable and semi-variable costs. Costs are divided into two parts; direct and indirect costs. Direct costs are those which aredirectly connected to producing of units. While indirect costs are those which are ultimately notrelated to the cost of production but indirectly contribute to the costs of production (Ward,2012).Cost are namely divided as follows: Fixed costsVariable costsSemi-variable costsThis is the cost that constantlyfixed irrespective of change inthe output or sales revenue.These are optimum used ifproduction is highly produced.Such activity will make perThis is the cost which vary asper the change in the cost ofproduction. This makes doesnot effect on the cost ofproduction as this change withthe vary in the production unitsA semi- variable costs arethose which are half variableand half fixed. However, thereis a need to apportioned thesecosts that are totally used bythe company in order to gain1
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
MANAGEMENT ACCOUNTING TABLE OF CONTENTS INTRODUCTION 5 Q1.5 a) Classification of cost 5 Q2.7 b) Analysis of inventory 7 Q3. Method 8lg...
|18
|3165
|106
Managing costs of goods sold under different inventory methodslg...
|19
|5696
|316
Management Accounting Costing Budgeting Assignmentlg...
|15
|3716
|148
MANAGEMENT ACCOUNTING AND COGS Reportlg...
|24
|5191
|500
Accounting Costing and Budgeting INTRODUCTION 3 TASK 13 1.1 Classification, Preparing and Analysis of Cost Reportslg...
|18
|4929
|198
Various Type of Costs of the Cited Firm | Assignmentlg...
|15
|3452
|96