The Fixed Period

$ 30,00,000 $ 10,00,000 Variable expenses 13,00,000 9,00,000 4,00,000 Contribution margin 27,00,000 21,00,000 6,00,000 Fixed expense 22,00,000

A. Breakeven point (BEP) is where the total contribution cost equals to fixed cost. To calculate this, you do fixed cost divided by the contribution per unit. To calculate the contribution per unit you do the selling price minus the variable costs. Racquets - £225 Producing - 6000 units Labour - 27000 hours Materials - £44 X 6000 = £264,000 Labour - £12 X (4.5 hours x 6000) = £324,000 Variable overheads production – 10 x 4.5 = 45 x 6000 = £270,000 Total Expenses - £858,000 + 161,000 + 126,000 = 1

through the subtraction of the costs from the revenues. Fixed cost is costs that are not changeable over a long period of time while the variable costs do change as time changes. Traditionally, the statement of accounts and profitability only took into consideration the interplay between the two factors- costs and revenues. In this traditional statement, variable costs and fixed cost were treated similarly. The separation of the costs as either fixed cost or variable cost came into being with the advent

2: Preset name (please change): Industry 3 Company 2 September 24, 2012 Period number 0 1. Company 1.1 Decisions with effect in this period Lean management Payment of dividends 1.2 Results Company fixed costs Total throughput time Single shift Double shift 1.3 Indices Lean management [accumulated value] 350,000 Euro 600,000 Euro 70,000 Euro 2 % 40 days 25 days 2. Sales 2.1 Decisions with effect in this period Product policy Alesa Bordo 200,000 Euro 200,000 Euro Germany Price policy:

Mid Semester Examination First Semester, 2013 BUSN7031 Management Accounting & Cost Analysis Writing period: 1.5 Hours duration Study period: 10 Minutes duration Permitted materials: *Non-programmable Calculators *English to Foreign language translation dictionary with signed permission form You must attempt to answer all questions. INSTRUCTIONS ∗ The examination paper consists of 2 sections (Multiple Choice Questions and Problems). ∗ Answer ALL Multiple Choice Questions on

Costing Questions 1. Although both variable and mixed costs change in total with activity measure changes, the difference is that variable costs change in direct proportion to such activity changes and mixed costs do not. Since a mixed cost has both a fixed and variable component, the cost per unit at different activity levels is not constant as it is with a variable cost. 2. No, these are not always the best points of observation. First, the points must be within the relevant range of activity. Second

Production of wheat depend upon various inputs such as Land, Labour and Capital that leads to the output. As a producer, one will calculate how much of land and labour or other factors are required to produce the given quantity of a commodity (wheat). Production function helps us study the functional relationship between physical inputs and physical output of a commodity. It is purely a technical relation which carries factor inputs and output. Y=f(X1, X2) Y: maximum possible output of a commodity

information provided to them is meaningful. Another argument in the case for using variable costing is that it could possibly eliminate time-consuming efforts required to allocate fixed overhead. This is partially true in that the variable costing method only assigns variable costs to products and allocating fixed overhead to individual products is not necessary. However, variable costing is not accepted by generally accepted accounting principles, so the time saved may not be as much as expected

prospective buyers into groups or segments that have common needs thus respond similarly to a marketing action. A target profit is simply the net operating income a management desires to achieve a specific amount of profit at the end of a business period. Market segmentation would help the company segment its customers based on the geographical region by area, demographically by age, gender, family size, income, and life cycle. One can use the cost volume profit equations and formulas to determine

AS 6- Depreciation accounting AS 10 - accounting for fixed assets As per AS 10 no exemption for property under development for future use as investment property. AS10 does are not require Fixed assets to be componentised and depreciated separately, although it states that such an approach may improve the accounting for an item of the fixed asset. Schedule II to the