M.B.A. III Semester Supplimentary Examinations, Apr/May 2008 COST AND MANAGEMENT ACCOUNTING ---Time: 3 hours Max Marks: 60 Answer any FIVE Questions All Questions carry equal marks

1. “Cost accounting is a system of foresight and not a post mortem examination, it turns losses into proﬁts, speeds up activities and eliminate wastes”. Comment. 2. Discuss brieﬂy various methods of secondary distribution of overheads with examples. 3. From a natural material four products are synthesized - three in a crude state and one as a by-product. The crude products are further reﬁned which costs Rs. 2.00, Rs. 1.6 and Re. 1.00 per kg of output respectively. The selling prices are ﬁxed at Rs.6.00, Rs. 4.50, Rs. 3.50 and Re. 0.50 per kg. respectively to a yield a proﬁt margin of 20 per cent on selling price. During a costing period the production of these four products is 8,000 units, 5,000 units and 6,000 units of the reﬁned products and 2,000 units of the by-product. Find the actual proﬁtability of each reﬁned product as a percentage on the selling price, if the joint costs total Rs. 50,800. 4. Discuss the importance of the following terms in relation to marginal costing (a) Key factor of production (b) P/V ratio (c) Break-even point (d) Margin of safety 5. What is contribution analysis ? Explain its signiﬁcance in cost volume proﬁt analysis. 6. Discuss the limitations of budgetary control system. 7. What is meant by variance analysis? Discuss about various types of variances. 8. What do you understand by Cost audit? Explain the scope of cost audit.

...1. Introduction
An organization’s operations function is concerned with getting things done i.e. producing goods and/or services for customers. Effectively, the main objective of the operations function is to produce those goods and services required by customers whilst managing resources as efficiently as possible.
2. RELATINSHIP WITH OTHER ORGANIZATIONAL FUNCTIONS
The operations function lies at the heart of any organization and interacts with all the other functions. Although the various organizational functions involve different activities, they must interact to achieve the goals of the organization. This therefore implies that Operation Management decisions are not made in isolation. Rather, each decision is intertwined with other organizational functions following the strategic direction developed at the top level of the organization.
In a nutshell, many of the decisions made by operations managers are dependent on information from the other functions. At the same time, other functions cannot be carried out properly without information from operations as detailed below:
1. Finance: The finance function ties all departments together with monetary measurements that tell whether the company is making money. They also regulate the acquisition of funds to keep the business operations going, and investing money received wisely. Finance managers...

...September 20, 2005
Dear Student,
The Order of Operations is not one of the hardest, nor is it one of the easiest things that you will have to learn in Algebra and other mathematical classes. To begin in learning the Order of Operations, you must follow the steps, hence the "order" of the operation. To start off, the first step would be to do anything that is inside of grouping symbols ([ ], ( ), { }). Next you would have to do powers from the left to the right (9 squared). Following the Order of Operations, the next phase of a problem would be to do all of the multiplication and division from the left to the right (*, /). The final stage in the Order of Operations is to do all of the addition and subtraction from the left to the right (+, -). Now, you just have to finish by putting it altogether and finding the answer.
Example-
3*6(35-3+5)10squared
1) First do
anything inside 3*6*37*10squared
grouping symbols.
2) Next you do powers 3*6*37*100
from left to right.
3) Now multiplication 66,600
and division from the
left to the right.
4) Lastly you would do
addition and subtraction
but this problem doesn't
have any.
Above is an example of how the Order of Operations works. It should always be done this way. An example of someone doing it the wrong way is below:
3*6(35-3+5)10squared
1) As you can see 18(35-3+5)10squared...

... Operation Assignment
Name: HongYu Qiao ID: B332898
The operation network of Tesco in UK are the largest within the Group, with over 3300 stores and 310,000 colleagues. Tesco has been trying to build a better supermarket in the UK and deliver the things that matter to their customers—great service, range, quality and great value.The key factors for Tesco to success include staffs, goods, delivery, layout, price and quality. For example,Tesco will invite over 1000 their customers come and try their new products and services every year. In the process of consulting customers face by face, Tesco is enable to receive feedbacks immediately and advices to improve their insufficiency.
1.1 The Operation of Tesco
A. Facilities
Facilities include the location, size and focus of operation resources. Where the production facilities should be located, the size of the facility, goods and services should be produced at the each location, and to what market each facility should serve these decisions are taken in this category. The Tesco I described is located in loughborough. There are lots of facilities placing inside and outside Tesco. E.g. phone shop,coffee shop etc. There are two graphs showing how many facilities nearby Tesco or in the Tesco can be used. Except of products facilities, the facilities service of Tesco is also...

...Word Count: 2.386
In our modern market economy, given the dynamic nature of the environment, where competition reaches outstanding levels and variables such as consumer demand are increasingly more difficult to analyze and predict, it all comes to the abilities of managers to keep their companies successful. CEO’s, marketing and operations managers, they all play a vital role in the profitability of their companies, no matter if they are small regional companies or large multinational corporations.
Since the start of the economic crisis in 2008, all national economies face difficulties, both in the goods and the financial markets. This is also the case of Romania, which started as one of the most promising emerging economies in the Eastern European area. Now the country is struggling to meet budget deficit targets and pay back IMF loans.
Even in these rough conditions, S.C. Marinaden S.R.L. (Limited Liability - the equivalent of the British Ltd.) remains one of the largest furniture manufacturers and retailers in the country’s Northern region. Ever since this company was started 50 years ago, it succeeded in being one of the top players in the field. The company has two manufactory facilities located at the outskirts of Iasi and Suceava (two of the largest cities in the region), which work around the clock to make sure all demand is met. As points of sale, the company uses more than 10 rented spaces in major cities at the moment, each of them being located...

...Grading
2 points each
1- The feasible solution space only contains points that satisfy all constraints.
2- Graphical solution to linear programming problems can handle problems
that involve any number of decision variables.
3- The value of an objective function decreases as its iso-objective line is moved
away from the origin.
4- If a single optimal solution exists to a graphical LP problem, it will exist at a
corner point.
5- Using the enumeration approach, optimality is obtained by evaluating every
coordinate (or point) in the feasible solution space.
6- A non-unique solution to a linear program indicates the existence of more
than one optimal point with different values of the decision variables but the
same value of the objective function.
7- An unbounded solution to a linear programing problem is usually due to
omitting a constraint.
8- If a linear programming model has no feasible solution space, then the
answer to that model is a unique optimal solution.
9- The constraint x1 >= 2 x2 is non linear.
10- In the general diet problem, the objective function is a maximization of profit
obtained from selling the foods.
Question
Answer
1
T
2
F
3
F
4
T
5
F
6
T
7
T
8
F
9
F
10
F
Problem statement
A group of scouts is spending a few days in a remote hostel where the only foods
available are the ones listed in the table below. After consulting with a nutritionist, the
group leader learned that a satisfactory diet...

...
Operation Management Assignment
Liu Zhenya(Harry)
2014.2.26
Words[1724]Question1: Why is operations management important in this company ?Operations management refers to the administration of business practices to create the highest level of efficiency possible within an organization. Operations management is concerned with converting materials and labor into goods and services as efficiently as possible to maximize the profit of an organization (Stevenson, W. J., & Hojati, M., 2007). The operations function comprises a significant percentage of the employees and physical assets in most organizations. Operations managers are concerned with each step in providing a product or service. They determine what should go into an operating system, such as equipment, labor, facilities, materials, energy, and information, to produce the output(Stevenson, William J., and Mehran Hojati., 2007). Operations managers are also responsible for critical activities such as materials management, capacity planning, purchasing, scheduling and quality.
The importance of operations management has increased dramatically in recent years. Significant competition, shorter product and service life cycles, better educated and quality-conscious consumers, and the capabilities of new technology have placed pressures on the operations function to improve productivity...

...Homework Assignment 2 Solution
Question 1: (True / False) (20 Points)
Answer this question in a table with the question number and the selected answer (True or False) in separate columns as shown below.
Question Number
Answer
1
2
…
10
Grading
2 points each
1- The feasible solution space only contains points that satisfy all constraints.
2- Graphical solution to linear programming problems can handle problems that involve any number of decision variables.
3- The value of an objective function decreases as its iso-objective line is moved away from the origin.
4- If a single optimal solution exists to a graphical LP problem, it will exist at a corner point.
5- Using the enumeration approach, optimality is obtained by evaluating every coordinate (or point) in the feasible solution space.
6- A non-unique solution to a linear program indicates the existence of more than one optimal point with different values of the decision variables but the same value of the objective function.
7- An unbounded solution to a linear programing problem is usually due to omitting a constraint.
8- If a linear programming model has no feasible solution space, then the answer to that model is a unique optimal solution.
9- The constraint x1 >= 2 x2 is non linear.
10- In the general diet problem, the objective function is a maximization of profit obtained from selling the foods.
Answer
Question Number
Answer
1
T
2
F
3
F
4
T
5
F
6
T...

...Operational Management
Operations management is defined as a systematic transformation process that converts a set of inputs into useful outputs.
1.1 Definitions:
An operations system is defined as one in which several activities are performed to transform a set of inputs into a useful output using a transformation process. These inputs and outputs can be tangible, as in the case of raw materials and physical products, or intangible, as in the case of information and experiences. Viewed in this manner, we can say that manufacturing and service systems could be broadly classified as operations systems.
Operations management is a systematic approach to address issues in the transformation process that converts inputs into useful, revenue-generating outputs.
It is a systematic approach that involves understanding the nature of issues and problems to be studied; establishing measures of performance; collecting relevant data; using scientific tools, techniques, and solution methodologies for analysts; and developing effective as well as efficient solutions to the problem at hand. Therefore, for successful operations management, the focus should be on developing a set of tools and techniques to analyze the problems faced within an operations system.
The operations management addresses various issues faced by an organization. These issues vary markedly in terms...