QUESTION 9 Activity Based Costing (10 marks)
Your employer is contemplating changing the existing traditional costing systems used in the business to adopt activity based costing (ABC). See your text chapter 3.
Prepare a business report comparing the traditional costing system with ABC and evaluate arguments for and against ABC.
Use the Internet as a resourceandacademic journal articles (about 500 words excluding references).
Use the Internet for advice of business report structures.
QUESTION 5 Labour cost concepts (8 marks)
See chapter 2 of your text.
A. "If a perpetual inventory system is used for recording movements of raw materials there is no need to conduct a physical stocktake." Do you agree? Why?
B. Should overtime payments be treated as direct labour, or as overhead?Explain.
QUESTION 1 Panopticism (4 marks)
See your text chapter 1, page 4. Describe Panopticism. How may it be relevant to management accounting? Give examples (about 200 words). Use images to enhance your answer.
QUESTION 2 Control (4 marks)
List and explain three functions of management accounting. Refer to the text chapter 1. Give examples (about 150 words).
QUESTION 3 Checklists (4 Marks)
Explain how the Van Halen rock band used checklists as a control device. See chapter 1 of your text. Use Internet resources to enhance your answer (about 200 words).