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Cost Accounting Assignment

Cost Accounting Assignment Instructions:

• Students must include these details (Name, Student ID, CRN, Date of submission)
• Do NOT  remove the questions in the answer papers. But write your answers below each question.
• Assignments should be submitted in MS Word format
• Font should be Times New Roman with 14 points.
• You are required to work in this assignment individually.
• You should submit the assignment via the Blackboard.
• Students who submit assignments after deadline, will get ZERO.
• If you engaged in plagiarism, you will get ZERO marks in the assignment or course.

Cost Accounting Assignment Question: 1-

(3 points)

If you have these 2 constraints:

0.6R+4D £ 180,000MachineHour constraint

3R+5D £ 150,000 Direct LaborHour constraint

Required:

aDraw a graph showing the possible production plans for this company.

Cost Accounting Assignment Question no 2

A housekeeping support department budgets its costs at SR 40,000 per month plus SR 12 / hour. For January the following were the estimated and actual hours provided by the housekeeping support department to 3 operating department.

 Estimated hours spent cleaning Actual  hours spent cleaning Department A 1600 1500 Department B 1400 1600 Department C 2000 1800 Total 5000 4900

Required:

A-        What is the support department’s allocation rate if estimated activity is the allocation base?

B         What is the support department’s allocation rate if actual activity is the allocation base?

C         List one advantages and one disadvantage for each types of allocation rate. (3 points)

3- Al Yamamah Steel Industries Co. uses the step method for allocating the costs of its service departments to operating departments. The company has two support departments (Human Resource and Information Technology) and two operating departments (Hot Rolled Hollow Steel and Cold Rolled Hollow Steel).

Al Yamamah Steel Industries Co. decided to allocate Human Resource department costs based on the number of employees in each department and Information Technology costs based on the number of machine hours in each department.       (4 Points).

Required:

a- Give a numerical example for the four departments as a given information.

 Support Departments Operating Departments TOTAL Human Resource Information Technology Hot Rolled Hollow Steel cold Rolled Hollow Steel Total department cost Number of employees Number of machine hours

b- Then based on your given information, use the step-down method to allocate support department costs.

Allocate cost:

 Human Resource Information Technology TOTAL

Last Updated on March 18, 2019

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