Cost Accounting Project Paper

Assessment Criteria :

The report is assessed according to the following criteria:
• How well you present the information about the manufacturing company.
• How well you have explained and applied the appropriate information to support your answers.
• The coherence of the report’s structure, content and style.

Objectives:

i) To encourage the ability to learn effectively through direct personal experience via the actual information from the manufacturers. ii) To focus attention on the learning process by delivering and exchanging information among the members of the group. iii) To promote translation of accounting theory into specific and meaningful experience. iv) To cultivate students to organise themselves, interdependent among the group members and communicate with one and another.
v) To encourage students to experience lifelong learning and to practice their problem solving and critical thinking skills.

Question

PART A

A brief introductory report outlining the GENERAL INFORMATION about the industries’ environment including:
• The profile/background of the company.
• The main activity of the company
• The information about the products manufactured.

PART B

• Explain Direct Cost and Indirect Cost in detail.

• List 2 components of each following categories which has been applied by the company.:
a) Direct Material
b) Indirect Material
c) Direct Labour
d) Indirect Labour
e) Indirect Expenses

• List 2 methods of remuneration. Identify methods of remuneration that have been applied by the company.

• Explain Cost Centres, Production Cost Centre and Service Cost Centre. Identify the “Production Cost Centre and Service Cost Centre” of the company.

• Describe in detail the process involved in producing the finished product.
( please attach the photos of the process)

• Define the following terms and list 3 characteristics of each costing method:
a) Job/Batch Costing
b) Activity Based Costing
c) Process Costing