TEMASEK POLYTECHNIC SCHOOL OF BUSINESS MANAGEMENT ACCOUNTING & FINANCE (BAF2016) AY 2011/12 MID-SEM TEST OCTOBER SEMESTER Name:___________________________________ Tutorial Class:____ Admission No. __________________________ Seat No:____ TIME ALLOWED: 1 HOUR READING TIME: 10 MINUTES TOTAL: 40 MARKS Instructions: 1. Do not turn the page over until instructed to do so. 2. This paper consists of 5 printed pages (excluding cover page). 3. Answer
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customer. This paper overcomes all the obstacles to implementing full-scale ABC-based accounting to this hot spring country inn. In this case‚ products‚ defined as hot spring use‚ lodging and meal serving are used as the cost objects. We define five activity centers: the cleaning activity center‚ the customer service center‚ the cooking and foodservice center‚ the reception service center and the management center. Finally‚ we use the ABC method to calculate the costs of hot spring use‚ lodging
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research contents 8 2. Related theories 9 2.1concept of ABC 9 2.2 rationales 10 2.3 difference between ABC and traditional costing 12 2.3.1. Different calculating targets 12 2.3.2 Different calculation 12 2.3.3. Different Finished goods costs term 13 3. Research methodology 13 3.1 case study 13 3.2 The survey method 13 3.3 Literature 14 4. Research Results 14 4.1 problems of traditional costing method in oil refining enterprise 14 4.2suggestions for Chinese enterprises’ application ABC 15 Bibliography
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Introduction Since time immemorial is considered as a performance measurement tool for the importance and effectiveness of the management organization to control and to ensure appropriate performance goals and organizational goals. Various studies have been done in connection with the measurement of performance it is primarily intended to improve the effectiveness of the performance of the evolutionary process. Keep in mind‚ evaluation or performance measurement is a component that has been
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generally used as a tool for planning and control. It was developed as an approach to address problems associated with traditional cost management systems that tend to have the inability to accurately determine actual production and service costs‚ or provide useful information for operating decisions. On the other hand‚ Activity-Based Management (ABM) is an approach to management that aims to maximise the value adding activities while minimizing or eliminating non-value adding activities. The overall
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that is designed to provide managers with cost information for strategic and other decisions that potentially affect capacity. Activity based costing is a subset of activity-based management. Activity based costing is used to determine product costs and for internal decision-making and for managing activities. Traditional Absorption costing is for external financial reporting. Activity-based costing is a suitable and appropriate method for companies with multiple products or services who are having
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illustrates costs more accurately‚ giving management insight to the cost associated with certain business activities. ABC extends the decision-making skills of management by expanding on traditional costing (job order costing/process order costing) techniques. However‚ since ABC ’s introduction in the 1980 ’s‚ many corporations are not using ABC‚ despite gained managerial decision making capabilities. Even by the mid-1990s‚ ABC ’s use has not spread throughout the accounting industry and its use is not obvious
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which focuses on activities. ABC is a relatively new and very important topic in managerial accounting. ABC allows us to find a way that we could determine the profitability of every product‚ profitability of every customer we serve‚ and the profitability of our process. Contents in brief‚ first that comparing potential advantages of ABC versus traditional costing methods. The second one that how does management use ABC information in decisions‚ which consists of weighting and combining the weights of
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Forward? Michael Goode M.Sc Accounting and Financial Management Programme University of Hertfordshire Hatfield AL10 9AB‚ UK Email: m.goode@herts.ac.uk Ali Malik‚ PhD Senior Lecturer and Programme Tutor University of Hertfordshire Hatfield AL10 9AB‚ UK Email: m.a.1.malik@herts.ac.uk Abstract Beyond Budgeting has been proposed as an influential idea that will reinvigorate management accounting contribution in business operation and performance. It is claimed that the traditional system has lost relevance
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Costing(ABC) | Account-Management-Economics. [online] Available at: http://accountlearning.blogspot.co.uk/2011/07/advantages-and-disadvantages-of_06.html [Accessed: 25 Mar 2014]. Accountlearning.blogspot.co.uk. 2014. Advantages And Disadvantages Of Activity-Based Costing(ABC) | Account-Management-Economics. [online] Available at: http://accountlearning.blogspot.co.uk/2011/07/advantages-and-disadvantages-of_06.html [Accessed: 25 Mar 2014]. Brimson‚ J. A. 1991. Activity accounting. New York: J. Wiley
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