Higher Nationals
Assignment Brief – BTEC (RQF)
Higher National Diploma in Business
Student Name /ID Number
Unit Number and Title Unit 5 Management Accounting
Academic Year 2019/20
Unit Assessor Muruhan Arifoglu
Assignment Title Management Accounting
Issue Date XXXXXXXXXX
Submission Date XXXXXXXXXX
IV Name Saheed Ayinde
Date XXXXXXXXXX
Learner Declaration:
I certify that the work submitted for this assignment is my own and research sources are fully
acknowledged.
Student signature: XXXXXXXXXXDate:
Submission Format:
Task One
The submission is in the form of an individual written report. This should be written in a concise,
formal business style using single spacing and font size 12. You are required to make use of
headings, paragraphs and subsections as appropriate, and all work must be supported with
esearch and referenced using the Harvard referencing system. Please also provide a bibliography
using the Harvard referencing system. The recommended word limit is 1,500–2,000 words,
although you will not be penalised for exceeding the total word limit.
Task Two
The submission is in the form of detailed notes. The notes should be submitted as one copy. You
are required to make effective use of headings, bullet points and subsections as appropriate. Your
esearch should be referenced using the Harvard referencing system. Please also provide a
ibliography using the Harvard referencing system. The recommended word limit is 1,500–2,000
words, including speaker notes, although you will not be penalised for exceeding the total word
limit.
Unit Learning Outcomes:
LO1 Demonstrate an understanding of management accounting systems
LO2 Apply a range of management accounting techniques
LO3 Explain the use of planning tools used in management accounting
LO4 Compare ways in which organisations could use management accounting to respond to
financial problems
Assignment Brief and Guidance:
Task 1 (P1 ,P2, P3,P4,P5, M1, M2, M3,M4,D1 and D2)
Scenario and activity:
You are an accountant clerk for a medium-sized enterprise in the manufacturing sector [an
organisation of your choice – your own place of work if appropriate] and, in an effort to promote
understanding between different departments in the organisation, you and your colleagues have
een asked by your line manager to deliver a presentation on the role and function of the
management accounts department, covering the management accounting systems operating in the
organisation as well as the range of techniques used. You will present the following :
The presentation includes supporting calculations from a portfolio of completed financial
statements, plus:
1. Explain management accounting and give the essential requirements of different types of
management accounting systems. You need to also explain different methods used for
management accounting reporting
2. Evaluate the benefits of management accounting systems and their application within an
organisational context also by critically evaluating how management accounting reporting
is integrated within organisational process
3. Explain how planning tools used in management accounting for budgetary control,
indicating how effective you judge each to be and why. Your judgements should be
supported by examples to demonstrate advantages and disadvantages of each of them.
You need to also analyse the use of different planning tools and their application for
preparing and forecasting budgets.
4. Using specific case studies as examples, compare the ways in which management
accounting is applied, the effectiveness of management accounting in dealing with financial
problems and preventing financial problems in organisations. Your comparison must reflect
how two or more organisations apply management accounting system. Furthermore,
analyse the use of different planning tools and their application for preparing and
forecasting budgets. Provide conclusions and recommendations to the organisation on
which methods to apply in order to achieve sustainable business success, based on your
findings and evidence provided.
5. You need to also evaluate how planning tools for accounting respond appropriately to
solving financial problems to lead organisations to sustainable success.
Task 2 (P3, M2, D2)
London Limited commenced business on 1 January 2019. It manufactures a special type of chair
designed to alleviate back pain. Information on the first yearʼs trading is as follows:
number of chairs
manufactured 5,000
number of chairs sold 4,500
selling price
£110 per
chair
direct materials £30 per chair
direct labour £40 per chair
fixed production
overheads £100,000
The directors ask for your help in producing profit statements using the marginal costing and
absorption costing methods. They say that they will use ʻthe one that shows the higher profitʼ to
the companyʼs bank manager.
Therefore, you need to calculate costs using appropriate techniques of cost analysis to prepare an
income statement using marginal and absorption costs. Furthermore, accurately apply a range of
management accounting techniques and produce appropriate financial reporting documents and
produce financial reports that accurately apply and interpret data for complex business activities.
Assignment Guidelines
❖ Submit a soft copy in a CD or Email to XXXXXXXXXX on the submission date. Use
Normal script of a proper font size 12.
❖ Attach the front sheet of this assignment
ief to your work for assignment submission with
signatures on the statement of authenticity.
❖ Assignments submitted after the deadline will not be accepted unless Extenuating
Circumstances Form is submitted with third party evidence.
❖ Collusion and Plagiarism must be avoided.
❖ Start each answer on a new page and pages should be numbered. Highlight each question
clearly.
❖ Include a Bibliography at the end of the assignment and use the Harvard referencing
system.
❖ All work should be comprehensively referenced and all sources must be fully
acknowledged, such as books and journals, websites (include the date of visit), etc.
❖ In order to pass you need to address all the LOs and meet all the PASS (Ps) criterions within
the LO.
❖ In order to get a merit you need to address the characteristics of Pass and then M1, M2 ,M3
and M4
❖ In order to get a distinction you need to address the characteristics of Pass, Merit and then
D1, D2 and D2.
Recommended Resources
DRURY, C XXXXXXXXXXManagement and Cost Accounting. 9th Ed. Cengage Learning.
EDMONDS, T. and OLDS, P XXXXXXXXXXFundamental Managerial Accounting Concepts. 7th Ed.
Maidenhead: McGraw-Hill.
HORNGREN, C., SUNDEN, G., STRATTON, W., BURGSTALHER, D. and SCHATZBERG, J.
(2013) Introduction to Management Accounting. Global Ed. Harlow: Pearson.
(This text is available electronically and is supported by access to an online course)
SEAL, W. et al XXXXXXXXXXManagement Accounting. 5th Ed. Maidenhead: McGraw-Hill
Pass Merit Distinction
LO1 Demonstrate an understanding of management
accounting systems
P1 Explain management
accounting and give the
essential requirements of
different types of management
accounting systems.
P2 Explain different methods
used for management
accounting reporting.
M1 Evaluate the benefits
of management
accounting systems and
their application within
an organisational context.
D1 Critically evaluate how
management accounting systems
and management accounting
eporting is integrated within
organisational processes.
LO2 Apply a range of management accounting
techniques
P3 Calculate costs using M2 Accurately apply a D2 Produce financial
appropriate techniques of range of management reports that accurately
cost analysis to prepare accounting techniques apply and interpret data
an income statement and produce appropriate for a range of business
using marginal and financial reporting activities.
absorption costs. documents.
LO3 Explain the use of planning tools used in
management accounting
P4 Explain the advantages and
disadvantages of different
types of planning tools used
for budgetary control.
M3 Analyse the use of
different planning tools
and their application for
preparing budgets and
forecasts.
LO3 and LO4
D3 Evaluate how planning tools for
accounting respond appropriately to
solving financial problems to lead
organisations to sustainable success.
LO4 Compare ways in which organisations could use
management accounting to respond to financial
problems
P5 Compare how
organisations are adapting
management accounting
systems to respond to
financial problems.
M4 Analyse how, in
esponding to financial
problems, management
accounting can lead
organisations to
sustainable success.
Higher Nationals –
Summative Assignment Feedback Form
Student Name/ID
Unit No /Title Unit 5- Management Accounting
Cohort Term / Group
Assignment Number Assessor
Submission Date
Date 1st
submission
Re-submission Date
Date 2nd submission
Assessor’s Feedback:
General Comments:
Grade:
Assessor Signature:
Date:
Resubmission Feedback:
Grade:
Assessor Signature:
Date:
Grade Awarded:
Internal Verifier’s Comments:
Signature & Date:
* Please note that grade decisions are provisional. They are only confirmed once internal and
external moderation has taken place
Higher Nationals
Assignment Brief – BTEC (RQF)