Nobody downloaded yet

Management Control & Accounting - Essay Example

Comments (0) Cite this document
You have been asked to suggest a method of deducting the full cost of various production orders of Patel Ltd. This method will be used as a basis for setting prices. The production orders vary greatly in size and nature form on to the next.
In choosing between the two bases…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94.3% of users find it useful
Management Control & Accounting
Read TextPreview

Extract of sample "Management Control & Accounting"

Download file to see previous pages The costing can be improved by taking a different approach such as activity-based costing. In activity based costing, activities regarding the factory overhead costs will be classified, and the costs will be broken down according to the level of activities. In this way, the cause and effect between the overhead items in the factory overhead schedule and the activities will be more established, resulting in a more accurate costing.
2. Athena Ltd is an engineering business doing work for its customers to their particular requirements and specifications. It determines the full cost of each job taking a job costing approach, accounting for overheads on a departmental basis. It bases its prices to customers on this full cost figure. The business has two departments: a machining department, where each job starts, and a fitting department, which completes all of the jobs. Machining department overheads are charged to jobs on a machine hour’s basis and those of the fitting department on a direct labour hour basis. The budgeted information for next year is as follows:
a) Prepare a statement showing the budgeted overheads for next year, analysed between the two departments. This should be in the form of three columns: one for the total figure for each type of overhead and one column each for the two departments, where each type of overhead is analysed between the two departments. Each column should also show the total overhead for the year. Please use the template below.
c) Athena Ltd has been asked by a customer to specify the price that it will charge for a particular job that will, if the job goes ahead, be undertaken early next year. The job is expected to use direct material costing Athena Ltd £ 1200, to need 50 hours of machining time, 10 hours of Machine Department direct labour and 40 hours of Fitting Department direct labour. Athena Ltd charges a profit loading of 20% to the full cost of jobs to determine the selling ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Management Control & Accounting Essay Example | Topics and Well Written Essays - 1000 words”, n.d.)
Retrieved from
(Management Control & Accounting Essay Example | Topics and Well Written Essays - 1000 Words)
“Management Control & Accounting Essay Example | Topics and Well Written Essays - 1000 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Management Control & Accounting

Management and Cost Accounting: Planning, Control and Budgeting

...?Management and Cost Accounting Table of Contents Table of Contents 2 Introduction 3 a) The terms Planning, Control and Budgeting 4 b) Process Involved in the Preparation of Annual Master Budget 10 c) Behavioural Issues in a Budgeting Process and the Use of Budgetary Information 12 Conclusion 15 References 16 Bibliography 19 Introduction Accounting is a process of tracking record of varied transactions in an appropriate manner. Moreover, accounting is a procedure of recording transactions of businesses with relation to receipt and payment as well as incomes and expenditures. Furthermore, accounting is an important method of providing precious as well as significant information to people who are involved with business activity... is mainly...
11 Pages(2750 words)Essay

Management accounting and control the calculations provided of the accounting measures (Swain, Krumwiede and Eaton 1999). Therefore budgets and accounting performance measures play the role of focusing the attention of the managers on any forms of negative variances hence enabling an interactive use by the main actors. They in this way enable the organization to be run in a smooth and straight forward manner through providing indicative patterns of motivation and behavior required for the fulfillment of the respective organizational goals (Simons 1995). Answer 2 Controllability principle is built on responsibility accounting hence viewed as the cornerstone of responsibility...
15 Pages(3750 words)Coursework

Management accounting and control (5-8)

...accounting practices is that they exhibit inaccurate and inefficient performance measurements most so on businesses which operates in a non-conventional way. Traditional management accounting approaches have the problem of being useless when it comes to the provision of long range of products and services hence they require custom designs at such times. Another problem is the fact that the traditional systems are designed basically for the sake of satisfaction of the entire financial requirement to be applied when valuing inventory hence not advisable for use in measuring performance, operational control and product costing purposes (Gregoriou 2012). A good system is one...
15 Pages(3750 words)Coursework

Management accounting and control (s-12 -5-8))

...? Management accounting and control Introduction Organisations usually comprises on different decisions, in fact the entire productivity and efficacy of an entity relies with the fact that how effectively is manages its operations and funds. Finance is all about managing and utilizing the funds of an entity from different angles and to assess them with different provisions organisations have to undertake different decisions in total (V.S.BAGAD, 2008, pp.52). Managing the funds and increasing the shareholder’s equity is not the only provision and lawsuit of an entity but it mainly depends on certain things. Organisations have to undertake number of decisions in order to stay in the business and among different decisions; the name... ....
15 Pages(3750 words)Coursework

Management Accounting and Organizational Control

...Management Accounting and Organizational Control Prepared by Submitted to Word count 2798 words (excluding content and reference pages and foot notes) 3018 words (Including content and reference pages but excluding foot notes) Contents 1. Introduction 3 2. Operational Planning and Control in AG Barr Plc 4 3. Evaluation of OPC Process in AG Barr Plc 4 3.1 Management accounting 6 3.2 Operational processes in expanding the businesses 7 4. Strategic Planning and Control in AG Barr 8 4.1 Cost effectiveness 10 4.2 Investment Planning 10 5. Increasing Production Portfolio: Strategic...
11 Pages(2750 words)Essay

Management Accounting Control System

... Management Accounting Control System Introduction In order to run one business effectively, it is essential for one manager to check whether business is keeping accurate records and accounts. Two types of accounting information are basically found in organization such as, financial accounts and management accounts. Former one describes the performance of one business that needs to be filed at company’s house whereas the purpose of management accounts is to coordinate the planning of one business and making decisions about key areas like stock and sales...
8 Pages(2000 words)Essay

Art in the Stone Age

10 Pages(2500 words)Research Paper

Accounting for Strategy and Management Control

...Accounting for Strategy and Management Control Critical Analysis of the Research Paper: “Responsibility for Cost Management Hinders Learning To Avoid Winner’s Curse” By Bloomfield and Luft (2006) 1. Critical Analysis of the Research Paper A critical analysis is the careful analytical assessment of a piece of work, in this case a research paper. It involves identifying the research paper’s positive and negative points, and making a recommendation as to how the paper’s weaknesses can be addressed 1.1 Overall description and summary of the research paper The research paper is on the “winner’s curse,” which is defined as “the selection bias that occurs in an auction or...
16 Pages(4000 words)Essay

Management accounting and control

...Management accounting and control Budgeting systems are a part of the management functions of most organizations. It is a long established faith thateffective budgeting processes enhance the performances at different levels in the organization and serves as its planning system. The budgeting system primarily deals with the controlling functions in the organization; since the management does not have the facility to deal with the external factors that affect its performance it confines its planning route to the factors that are controllable internally. The budget, in simple words, can be described as the forecast developed...
10 Pages(2500 words)Essay


...ACCOUNTING FOR STRATEGIC & MANAGEMENT Ave Co Plc bought BH Ltd (Boutique hotel) 4yrs ago. TheAve Co Plc decided to restructure the hotel to raise their service culture and the level of customer satisfaction. This however did not go according to their expectations. The performance therefore has been disappointing due to a number of problems in their control systems and performance measurement systems as shown in the following mind maps (anonymous, 2008) Figure 1 Controls systems usually contain procedures designed to check, regulate, restrict and authenticate the use and access of a system or any asset. There are numerous problems that face the BH Ltd in the control systems. To begin with the audits are not done effectively... is not...
3 Pages(750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Management Control & Accounting for FREE!

Contact Us