accounting301-A1

every thing in file

• INSTRUCTIONS – PLEASE READ THEM CAREFULLY
• The Assignment must be submitted on Blackboard (WORD format
only) via allocated folder.
• Assignments submitted through email will not be accepted.
• Students are advised to make their work clear and well presented, marks
may be reduced for poor presentation. This includes filling in your
information on the cover page.
• Students must mention the question number clearly in their answers.
• Late submissions will NOT be accepted.
• Avoid plagiarism, the work should be in your own words, copying
from students or other resources without proper referencing will result in
ZERO marks. No exceptions.
• All answers must be typed using Times New Roman (size 12, doublespaced) font. No pictures containing text will be accepted and will be
considered plagiarism.
• Submissions without this cover page will NOT be accepted.
Assignment Questions:
Marks 15)
1. In August 2024, Ahmed Co. incurred a total cost of SAR 29,000
and made 3,100 units. In November 2024, it produced 1,600 units
with a total cost of SAR 20,000.
(Mark1 x 5)
Requirement:
a) Find Per Unit Variable Cost
b) Find Total Variable Cost in the Month of August
c) Find Total Variable Cost in the Month of November
d) Find Total Fixed Cost
e) Determined Cost Function
2. ABC Company Ltd. has provided the following information for the
year
ended
December
31,
2023.
(Mark 1 X 5)
SAR
Total Sales Revenue
2,880,000
Total Variable Cost
1,080,000
Total Fixed Cost
1,500,000
Units Produced and Sold
3,600
Determine the following from the above information:
a) Contribution Per Unit
b) Contribution Margin Ratio
c) Break Even Point in units
d) Break Even Point in Sales
e) Margin of Safety in Sales
3. Suppose budgeted overhead was $ 120,000 fixed overhead plus
variable overhead of $ 12/DL hour. Expected DL hours were 60,000,
so that the estimated overhead rate was $ 14/DL hour. Actual DL
hours totaled 50,000 for the year and actual overhead was $ 740,000.
At the end of the year, Work in Progress, Finished Goods & Cost of
Goods Sold had the account balances shown below.
Work in Progress
SAR 150,000
Finished Goods
250,000
Cost of Goods Sold
1,600,000
2,000,000
Requirement:
Marks)
a) Prepare Overhead Cost Control Account
(1+2+2
b) Assuming Misallocated Overhead as material, determine the
ratio of the three accounts to close overhead cost control account
c) Prepare a Journal Entry to Close Overhead Cost Control
Account
Answer -1
Answer – 2
Answer -3