OD001 Financial Management – An explanation and critical assessment of Absorption Costing and Activity Based Costing in applying overheads to products/services
Assignment Topic
You have been asked by the Managing Director of Movie Ltd. to prepare a report for the next meeting of the Board of Directors.
Your report should address the following issues:
a) An explanation and critical assessment of Absorption Costing and Activity Based Costing in applying overheads to products/services. 20 Marks
b) The nature and purpose of standard costing and variance analysis and the questions it may assist in answering for Movie Ltd. You should include worked examples to illustrate your analysis. 20 Marks
c) In light of the ongoing situation of “Brexit” outline what actions an exporting company based here in the Republic of Ireland may take to protect itself and its export market. 15 Marks
d) An explanation of the FRS 1 Cash flow statement and why is useful to a business. 20 Marks
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