LO2 Prepare detailed budgets and forecasts for management purposes,explain and evaluate the budgeting process and its role in the management of organisations.

MAA262 – Management Accounting Trimester 2, 2023

Summative Assessment Task 2 Individual Assignment

DUE DATE: Friday 15 September, by 8:00 pm (AEST) PERCENTAGE OF FINAL GRADE: 20%

WORD COUNT: 1,500

HURDLE: No hurdle

Description

This assignment task will consolidate your understanding of some of the key concepts covered in this unit.

This task provides you with opportunities to learn the knowledge and skills required in the study and practice of management in organisations. By completing this task, you will develop your skills in understanding, applying, critical thinking, problem solving, and communicating information required of business professionals. Please submit your answers to the questions in the order they are presented, clearly identifying on the document which question is being addressed. As long as you are identifying which question is being addressed you are not required to repeat the question on your assignment. Your response should respond to all questions.

The word limit is 1,500 words (maximum) in total,and the word limit includeshea dings,tables, references, and appendices.Note that a contents page, cover page, and executive summary are not required. Regarding the formatting of the assignment, there is no specific requirement regarding font, font size, and line spacing;

there is no minimum number of words. Any word above the limit of 1,500 will be penalised by 1 mark, thus 1,510 words have a 10 marks penalty,

1,520 words have a 20 marks penalty, and henceforth. If you are not using spreadsheets, numbers should be rounded to two decimal places;

you are recommended to use Microsoft Excel for crunching the numbers and calculations for supporting your arguments. If you are not familiar with the software, 

you should use this assignment as an opportunity for getting used to spreadsheets.

If you have any concerns regarding your tables contributing to the word limit, you can paste the tables as images in the assignment if the content is legible.

For the assignment, you may be required to answer questions regarding topics that were not taught yet during the trimester.

Whereas some units require students to do some research, which often means searching in academic books and journals for a suitable solution for the matter discussed, in this unit, you must study parts of the textbook that were not taught yet. 

Regarding how to answer the questions, please note there is a choice for quality over quantity. This means most questions are complex but do not require wordy answers. 

Instead of asking students to define a concept, often the request is for students to apply a concept to the specific case of the assignment and 

support it with their own calculations using the data provided on the assignment. When preparing your answers, please break down the information as much as you can.

Please classify apart the items (i.e., break down the items) because if you are providing the total amounts and they are incorrect, you get zero marks, whereas if you provide the breakdown and some of the items are correct, you can get some marks. Keep in mind you are not preparing reports for financial accounting, so break down the cost items as much as possible.

For the sake of simplicity, this assignment does not consider taxes and other fees. You might have to use information from previous questions for answering information for the following

questions and whenever possible support your arguments with your calculations. Note there is no penalty for consequential errors (carrying forward mistakes) among different questions. 

Please peruse the discussion forum as you may find the information you are looking for.

If you are unable to find the information regarding the individual assignment you are looking for,

please contact the teaching team by using the discussion forum on CloudDeakin. Contact via email with the unit chair or teaching team should only be used for personal and private matters.

Learning Outcomes

This task allows you to demonstrate your achievement towards the Unit Learning Outcomes (ULOs) which have been aligned to the Deakin Graduate Learning Outcomes (GLOs).

 Deakin GLOs describe the knowledge and capabilities graduates acquire and can demonstrate on completion of their course.

This assessment task is an important tool in determining your achievement of the ULOs. If you do not demonstrate achievement of the ULOs you will not be successful in this unit.

You are advised to familiarise yourself with these ULOs and GLOs as they will inform you on what you are expected to demonstrate for the successful completion of this unit.

The learning outcomes that are aligned to this assessment task are:

Submission

You must submit your assignment in the Assignment Dropbox in the unit CloudDeakin site on or before the due date. When uploading your assignment,

name your document using the following syntax:  surname_your first name_your Deakin student ID number_[unitcode].doc (or ‘.docx’).

For example, ‘Jones_Barry_123456789_ABC123.doc’.

Submitting a hard copy of this assignment is not required. You must keep a backup copy of every assignment you submit until the marked assignment has been returned to you. In the unlikely event that one of your assignments is misplaced, 

you will need to submit your backup copy.

Any work you submit may be checked by electronic or other means for the purposes of detecting collusion and/or plagiarism and for authenticating work.

When you submit an assignment through your CloudDeakin unit site, you will receive an email to your Deakin email address confirming that it has been submitted.

You should check that you can see your assignment in the Submissions view of the Assignment Dropbox folder after uploading and check for, and keep, 

the email receipt for the submission.

LO2 Prepare detailed budgets and forecasts for management purposes,explain and evaluate the budgeting process and its role in the management of organisations.

Marking and feedback

The marking rubric indicates the assessment criteria for this task. It is available in the CloudDeakin unit site in the Assessment folder, under Assessment Resources.

Criteria act as a boundary around the task and help specify what assessors are looking for in your submission. The criteria are drawn from the ULOs and align with the GLOs.

You should familiarise yourself with the assessment criteria before completing and submitting this task.

Students who submit their work by the due date will receive their marks and feedback on CloudDeakin 15 working days after the submission date.

Extensions

Extensions can only be granted for exceptional and/or unavoidable circumstances outside of your control. Requests for extensions must be made by 12 noon on the submission date using the online Extension Request form under the Assessment tab on the unit CloudDeakin site.

All requests for extensions should be supported by appropriate evidence (e.g., a medical certificate in the case of ill health).

Applications for extensions after 12 noon on the submission date require University level special consideration and these applications must be must be submitted 

via StudentConnect in your DeakinSync site.

Late submission penalties

If you submit an assessment task after the due date without an approved extension or special consideration,5% will be deducted from the available marks for each day after the due date up to seven days*. Work submitted more than seven days after the due date will not be marked and will receive 0% for the task. The Unit Chair may refuse to accept a late submission where it is unreasonable or impracticable to assess the task after the due date. *`

Day` means calendar day for electronic submissions and working day for paper submissions.

The calculation of the late penalty is as follows:

• 1 day late: submitted after Friday 11:59 pm and before Saturday 11:59 pm– 5% penalty.
• 2 days late: submitted after Saturday 11:59 pm and before Sunday 11:59 pm – 10% penalty.
• 3 days late: submitted after Sunday 11:59 pm and before Monday 11:59 pm – 15% penalty.
• 4 days late: submitted after Monday 11:59 pm and before Tuesday 11:59 pm – 20% penalty.
• 5 days late: submitted after Tuesday 11:59 pm and before Wednesday 11:59 pm – 25% penalty.
• 6 days late: submitted after Wednesday 11:59 pm and before Thursday 11:59 pm – 30% penalty.
• 7 days late: submitted after Thursday 11:59 pm and before Friday 11:59 pm – 35% penalty.

The Dropbox closes the Friday after 11:59 pm AEST/AEDT time.

Support

The Division of Student Life provides a range of Study Support resources and services, available throughout the academic year,

including Writing Mentor and Maths Mentor online drop-ins and the SmartThinking 24-hour writing feedback service at this link.  If you would prefer some more in-depth and tailored support, make an appointment online with a Language and Learning Adviser.

Referencing and Academic Integrity

Use the Harvard style of referencing. There is no such thing as a minimum or maximum number of references to be used in this assignment,

and references should be used only when required.

Deakin takes academic integrity very seriously. It is important that you complete your own work in every assessment task. 

Any material used in this assignment that is not your original work must be acknowledged as such and appropriately referenced.

You can find information about referencing (and avoiding breaching academic integrity) and other study support resources at the following website: http://www.deakin.edu.au/students/study-support

Your rights and responsibilities as a student

As a student,you have both rights and responsibilities. Please refer to the document Your rights      and responsibilities as a student in the Unit Guide & Information section in the Content area in the CloudDeakin unit site.

Case study – BBQ & Balloons

Four friends – Agnetha, Björn, Benny, and Anni-Frid – decided to put a stand outside a shopping centre entrance for selling barbecue and

balloons to members of the public during a weekend. The enterprise was named BBQ & Balloons. For the sake of simplicity, this assignment does not consider taxes and other fees.

Question 1

Each barbecue is sold for $5.00, and each balloon is sold for $2.00. Throughout the two weekend days, the four friends were able to sell 300 barbecues and 170 balloons.

The four friends did not have to bother about the stock of sausage and bread or balloons;they arranged with a supplier and had to pay only $0.25 per barbecue served 

(a slice of bread and a sausage) and $0.07 for each balloon.

For the sake of remuneration, the friends have agreed that each one would receive $200 for the two days of hard work as labour cost. Besides the costs of labour and material, the four friends had other costs for the two days. For the sake of simplicity,

two costs were related to the production process, which were leasing a BBQ ($400) and a balloon pump ($50) during the weekend.The other two costs were related to sales and administrative tasks, which were leasing a gazebo ($100) and getting a permit for having the stand outside the shopping centre ($250) during the weekend.

Required:

Based only on the information provided above, prepare a contribution format income statement for BBQ & Balloons. (Chapter 7, 10 marks)

Question 2

Agnetha and Björn spent most of their time preparing the barbecues or inflating balloons, whereas Benny and Anni-Frid were busy with sales and administrative tasks.

The table below has information regarding the four friends` activities over the weekend concerning labour.

Table 1 – Labour Activity

Agnetha spent most of this time during the two days operating the BBQ, Björn was mostly busy inflating balloons,

Benny was responsible for the cashier, and Anni-Frid spent most of his time greeting and liaising with customers.

For calculating an activity rate, the friends have decided to use the following cost drivers;

for operating the BBQ the number of barbecues sold, for inflating balloons the number of balloons sold,

and for cashier and greeting customers the grand total units of barbecues and balloons sold (total number of transactions).

Required

a) Considering the four cost pool activities (operating the BBQ, inflating balloons, cashier, and greeting customers) prepare a table with the labour cost per activity.

(Chapter 11, 10 marks)

b) Calculate the activity rate for each of the labour cost pool activities and identify which of the four cost pool activities is most expensive and why? (Chapter 11, 10 marks)

Question 3

After reviewing the activity-based costing, the four friends have decided to prepare a contribution format income statement for each product sold – balloons and barbecues. For allocating the manufacturing overhead between the two products, the whole expense of leasing the BBQ was allocated to the sales of barbecues whereas the whole expense of leasing the balloon pump was allocated to the sales of balloons. For the expenses for leasing the gazebo and getting the permit, the amount was split evenly between the two products.

Required

Prepare a contribution format income statement for each product sold. (Chapter 11, 15 marks)

Question 4

In order to assess the performance of their enterprise, the four friends decided to compare the actual results with their planning budget.

Table 2 – Actual Results

Required