Cost Accounting -CVP.--15point

請解答!___________________A Ltd manufactures a single product, has prepared the following budgeted information for the next period:___________________Production/sales units. 10,000___________________Selling price per unit $56___________________Direct material $140,000___________________Direct labour $100,000___________________Production overhead $110,000___________________Selling & distribution overheads $70,000___________________Administration overheads $20,000___________________The following points have revealed concerning the budget:___________________1) The budget is bases on 80% utilisation of maximum capacity.尼句點解?___________________2) Production overheads are absorbed on a cost per unit basis based on the maximum capacity & a total cost of $120,000 at maximum capacity.尼句點解?___________________3) Selling & distribution overheads include a fixed element of $30,000.___________________4) Administration overheads are fixed.___________________REQUIRED___________________Calculate for the next period___________________(1) The fixed overhead costs?___________________(2) The break-even point in units?___________________(3) The margin of safety as a % of the sales?___________________(4) Profit at 80% capacity utilisation ?___________________Thank you

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  • 9 年前

    Cost accounting information is designed for managers. Since managers are taking decisions only for their own organization, there is no need for the information to be comparable to similar information from other organizations. Instead, the important criterion is that the information must be relevant for decisions that managers operating in a particular environment of business including strategy make. Cost accounting information is commonly used in financial accounting information, but first we are concentrating in its use by managers to take decisions. The accountants who handle the cost accounting information generate add value by providing good information to managers who are taking decisions. Among the better decisions, the better performance of one's organization, regardless if it is a manufacturing company, a bank, a non-profit organization, a government agency, a school club or even a business school. The cost-accounting system is the result of decisions made by managers of an organization and the environment in which they make them.