BKAM3023 FINAL EXAMINATION FIRST SEMESTER SESSION 2017/2018 COURSE CODE/NAME =: BKAM3023 MANAGEMENT ACCOUNTING II DATE : 2 JANUARY 2018 TIME : 9.00 AM-12.00 NOON (3 HOURS) VENUE :DMAS: INSTRUCTIONS: 1. This examination paper contains FIVE (6) questions in ELEVEN (11) printed pages excluding the cover page. 2. Answer ALL questions in the answer sheets provided. MATRIC NO: imi (in words ) (in numbers ) IDENTIFICATION CARD NO. : LECTURER : TABLE NO, : { DO NOT OPEN THIS EXAMINATION PAPER UNTIL INSTRUCTED‘BK4M3023 MANAGEMENT ACCOUNTING IT QUESTION 1 (20 MARKS: 36 MINUTES) Carry4U Sdn Bhd (CSB) manufactures two (2) types of laptop bags; one made of fabric and the other type is made of PVC. The total sales of last year was amounted to RMS00,000. For the coming year of 2018, it is expected the saies to increase to RM875,000. From the forecasted 2018 sales, RM481,250 belongs to the sales of fabric bag while the rest is for PVC bags. Total variable costs for fabric bag is 40% from its total sales, where else for PVC, the total variable cost is 50%. Total common fixed costs is RM150,000. REQUIRED (@) Calculate the total contrib to achieve to break even? jon margin, How much total sales (in RM) does CSB need (5 Marks) (b) If the selling price for fabric bag is RM110 each and PVC bag is RM125 each, calculate the breakeven points for each product in sales value and unit. (5 Marks) (©) If the estimated sale is achieved, how much operating income will CSB make in 2018? Using operating leverage, calculate the operating income that the company would lose if their next year’s sales is RM131, 250 less than expected. (5 Marks) (@ Calculate che margin of safety for figure means. 3B at the expected sales level and explain what the (3 Marks) (@) _ List down the FOUR (4) key assumptions in cost-volume-profit (CVP) analysis. (2 Marks)BKAM3023 MANAGEMENT ACCOUNTING I QUESTION 2: (20 MARKS: 36 MINUTES) A Bird Nest Global Enterprise (BNG) is a merchandising company that sells bird nest based products. One of the product is the Bird Nest Healthy Drink. In December 2017, BNG estimates that it will sell 12,000 bottles of the healthy drink at RM60 per bottle. The company’s accounting data available for November 2017 are as below: [Ttems: _ Merchandise Inventory, 30 November 2000 bottles Desired Merchandise Inventory, 31 December 3000 bottles Bird Nest Healthy Drink cost per bottle RM40 Selling and administrative expenses —_ | Rw200,000 Sash balance, | December RM30,000 Sales total in November RM600,000 BNG estimates that 60% of each month’s sales are collected in the month of sale and the remaining 40% is collected in the month after sales. ii, The RM200,000 of selling and administrative expenses includes RM40,000 of depreciation. Half of the merchandise purchased paid in the month of purchase and the remainder in the following month. iv. Other expenses paid in cash. REQUIRED: (@) Prepare a budgeted income statement for BNG for the month ended December 2017 (4 Marks) (©) Prepare the cash budget for BNG for the month ended December 2017. (6 Marks)