Accounting graded unit 2 - Coursework Example

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The company has strong market reputation but due to economic downturn, it is having spare capacity. Ergodesign is planning to make optimum use of the…
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Accounting graded unit 2
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Download file to see previous pages The goals can be significantly categorised as planning, development and evaluation. The planning process is very crucial and should be devoted moderate amount of time. The expected time frame for the planning process is approximately two weeks. The development stage require gathering of various primary information as well as secondary information for careful assessment and budget planning. A time period of three weeks can be considered thereof. Evaluation process can be conducted within a span of 10 days.
The key factors are quantity of the final product the wholesaler is willing to stock, direct and indirect material required for production, manpower for operational activities and hours required for determination of total cost.
Additional requirement of resources such as manpower and method of costing require more research and attention. It was determined that the company has implemented traditional as well as activity based costing for budgeting for its products. Since the new product is going for production for the first time, appropriate cost method requires significant consideration. The company is planning to make some additional investment in CNC machine and should research whether the investment is worthy.
There are two research methods that can be implemented in research process, namely, primary research and secondary research. Primary research indicates towards first hand obtained data while secondary research is pursued by evaluating various readily available data such as company database, journals, books and other sources. The case study is a prominent secondary source in this paper and the other secondary sources that will be used in this regard are books and journals.
The report is a multifaceted project and requires evaluation of several minor and major aspects underlying the situation. Costing ...Download file to see next pagesRead More
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