Management Accounting Technique

QUESTION 1

Compute the total, price and quantity variances for

i. material
ii. labor
(Note: Briefly explain the ways of working and elaborate your understanding on your answers)

b) Compute the total overhead variance.

c) Standard costs facilitate management planning. What are the other advantages of standard costs?

d) What are the four perspectives used in the balanced scorecard? Discuss the nature of each, and how the perspectives are linked.

QUESTION 2

"Continuous Quality Improvement Issues and Management of Cost Accounting Techniques". Identify the value added and non-value added activities for an organization, and need to identify the relevant theory in order to explain the current practice, it should set out the various types of management accounting techniques used in managing and controlling cost but not at the expense of providing high quality product and services. The various types of management accounting techniques are but not limited to Activity-Based Costing (ABC) and Just-In-Time (JIT).

Required:

a. Recommend the alternate management accounting techniques that have been developed to manage cost and being practiced by the companies.

b. Evaluate the feasibility of applying strategic management accounting techniques. Your answers should include a discussion of:-

i. features
ii. benefit
iii. constraint & difficulties