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Management Accounting: Income Statement, Activity Cost Pools, Performance Valuation, Budget Planning, and Variance Analysis

   

Added on  2022-11-07

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Running head: MANAGEMENT ACCOUNTING
1
MANAGEMENT ACCOUNTING
Management Accounting: Income Statement, Activity Cost Pools, Performance Valuation, Budget Planning, and Variance Analysis_1

Running head: MANAGEMENT ACCOUNTING
Contents
Question 1.....................................................................................................................................3
Question 2.....................................................................................................................................4
Question 3.....................................................................................................................................4
Question 4.....................................................................................................................................5
Question 5.....................................................................................................................................5
Question 6.....................................................................................................................................6
References.....................................................................................................................................7
Management Accounting: Income Statement, Activity Cost Pools, Performance Valuation, Budget Planning, and Variance Analysis_2

Running head: MANAGEMENT ACCOUNTING
Question 1
Income Statement
for the year ending
Particulars Units Price Total
Selling price of barbecue 2000 2 $ 4,000.00
Selling price of balloon 1000 1 $ 1,000.00
Total sales $ 5,000.00
Cost of stock 2000 0.25 $ 500.00
1000 0.03 $ 30.00
Gross Profit $ 4,470.00
Less: Expenses
Remuneration $ 1,600.00
Leasing BBQ $ 200.00
Balloon Pump $ 50.00
Sales and adminstrative $ 50.00
Permit expenses $ 250.00
Total Expenses $ 2,150.00
Net profit $ 2,320.00
This table explains the calculation of net profit of the business and the net profit of the business
opened by four friends comes at $2320.
Management Accounting: Income Statement, Activity Cost Pools, Performance Valuation, Budget Planning, and Variance Analysis_3

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