Comprehensive Management Accounting Assignment Report

This document presents a comprehensive solution to a management accounting assignment. The assignment covers several key areas, including cost accounting, variance analysis, and budgeting. The solution begins with an analysis of different accounting methods, including normal and formula views, applied to various scenarios. It then delves into variance analysis, explaining its importance in identifying discrepancies between planned and actual figures, and its role in improving business performance. The assignment also explores the process of budget preparation, emphasizing the importance of aligning budgets with organizational policies and priorities. References to relevant literature are included to support the analysis. The document provides a detailed, step-by-step approach to solving the assignment questions, making it a valuable resource for students studying management accounting.

Running head: MANAGEMENT ACCOUNTING
Management Accounting
Name of the University
Name of the student
Authors note

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Table of Contents
Answer to Question 1:................................................................................................................2
Requirement A:......................................................................................................................2
Requirement B:......................................................................................................................3
Answer to Question 2:................................................................................................................4
Answer to Question 3:................................................................................................................5
Answer to Question 4:................................................................................................................7
Answer to Question 5...............................................................................................................11
Part B........................................................................................................................................12
References:...............................................................................................................................13

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Answer to Question 1:
Requirement A:
Normal View

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Formula View

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Requirement B:
There is huge difference in the construction of the Great Pyramid of Giza today and
its construction before 4500 years. In its construction traditional approach is necessary which
includes numerous steps such as designing, planning, commencement, implementation and at
last concluding. Several restrictions were present in the construction of pyramid which are the
techniques used, construction cost, amount of resources, etc. Through implementation and
utilization of modern cost management accounting, reduction of those restrictions can be
introduced in the construction techniques.
Thus in recent times, in the construction of the great pyramid, solicitation of
processed cost account might be appropriate. Thus this process can help in reduction of
expenses that could help in controlling the construction cost (Velasquez et al., 2015). Cost of
each unit of the product is taken as equal to cost of other units in case of processed
accounting. As processed costing is based on standard costing, it is considered as useful at the

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time of preparing a wide mixture of products. In addition, the construction of pyramid is very
difficult without having knowledge about the actual cost of construction. Nevertheless, by
enacting processed costing, the original cost of the products can be recognized.
Answer to Question 2:
Normal View

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Formula View

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Answer to Question 3
a)
Normal View

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Formula View
b)

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Formula View