cost accounting ACCT301

Assignment 1

Deadline: 29/02/2020 @ 23:59

For Instructor’s Use only

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.

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· Students must mention question number clearly in their answer.

· Late submission 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 answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).

· Submissions without this cover page will NOT be accepted.

Q1. Analyze some examples of relevant and irrelevant Cash Flows for one Saudi Company?

(1.5 Marks)

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Q 2 a - Discuss why managers estimate a cost function and use Cost volume Profit analysis? Give numerical example of cost function and Cost Volume Profit Analysis and analyze how it will be used by managers?

b- Suppose actual costs are higher than estimated cost. Analyze why you may have this difference between actual and estimated costs?

(1.5 Marks)

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Q 3 Altawfik Corporation is estimating the cost function for total cost of production of product A using the two points method. The data collected for the past year is as following:

Number of units Total

Quarter produced Costs

1 4,000 $ 1,000

2 5,400 1,280

3 7,000 1,600

4 9,000 2,000

Using the two points methods, choose two points with which you estimate the cost function.