PCR Dec 2005 Exam

System

Hi,

My College tutor has told me that this is the last exam paper the current assessor is going to write.

Does anyone know the first paper this assessor wrote so I can concentrate on that style of questioning.

I am hoping that they give an easy exam as it is the last one that is going to written by this assessor but knowing my luck it will be the hardest one yet!

Has anyone been advised on what to expect on Thursday?

Many thanks
Michelle

System

Re:PCR Dec 2005 Exam

All about flex budgeting. Don't worry too much

System

Re:PCR Dec 2005 Exam

I sat PCR in June and from doing all the practice papers there wasn't much variation. PCR isn't a hard paper, so as long as you grasp the subject matter in general then you'll be fine.

System

Re:PCR Dec 2005 Exam

John Watts has examiner PCR and before that PAR AND before that BC. The chances are that you will have seen his papers over and over again

Typical format
Section 1
Production budget
Either one product overr several periods or two products over one period
Then you may have to deal with a limiting factor such as labour hours and adjust the budget or show the formulae to use on a spreadsheet
Section 2
Possibly forecasting (can you apply the proct life cycle?) and use regression/time series analysis
Very likely a flexible budget (Often in a marginal costing format)
Can you separate controllable and non-controllable costs so that managers have a clear idea of their performance?

Sandy

System

Re:PCR Dec 2005 Exam

Thanks Sandy,

I am ok with the the proct life cycle and the use of regression/time series analysis however, I am not so sure about separating controllable and non-controllable costs so that managers have a clear idea of their performance?

Michelle

System

Re:PCR Dec 2005 Exam

Controllable costs are costs within a manager's control.
In a recent past paper a narrative question looked at a sports centre within a local authority. There were costs the manager could control and there were central re-charges from the local authority. There recharges were not controllable.
In a statement comparing budgeted and actual figures, the controllable costs should be compared as part of the review of the performance of the manager and the non-controllable cost comparison should not be made his responsibility.

Does that help?

Sandy

System

Re:PCR Dec 2005 Exam

Sandy, you seem very informed. Do you know the rough proportion one should get right in order to pass the paper?

I am hopeless on time series and linear regression - I just can't get my head around it - if one omits answering these particular questions, will one fail?

Thanks

System

Re:PCR Dec 2005 Exam

Hi,
When you talk about the product life cycle, is the growth, maturity and decline and how do you apply it?
Thanks!

System

Re:PCR Dec 2005 Exam

Hi,
When you talk about the product life cycle, is the growth, maturity and decline and how do you apply it?
Thanks!

System

Re:PCR Dec 2005 Exam

The product life cycle is one of the disadvantages of forecasting sales using time series as it doesn't take into account where in the life of the product you are forecasting.

For example, say you worked for Apple and were trying to forecast the sales of the iPod for the next 12 months, if you used historic data to predict future sales then it would probably show a steep increase in income. However, modern technology being as it is in 12 months time the iPod will probably be defunct and we will all be buying something else instead. Therefore sales income will probably dramatically decline in about 12 months instead of continuing to increase.

Hope this helps.

Susan

System

Re:PCR Dec 2005 - Calling Sandyhood

HI Sandy

I saw your post about the PCR exam on Thursday.

I am really worried, i am ok with Budgets, like the Production, usage, purchase, and labour utiliation but i'm absolutly useless when it comes to the limiting factor and re-doing the budgets to account for the limiting factor.

I am ok at calculating the contribution per unit if there is more than one product and finding out which we need to sell in order to maximise profits.

I only have one day left to get my head around limiting factors and could really do with the help.

Is there a process to follow for re-doing the budget when you are given details of a limited resource? I could really do with knowing how to do this step by step in as simple terms a possible.

I think this could mean either me passing or failing the paper.

I would apprecaite the help, from anyone out there who could assist.

Thank you in advance.

System

Re:PCR Dec 2005 - Calling Sandyhood

HI Sandy

I saw your post about the PCR exam on Thursday.

I am really worried, i am ok with Budgets, like the Production, usage, purchase, and labour utiliation but i'm absolutly useless when it comes to the limiting factor and re-doing the budgets to account for the limiting factor.

I am ok at calculating the contribution per unit if there is more than one product and finding out which we need to sell in order to maximise profits.

I only have one day left to get my head around limiting factors and could really do with the help.

Is there a process to follow for re-doing the budget when you are given details of a limited resource? I could really do with knowing how to do this step by step in as simple terms a possible.

I think this could mean either me passing or failing the paper.

I would apprecaite the help, from anyone out there who could assist.

Thank you in advance.