Hi, good morning,
My doubts are on the resit exam fall 23/24.
Can you please give me a reolution to the exercise 2 of Group 4. I have tried many ways and I am still not understanding.
Thanks a lot,
Sebastião.
In reply to Sebastião Maria Zuzarte Saraiva
Re: Resit Exam Fall 23/24
Hello Sebastião,
In Group 4 exercise 2, you first need to find the MFC for the period through the information given on the exercise. You know that the UROH under FCPC is 180 000€, meaning;
180 000€ = MFC * (1 - 15000/33000). Solving this equation you find that MFC for the period are 330 000 €
Than, you need to analyse the difference in profits between the different systems to find how many units are in closing inventories. You can find that the MFC/unit = 330 000 € / 15 000 = 22€/unit. The difference in profits between TFC and VC can be derived from the MFC of the unsold units, meaning:
34 000€ - 23 000€ = FG Closing * 22€
FG Closing = 500 units
Good study!
In Group 4 exercise 2, you first need to find the MFC for the period through the information given on the exercise. You know that the UROH under FCPC is 180 000€, meaning;
180 000€ = MFC * (1 - 15000/33000). Solving this equation you find that MFC for the period are 330 000 €
Than, you need to analyse the difference in profits between the different systems to find how many units are in closing inventories. You can find that the MFC/unit = 330 000 € / 15 000 = 22€/unit. The difference in profits between TFC and VC can be derived from the MFC of the unsold units, meaning:
34 000€ - 23 000€ = FG Closing * 22€
FG Closing = 500 units
Good study!
Hello! I do not understand group 7 of this exam.
For the first and second one I have no clue how to start and for the 2nd my answer comes out unfavorable and I dont understand why, because the wage rate increased.
Could you please explain these exercises?
For the first and second one I have no clue how to start and for the 2nd my answer comes out unfavorable and I dont understand why, because the wage rate increased.
Could you please explain these exercises?
Hello Marith,
I'm gonna answer the same as I already did to someone else regarding 7.1. Maybe after seeing this you can understand 7.2
You need to find the value of ingredients in the flexible budget. The important info is that "the actual selling price per meal remained as expected". This means that the Sales value in the flexible budget will be 64 000€, the same as in the Actual Budget. From here, you can find that the value of Ingredients = 23 000 * 64 000/80 000 = 18 400€
Because ingredients usage variance was 0€, ingredients price variance = 18 400 - 28 000 = 9 600€ Unfavourable
Good study!
I'm gonna answer the same as I already did to someone else regarding 7.1. Maybe after seeing this you can understand 7.2
You need to find the value of ingredients in the flexible budget. The important info is that "the actual selling price per meal remained as expected". This means that the Sales value in the flexible budget will be 64 000€, the same as in the Actual Budget. From here, you can find that the value of Ingredients = 23 000 * 64 000/80 000 = 18 400€
Because ingredients usage variance was 0€, ingredients price variance = 18 400 - 28 000 = 9 600€ Unfavourable
Good study!
Im sorry, i still dont understand 7.1 and 7.3
I do understand 7.2 now
I do understand 7.2 now
I also do not understand 10.2
Which part don't you understand? Have you looked at the posted solution?
Hello, I am not understanding why on 10.1 the 35000€ purchases of DM are only regarding the 4 months of semester 1. How were we supposed to get there? Thank you.
Yes, I've looked at the answer. I dont understand why they do *6/3, etc.