KOLEJ PROFESIONAL MARA DIPLOMA IN ENTREPRENEURSHIPS DIPLOMA IN INTERNATIONAL BUSINESS FUNDAMENTALS OF MANAGERIAL ACCOUNTING ACC2093 ASSIGNMENT ON COST-VOLUME-PROFIT ANALYSIS

INTRUCTIONS TO CANDIDATES 1. 2. 3. 4. 5. The submission date for this assignment is on the last meeting / class of instruction week 7 . This assignment can be exercised in a group of maximum 2 persons. This assignment must be submitted in form of computer generated print-out. You may at any time or even continuously seeks advices from your lecturer. This assignment contributes 20 marks to your continuous assessments. The proportion of marks are as follows: Written Reports Presentable reports (neatness) Contents : Introduction Product Costing Cost Analysis CVP Analysis Conclusions Date of submissions Sub Total Language (English) Explanation / Presentation Answering Questions Sub Total Grand Total 2 marks 2 marks 2 marks 2 marks 2 marks 2 marks 2 marks 14 marks 2 marks 2 marks 2 marks 6 marks 20 marks
th

Presentation

6.

Plagiarism is strictly prohibited. No marks will be considered on a plagiarised works. If any of your sentence(s) in the report found to be copied from any other sources (unless quoted) marks may be deducted.

GOOD LUCK

ACC2093/ASSIGNMENT01/JUL-DEC2011

1.0

FRONT / COVER PAGE Your cover page should state the following:
School name
KOLEJ PROFESIONAL MARA BANDAR MELAKA FUNDAMENTALS OF MANAGERIAL ACCOUNTING ACC 2093 Cost-Volume-Profit Analysis for XXXXXXXXXXXX Prepared for: XXXXXXXXXXXXXXXXXXX Prepared By: XXXXXXXXXXXXXX XXXXX XXXXXXXXXXXXXX XXXXX XX/XX/XXXX

Course Name & Code Title of the assignment (i.e. topic and your products name)

Lecturers name
Name of groups members

Date of submission

2.0

ACKNOWLEDGEMENTS This part expressed your wishes and thanks to the related parties upon completion of your assignment.

3.0

TABLE OF CONTENTS This page shows the list of contents of your writings.

4.0

CONTENTS 4.1 Introduction 4.1.1 Nature of your product This part should be able to answer the question of why your product is worth-it to be introduced in the market? You may use the following guidelines to help you resolve the question: a. The emergence of current trend of livings b. The specialty / uniqueness of your products compared to existing products in market. A non-common (extra-ordinary) product is much welcome. Marketability of your product This part explains on how you are going to market your product? a. The target market / consumer of your product b. The business location

4.1.2

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4.2

Products Costing In this part, you should be able to lists all the costs related to your product. The information must be on evidence-based. Survey is required to accumulate the information and you should have your own explanation on how to assign the costs to one unit of your products. The following formats may help you to arrange the information: Example: No. Costs Items Ramly Beef Burger (10pcs) 1. Gardenia Burger Loaf (5pcs) 2. Shopkeeper 3.

Costs RM4.95 RM2.35 RM700.00

Source of Information Jaya Jusco (11 May 2010) Jaya Jusco (15 May 2010) KFC (16 May 2010)

Note: Evidence in form of bills and pictures are highly valuable in this assignment, however students should note that taking pictures / notes are strictly prohibited in some hypermarkets.

4.3

Analysis of Products Costs This part is essential to prepare those costs listed in Para 4.2 for Cost-Volume-Profit Analysis. The listed costs should now be able to be classified into the followings groups: 4.3.1 4.3.2 4.3.3 Nature of Costs Direct Costs and Indirect Costs (Overheads) Variable Costs and Fixed Costs

The followings table may help you to categorise the costs:

No. Items Ramly Beef Burger (10pcs) Gardenia Burger Loaf (5pcs) Shopkeeper Nature Dir. Mat Dir. Mat Ind. Lab Product / Period Costs Product Period 0.50 0.47 700.00 Costs Behaviour Variable 0.50 0.47 Fixed

700.00

Total

0.97

700.00

0.97

700.00

4.4

Pricing Calculate your product price by adding 50% mark-up (on costs) a. State the price of your product. b. Do you think that your products price is competitive in market? Give your comment based on competitive products in market.

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Cost-Volume-Profit (CVP) Analysis Your CVP Analysis includes: a. Tabulation (table) showing costs and revenues computation b. Break-even point (BEP) in value (RM) and quantity (units) Contribution Margin Approach c. Cost and Volume Graph which shows: i. Title of the graph ii. X-axis and Y-axis labels iii. Fixed costs, variable costs, sales lines iv. Break-even point v. Profit / loss regions

5.0

CONCLUSIONS 5.1 Give your comments on the importance of CVP Analysis a. How CVP Analysis and BEP may help an entrepreneur? Do you think that you can manage the business to the desired level of performance? a. Affordable target unit sales?

5.2

END OF INSTRUCTIONS
ACC2093/ASSIGNMENT01/JUL-DEC2011