Absorption and Marginal Costing Exercise

Exercise - Marginal Costing

Nadhyra Enterprise produces a head scarf called Tudungku which has a selling price of RM48 per unit. The cost of producing the product for each quarter is as below;

	RM
Direct material - Cloth A                       - Cloth B	7 4
Direct labour	6
Direct expenses	3
Fixed production overhead	30,000
Variable selling and administration overheads	2
Fixed selling and administration overheads	18,000

Actual production for the period is 30,000 scarves and she managed to sell about 28,000 of them.

Prepare the income statement under the variable costing and absorption costing system for the four periods ending December 2018.

Variable and Absorption Costing

Dear students....

This is a very good video to watch and understand. Hope it will benefited to you guys.

Part 1

Part 2

Part 3

Exercise

Cost Classification

Assalamualaikum and dear students,

The below video is suitable for the costing students but it is still relevant to the MA students. In order to have more understanding to the topic or subject, I recommend you take a look at this....

ACC1231/BUS1233 - Financial Accounting 1 Study Plan

Assalamualaikum and dear students,

Below is the study plan for Financial Accounting 1 for your perusal.

WEEK	TOPIC
WEEK 1 9/7/18 – 13/7/18	TOPIC 1: THE ACCOUNTING BACKGROUND AND PRINCIPLES ·         Nature of Accounting ·         Accounting Concepts ·         The accounting Equation
WEEK 2 16/7/18 – 20/7/18	TOPIC 1: THE ACCOUNTING BACKGROUND AND PRINCIPLES – cont’ ·         Nature of Accounting ·         Accounting Concepts ·         The accounting Equation
	TOPIC 2: BOOK OF ORIGINAL ENTRY ·       Introduction ·       Recording transaction from source documents into journal: ·         General Journal ·         Sales Journal
WEEK 3 23/7/18 – 27/8/18	TOPIC 2: BOOK OF ORIGINAL ENTRY – cont’ ·         Return Inwards Journal ·         Purchase Journal ·         Return Outwards Journal Cash book
WEEK 4 30/8/18 – 3/8/18	TOPIC 3: POSTING INTO LEDGERS ·       Introduction ·       Posting
WEEK 5 6/8/18 – 10/8/18	TOPIC 4: BALANCING OFF ACCOUNTS ·       Determining balance of an account · Preparation of a trial balance
WEEK 6 13/8/18 – 17/8/18	TOPIC 4: BALANCING OFF ACCOUNTS – Cont’ ·         Preparation of a trial balance
	TOPIC 5: PREPARATION OF FINAL ACCOUNT BEFORE ADJUSTMENT ·         Income Statement
WEEK 7 17/8/18 – 26/8/17 MID-SEMESTER BREAK
WEEK 8 27/8/18 – 31/8/18	TOPIC 5: PREPARATION OF FINAL ACCOUNT BEFORE ADJUSTMENT– Cont’ ·         Balance Sheet
	TOPIC 6: BANK RECONCILIATION Introduction

WEEK 9

3/9/18 – 7/9/18

TOPIC 6: BANK RECONCILIATION – cont’

·         Discrepancies between the cash book and the bank statement

·         Adjusting the cash book

·         Differing opening balances and errors

·         Bank overdraft

WEEK 10

10/9/18 – 14/9/18

TOPIC 6: BANK RECONCILIATION – cont’

·         Discrepancies between the cash book and the bank statement

·         Adjusting the cash book

·         Differing opening balances and errors

·         Bank overdraft

TOPIC 7: BAD DEBTS AND PROVISIONS FOR DOUBTFUL DEBTS

·         Introduction

·         Accounting treatment for Bad debts and Doubtful debts

WEEK 11

17/9/18 – 21/9/18

TOPIC 7: BAD DEBTS AND PROVISIONS FOR DOUBTFUL DEBTS – Cont’

·         Bad debts recovered

TOPIC 8: DOUBLE ENTRY RECORDS FOR NON - CURRENT ASSETS ADJUSTMENT

·         Introduction

WEEK 12

24/9/18 – 28/9/18

TOPIC 8: DOUBLE ENTRY RECORDS FOR NON - CURRENT ASSETS ADJUSTMENT – cont’

·         Method of depreciation:

o         Straight-line method

o         Reducing balance method

·         The disposal of a non-current assets

o         Accounting treatment for disposal

WEEK 13

1/10/18 – 5/10/18

TOPIC 8: DOUBLE ENTRY RECORDS FOR NON - CURRENT ASSETS ADJUSTMENT– Cont’

·         The disposal of a non-current assets

o         Accounting treatment for disposal

TOPIC 9: ADJUSTING ENTRIES

·         Introduction

·         Adjusting entries: Accruals and Prepayments

WEEK 14

8/10/18 – 12/10/18

TOPIC 9: ADJUSTING ENTRIES – cont’

·         Introduction

·         Adjusting entries: Accruals and Prepayments

TOPIC 10: PREPARATION OF FINAL ACCOUNT AFTER ADJUSTMENT

·         Income Statement

WEEK 15

15/10/18 – 19/10/18

TOPIC 10: PREPARATION OF FINAL ACCOUNT AFTER ADJUSTMENT – Cont’

·         Income Statement

WEEK 16

22/10/18 – 23/10/18

TOPIC 10: PREPARATION OF FINAL ACCOUNT AFTER ADJUSTMENT – Cont’

·         Balance Sheet