Pcr dec 2009

twinmeister

Can anyone explain answer to 1.2 e) to me?

Also not really undertanding how you calculate the closing stock figure. I know it says to value it at the budgeted production cost per k-roll, but then the model answer divides cost of production by saleable units not total production?

So confused. Any suggestions gratefully received!

twinmeister

Same exam paper.

Answers to 1.4 give overtime cost as £322,866 (639,666 less 316,800). Where does the 316800 come from????

help me please ....

EAP

HI twinmeister
I think I can help:
1.2 e - you need to work out how much it costs to produce saleable rolls - so the cost of the unsaleable ones is absorbed into the cost of the saleable ones.
1.4 the 316,800 is the original overtime amount calculated in 1.2c
does this help?

twinmeister

Thank you EAP.

Think Gordon has been visiting my house this morning. No, not that one. Mr Bennett.

I make such blinking obvious mistakes on my own, it's marvellous to chuck it up on here and let someone less stressed than me show me the wood from the trees.

Ahh time for June 2009 now!!!

EAP

I've done this one too, so let me know if you need any help!

michaelar25

Stuck on the same paper but section 2 task 2.2. Iv looked at the answers and cant seem to figure out were the flexed budget f turnover £2,720,000 comes from. Can anyone help?

EAP

According to my notes, it's the flexed budget (units) 1360000 x £2/unit = £2,720,000
EAP

twinmeister

Messed up june 2009 in parts, but at least I could see my mistakes this time. Guess that's progress then!

Thanks for the offer of back up EAP, much appreciated.

On to Dec 08!