ACC416: Cost and Management Accounting Assignment, UiTM, Malaysia Classify the following costs of a franchise pizza chain either prime cost production overhead cost administrative cost

University Universiti Teknologi MARA (UiTM)
Subject ACC416: Cost and Management Accounting

QUESTION 1

A. Classify the following costs of a franchise pizza chain either prime cost production overhead cost administrative cost or selling and distribution cost.

COST AND MANAGEMENT ACCOUNTING

B. Cede Jati Enterprise is a local producer of teakwood furniture n East Malaysia. The business is organized into several departments such as purchasing, and production. marketing. storage and distribution. Each department has a manager responsible for managing their area. Department managers received monthly salaries while sales staff are paid monthly salaries plus a commission based on the sales revenue generated. The following are part of the costs of running the business

  • Salaries of sales staff with a monthly allowance of RM1.000 and commission at RM2 for each unit sales
  • Salaries of the department manager
  • Teakwood limber
  • Wages of carpenter based on unit produce
  • Renting a machine for a customer order
  • Insurance on building
  • Insurance on inventory
  • Advertisement
  • Electricity
  • Derxeuabon on office equipment

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