Cost-Volume Profit Analysis - Hijab Empire

Break-even Point

Exercise 1

Sahera Manufacturing produces a satin hijab by the name of Hijaberz. Below are the information regarding the production of the above product.

Selling Price          RM80

Variable cost

Satin cloth(m)        2 metres@RM14/metre

Label (pc)              2 pcs@RM1.50/pc

Direct labour          1.25 hours@RM12/hr

Rental of shop       RM20,000 per year

Other fixed cost     RM15,000 per year

Production units    2000 pcs.

Required;

    1. Break-even point (units) and RM. 
2. New BEP in the Sahera wants to put additional profit of RM25,000.
3. If Sahera engage Mira Faezah as her hijab model, she needs to pay additional RM8,000. What will be her new BEP without the additional profit plan.

Exercise 2

A newcomer in hijab industry, Nadia, came out with a new design of hijab with a new tagline ‘Hijab for all’. Currently she produces 3000 pcs limited edition hijab this year with the following cost.

                 

Selling price          RM100

Variable cost

Secret cloth           1.5 metres@RM20/metre

Label (pc)              1 pc@RM2.20

Direct labour          1.75 hours@RM14/hr

Rental of studio    RM15,000 per year

Model contract      RM10,000 per model (standard)

During the year, she engaged 1 female and 1 male models to promote the hijab plus the advertisement cost of RM10,000. The male model received 40% lesser than the standard contract.

Required;

You have been asked to calculate the BEP (units) and RM for the said hijab.

   

    Since there are two big competitors in the hijab industries, Nadia has approached Sahera to join forces and create a new business entity called ‘The Hijab Awakens”. The rental cost of both business can be combined and reduced by RM5,000 while Mira Faezah, the existing model asking for an increase to her contract by 20%. It has been agreed that a new label be introduced at RM2 per piece for every hijab produced. The production units remain.

• Calculate new combined BEP(units) and RM
• Comment on the merger of the two businesses

Traditional costing, Absorption costing, Variable costing and ABC

Assalamualaikum,

Please refer to the attachment regarding the notes and some of the illustration of the said topic. Remember it is an exam material. Download the notes as the one that I put in the flipsnack will not last that long as I would be progressing to new topic using the same application.

Management accounting notes for Absorption, Variable and ABC

Aloo...Aloo

Junior Apprentice - Section 1 - Sem 2, 2019/2020

Assalamualaikum and dear students,

Welcome to my class and it has been quite some time that i haven't teach this module. Worry not because we can still have fun progressing this module till end of the semester.  Please find the link below for the information regarding the module. As for a start, I have attached the groupings and sorry guys, I had to divide you my way. I think it's fair for me and might not for you. Hahaha!

Also do have a look at the proposal guideline. You can use this to make a good submission with added information based on your group discussion. So here it is...

Presentation Guidelines

Budgetary control - Group Assignment

Group Assignment

As promise for my Management Accounting students, attached is the assignment for this semester. Download it and start cracking your head....

Since we have only 8 of us, so i just shrink the group to be two of 4 each. If you could do it in Excel, I would be very much appreciate it.

Submission date is the first day of class after Eidulfitri by 1700hrs.

Click here for the assignment

The Assignment - Budgetary Control

Stock evaluation

Dear students,

Sorry for the late posting. But below as promised, hahahaha!

The following information relates to the material purchases and issues for the month of May 2019;

May 2019
5	Issued to production	100kgs
10	Purchased	300kgs at RM6.80 per kg
15	Issued to production	250kgs
18	Purchased	100kgs at RM7.00 per kg
20	Issued to production	120kgs
22	Issued to production	80kgs
25	Purchased	100kgs at RM7.40 per kg

The balance of raw material on 1 May 2019 consists of 50kg at a price of RM6.50 per kg which were bought in April 2019 and another 100kg was purchased on March 2019 at a price of RM6.00 per kg. 

Required;

Prepare a Store Ledger Card to record the above transaction in May, using First-in First-out (FIFO), Last-in First-out (LIFO) and Weighted average method.

See you tomorrow guys!!

Absorption and Marginal Costing - Unit cost and Income Statement

Assalamualaikum,

In order for you to have more understanding regarding the topic, let's do some simple exercise.

Ainnazuha Scarf presents the following data for year 2019;

·        Opening inventory: 0 Units

·        Sales: 8,000 Units @ RM950

·        Production: 10,000 Units

·        Closing inventory: 2,000 Units

·        Direct materials: RM240

·        Direct labour: RM280

·        Variable manufacturing overhead expenses: RM100

·        Variable selling and administrative expenses: RM40

·        Fixed manufacturing overhead expenses: RM1,200,000

·        Fixed selling and administrative expenses: RM800,000

Required: 

Using the data given above, 

1. Compute the unit product cost of one bike under:

    - Absorption costing system.

    - Variable costing system.

2. Income statement

   - Absorption costing system.

   - Variable costing system.

CHFM - Ministry of Health

Project Paper - Individual Assignment

Assalamualaikum and Salam Sejahtera,

You can now download the project paper from the link below.
Happy answering!!!

Project paper for MOH