ASR Group of Companies Ltd Finance Assignment Help With Solution
Question One: Product Costing
ASR Group of Companies Ltd has four categories of overheads. The four categories and the expected overhead costs for each category for next year are as follows:
Currently, overheads are applied using a predetermined overhead rate based upon budgeted direct labour hours. For next year, 60,000 direct labour hours are budgeted.
The company has been asked to submit a bid for a proposed job. The factory manager feels that obtaining this job would result in new business in future years. Usually bids are based upon full manufacturing cost plus 40%.
Estimates for the proposed job are as follows:
|Number of materials moves||9|
|Number of inspections||7|
|Number of set-ups||4|
|Number of machine hours||400|
In the past, full manufacturing cost has been calculated by allocating overheads using a volume-based cost driver – direct labour hours. Mr AR the director has heard of a new way of applying overhead that uses cost pools and cost drivers.
How it Works
How It works ?
Step 1:- Click on Submit your Assignment here or shown in left side corner of every page and fill the quotation form with all the details. In the comment section, please mention product code mentioned in end of every Q&A Page. You can also send us your details through our email id firstname.lastname@example.org with product code in the email body. Product code is essential to locate your questions so please mentioned that in your email or submit your quotes form comment section.
Step 2:- While filling submit your quotes form please fill all details like deadline date, expected budget, topic , your comments in addition to product code . The date is asked to provide deadline.
Step 3:- Once we received your assignments through submit your quotes form or email, we will review the Questions and notify our price through our email id. Kindly ensure that our email id email@example.com and firstname.lastname@example.org must not go into your spam folders. We request you to provide your expected budget as it will help us in negotiating with our experts.
Step 4:- Once you agreed with our price, kindly pay by clicking on Pay Now and please ensure that while entering your credit card details for making payment, it must be done correctly and address should be your credit card billing address. You can also request for invoice to our live chat representatives.
Step 5:- Once we received the payment we will notify through our email and will deliver the Q&A solution through mail as per agreed upon deadline.
Step 6:-You can also call us in our phone no. as given in the top of the home page or chat with our customer service representatives by clicking on chat now given in the bottom right corner.
Features for Assignment Help
We believe in providing no plagiarism work to the students. All are our works are unique and we provide Free Plagiarism report too on requests.
We believe in providing perfect, relevant and 100% accurate solutions to the student as per questions asked. All our experts are perfect in providing that so as to give unique experience to the students.
We are the only service providers boasting of providing original, relevant and accurate solutions. Our three stage quality process help students to get perfect solutions.
All our works are kept as confidential as we respect the integrity and privacy of our clients.
- Physics Assignment Help
- Chemistry Assignment Help
- Engineering Assignment Help
- Psychology Assignment Help
- Online exam Help
- Marketing Assignment Help
- Arts Assignment Help
- Sociology Assignment Help
- Project Management Assignment
- Case Study Help
- Nursing Assignment Help
- Research Assignment Help
- Operations Management Assignment help
- Accounting Assignment Help
- Biology Assignment Help
- Mathematics Assignment Help
- English Assignment Help
- Business Plan Help
- Essay Writing Help
- Human Resource Assignment Help
- Accounting Homework Help
- Computer Science Assignment Help
- Finance Assignment Help
- Economics Assignment Help
- Statistics Homework Help
- Management Assignment Help
- Strategy Management Assignment Help
- Auditing Assignment Help
- Information Management Assignment Help
- Online Assignment Writing help
- Best Assignment Help
- Humanities Assignment help
Expected activity for the four activity-based cost drivers that would be used are as follows:
a. Determine the amount of overheads that would be allocated to the proposed job if direct labour hours are used as the volume-based cost driver.
▪ Determine the total cost of the proposed job.
▪ Determine the company’s bid if the bid is based upon full manufacturing cost plus 40%.
b. Determine the amount of overheads that would be applied to the proposed job if activity-based costing is used.
▪ Determine the total cost of the proposed job if activity-based costing is used.
▪ Determine the company’s bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30%.
c. Which product costing method produces the more accurate costing? Briefly explain.
|Best Photo Industries Limited|
31st March 2011
|Buildings, Equipments and other fixed assets||500,000|
|Liabilities and Stockholders Equity|
|Total Liabilities and Stockholders Equity||620,000|
Best Photo Limited., has not budgeted previously, and for this reason it is limiting its master budget planning horizon to just one month ahead, namely, April.
The company has assembled the following budgeted data relating to April:
▪ Budgeted Sales is $250,000.
▪ This includes $60,000 cash sales; the remainder will be credit sales.
▪ 50% of a month’s credit sales are collected in the month the sales,
▪ 50% is collected in the following month.
▪ All of the March 31 accounts receivable will be collected in April.
▪ Purchases of inventory are expected to total $200,000 during April.
▪ These purchases will all be on account.
▪ 40% of all inventory purchases are paid for in the month of purchase;
▪ The remainder are paid in the following month.
▪ All of the March 31 accounts payable (suppliers) will be paid during April.
▪ The April 30 inventory balance is budgeted at $40,000.
▪ Selling and administrative expenses for April are budgeted at $52,000, exclusive of depreciation. These expenses will be paid in cash.
Depreciation is budgeted at $2,000 for the month.
▪ The note payable on the March 31 balance sheet will be paid during April. The company’s interest expense for April (on all borrowing) will be $700, which will be deducted from the bank account
▪ New warehouse equipment costing $9,000 will be purchased for cash during April.
▪ During April, the company will borrow $18,000 from its bank by giving a new note payable to the bank for that amount. The new note will be due in one year.
a. Since the company has no budgeting experience, the CEO would like you to make a brief presentation slides about the advantages of budgeting (giving at least 2 advantages)
d. Prepare a cash budget for April. Support your budget with a schedule of expected cash collections from sales and a schedule of expected cash disbursements for inventory purchases.
e. Prepare a budgeted income statement for April.
f. Prepare a budgeted balance sheet as of April 30.
Question Three: Non Financial Indicators
The Royal Botanical Gardens has been established for more than 120 years and has the following mission statement:
“The Royal Botanical Gardens belongs to the Nation. Our mission is to increase knowledge and appreciation of plants, their importance and their conservation, by managing and displaying living and preserved collections and through botanical and horticultural research.”
Located toward the edge of the city, the Gardens are regularly visited throughout the year by many local families and are an internationally well-known tourist attraction. Despite charging admission it is one the top five visitor attractions in the country. Every year it answers many thousands of enquiries from Universities and research establishments, including pharmaceutical companies from all over the world and charges for advice and access to its collection. Enquiries can range from access to the plant collection for horticultural work, seeds for propagation or samples for chemical analysis to seek novel pharmaceutical compounds for commercial exploitation. It receives an annual grant in aid from Central Government, which is fixed once every five years.
The grant in aid is due for review in three years’ time. The Finance Director has decided that, to strengthen its case when meeting the Government representatives to negotiate the grant, the Management Board should be able to present a balanced scorecard demonstrating the performance of the Gardens. He has asked you, the Senior Management Accountant, to assist him in taking this idea forward. Many members of the board, which consists of eminent scientists, are unfamiliar with the concept of a balanced scorecard. To manage this task you are assigned with the following responsibilities
a. For the benefit of the Management Board, prepare a briefing paper based on the following approaches to performance measurement
i. Non financial indicators that are used in performance evaluation
ii. Bench making
iii. Balanced scorecard
g. Discuss at least eight non financial indicators that can be used to evaluate the usefulness for The Royal Botanical Gardens.
h. Evaluate the process you would employ to develop a suitable balanced scorecard for The Royal Botanical Gardens and give examples of measures that would be incorporated within it.
Question Four Cost-Volume- Profit Analysis
The Redco Company manufactures two products. Information about the two product lines is as follows:
|Product A||Product B|
|Selling price per unit||$90||$40|
|Variable costs per unit||45||15|
|Contribution margin per unit||$45||$25|
The company expects fixed costs to be $200,000. The firm expects 60% of its sales (in units) to be Product A (a sales mix of 3:2).
a. Calculate the contribution margin per package.
b. Determine the break-even point in units for Product A and Product B.
c. If Redco had to discontinue one of the two products – would it be Product A or Product B and why?
d. What other factors should be considered when making a decision to continue or discontinue a product line or segment.
e. The manager of Redco wants to know how much sales would be necessary to generate a before-tax profit
▪ Product A – $300,000
▪ Product B – $500,000
i. Briefly discuss the limitations of cost-volume-profit analysis.
Product Code :Fin169
To get answer for this question, kindly click here (Note: Don’t forget to write the product code in comment section)
You can also email us at email@example.com but please mentioned product code in the mail body while sending emails.You can browse more questions to get answer in our Q&A sections here.