快速查题-ACCA英国注册会计师试题

An organisation is considering the costs to be incurred in respect of a special order opportunity. The order would require 1,250 kgs of material D, that is readily available and regularly used by the organisation on its normal products.   

There are 265 kgs of material D in inventory which cost $795 last week. The current market price is $3.24 per kg. Material D is normally used to make product X. Each unit of X requires 3 kgs of material D, and if material D is costed at $3 per kg, each unit of X yields a contribution of $15.

 What is the relevant cost of material D to be included in the costing of the special order? 

 H has in inventory 15,000 kg of M, a raw material which it bought for $3/kg five years ago, for a product line which was discontinued four years ago. M has no use in its existing state but could be sold as scrap for $1.00 per kg.  One of the company’s current products (HN) requires 4 kg of a raw material, available for $5.00 per kg.  M can be modified at a cost of $0.75 per kg so that it may be used as a substitute for this material. However, after modification, 5 kg of M is required for every unit of HN to be produced. 

 H has now received an invitation to tender for a product which could use M in its present state. 

What is the relevant cost per kg of M to be included in the cost estimate for the tender? 

In order to utilise some spare capacity, K is preparing a quotation for a special order which requires 2,000 kgs of material J.  

K has 800 kgs of material J in inventory (original cost $7.00 per kg). Material J is used in the company’s main product L. Each unit of L uses 5 kgs of material J and, based on an input value of $7.00 per kg of J, each unit of L yields a contribution of $10.00. 

 The resale value of material J is $5.50 per kg. The present replacement price of material J is $8.00 per kg. Material J is readily available in the market. 

What is the relevant cost of the 2,000 kgs of material J to be included in the quotation? 

 A company is calculating the relevant cost of the material to be used on a particular contract. The contract requires 4,200 kgs of material H and this can be bought for $6.30 per kg. The company bought 10,000 kgs of material H some time ago when it paid $4.50 per kg. Currently 3,700 kgs of this remains in inventory.  The inventory of material H could be sold for $3.20 per kg.  

The company has no other use for material H other than on this contract, but it could modify it at a cost of $3.70 per kg and use it as a substitute for material J.  Material J is regularly used by the company and can be bought for $7.50 per kg. 

What is the relevant cost of the material for the contract? 

Ace Limited is considering a new project that will require the use of a currently idle machine. The machine has a current book value of $12,000 and a potential disposal value of $10,500 (before $200 disposal costs) and hence has been under depreciated by $1,500 over its life to date.  If the machine is to be fit for purpose on the new project it will have to be relocated at a cost of $500 and refitted at a further cost of $800.  

What is the relevant cost of using the machine on the new project? 

 Blunt is considering a new project but is unsure how much overhead to include in the calculations to help him decide whether or not to proceed. Existing fixed overheads are absorbed at the rate of $8 per hour worked.  Blunt is certain that the project will involve an incremental 500 labour hours.  

The project will involve extra machine running costs and these variable overheads cost him $4 per hour. The number of extra machine hours is expected to be 450 hours. The difference between this figure and the 500 labour hours above is expected idle time.  

The project will require a little more temporary space that can be rented at a fixed cost of $1,200 for the period of hire. This overhead is not included in the fixed overhead absorption rate above. 

What is the overhead to be charged against the project decision? 

Cleverclogs is short of labour for a new one-off project needing 600 hours of labour and has choices as to where to source this.  He could hire new people temporarily from an agency at a cost of $9 per hour.  Alternatively he could recruit new temporary staff at a fixed cost of advertising of $1,200 but then only pay $6 per hour for the time.  He could also redirect some staff from existing work who are currently paid $7 per hour and who make sandals that generate a contribution of $3 per hour after all variable costs. Sandals are a good selling product and Cleverclogs will lose the production and the related sales whilst staff is working on the new one-off project. 

What is the relevant cash flow? 

Drippy is producing a list of relevant cash flows regarding a decision she has to make. She is considering launching a new type of USB memory stick that guarantees better protection to the host computer.    

Drippy manages many existing products and has a standing arrangement with a technology magazine for advertising space entitling her to advertise each month.  The contract has just been signed and covers the next twelve months.  Payment is made in the month following an advert appearing.  Drippy is going to use the magazine to advertise her exciting new USB stick. 

Is the cost of the advertising space best described as a: 

 UU Company has been asked to quote for a special contract. The following information about the material needed has been given:

 Material X: 

Book value                          Scrap value                          Replacement cost 

$5.00 per kg                        $0.50 per kg                             $5.50 per kg  

The contract requires 10 kgs of Material X. There are 250 kgs of this material in inventory which was purchased in error over two years ago. If Material X is modified, at a cost of $2 per kg, it could then be used as a substitute for material Y which is in regular use and currently costs $6 per kg. 

What is the relevant cost of the materials for the special contract? 

VV Company has been asked to quote for a special contract. The contract requires 100 hours of labour. However, the labourers, who are each paid $15 per hour, are working at full capacity.  

There is a shortage of labour in the market. The labour required to undertake this special contract would have to be taken from another contract, Z, which currently utilises 500 hours of labour and generates $5,000 worth of contribution.   

If the labour was taken from contract Z, then the whole of contract Z would have to be delayed, and such delay would invoke a penalty fee of $1,000. 

What is the relevant cost of the labour for the special contract?