Demonstrate the need for a balance between financial and non-financial information in decision making, control and performance evaluation applications of management accounting.. [ad_1]
Unit Learning Outcomes Assessed:
1. Synthesize and critically analyse information from various sources and provide recommendations to improve the operations of organisations through the application of management accounting techniques;
2. Critically evaluate the various approaches to performance measurement and control in various types of organisations, and devise and evaluate indicators of performance.
3. Demonstrate the need for a balance between financial and non-financial information in decision making, control and performance evaluation applications of management accounting.
4. Analyse a company’s financial statements and/or management reports and identify the strengths and weaknesses of the company and articulate these to the various stakeholders.
Tik Tok Company manufactures customized coffee tables. The following relates to Job No.
X10, an order for 150 coffee tables:
Direct materials used $22 800
Direct labour hours worked 600
Direct labour rate per hour $16.00
Machine hours used 400
Applied factory overhead rate per machine hour $30.00
a) What is the total manufacturing cost for Job No. X10?
b) Calculate the cost per coffee table for Job No. X10?
c) List two uses of this unit cost information to the managers at Tik Tok Company