ACN316-4/201/1/2007 ACN306-Y/201/1/2007
DEPARTMENT OF MANAGEMENT ACCOUNTING MANAGEMENT ACCOUNTING TECHNIQUES AS AID IN DECISION-MAKING
TUTORIAL LETTER 201/2007 FOR ACN316-4/ACN306-Y FIRST SEMESTER Dear Student Enclosed please find the solution in respect of assignment 01/2007. It is in your own interest to work through the suggested solution in conjunction with the assignment and your own answer. With kind regards Telephone number
Room number
E-mail
Mrs M M Odendaal
012 429-4362
1-51
[email protected]
Mrs P R Berry
012 429-4415
1-56
[email protected]
Mrs K Kok
012 429-4490
1-52
[email protected]
LECTURERS: ACN316-4/ACN306-Y ANNEXURE: SOLUTION ASSIGNMENT 01/2007 FIRST SEMESTER
2
ANNEXURE: SOLUTION ASSIGNMENT 01/2007 FIRST SEMESTER QUESTION 1 The contribution margin rate
=
(R180,00 - R111,60) R180,00
=
38,0%
Option (3) is therefore correct.
(3)
QUESTION 2 Marginal income per unit Luxury R
Standard R
Selling price Variable cost
215,00 111,60
180,00 111,60
Marginal income
103,40
68,40
Luxury R
Standard R
1 240 800 498 905
820 800 227 740
741 895
593 060
Net profit for 12 000 units
Marginal income Fixed costs Net profit Option (2) is therefore correct.
(3)
QUESTION 3 Breakeven sales for Luxury model Breakeven sales in units = = = 4 825 x Therefore variable costs:
Fixed cost/Marginal income per unit R498 905/R103,40 4 825 units
= = =
R227 740/x R227 740/4 825 R47,20 R180,00 - R47,20 = R132,80 - R111,60 =
Option (4) is therefore correct
R132,80 R21,20 (3)
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ACN316-4/201 ACN306-Y/201
ASSIGNMENT 01/2007 FIRST SEMESTER (continued) QUESTION 4 New breakeven point Breakeven point
=
Fixed cost/Marginal income per unit
=
(R227 740 + R22 774) (R68,40 + (0,1 x R111,60))
=
R250 514 (R68,40 + R11,16)
=
3 148,74
≈
3 149 units
Option (2) is therefore correct.
(3)
QUESTION 5 Evaluation of statements Statements (1), (2), (3) and (5) are all assumptions of CVP analysis. Option (4) is therefore correct.
(3)
QUESTION 6 Evaluation of statements -
Statement (a), (b) and (c) are true.
-
Statement (d) is false.
Option (2) is therefore correct.
(3)
QUESTION 7 Evaluation of statements -
Statement (a) and (b) are true.
-
Statement (c) and (d) are false.
Option (3) is therefore correct.
(2) [20] © UNISA 2007
