Module Assignment: Managerial Accounting Report

Module Assignment: Managerial Accounting Report

The Purpose and Context

This assignment will help you develop your understanding of the managerial accounting processes and you will learn how different accounting methods create different pictures for a company given the same data.

Case Scenario

Swipes 50 Limited manufactures a specialized screen protector for laptop computers. The Plus Swipe is a screen protector that prevents scratched on laptop screens. The company has been in operation for three years and now that the company has refined its production process, the directors have decided to focus on product costing. She wants to look  into  how  both  absorption  and  variable costing  affect  the profits of the company. The following information is available for the months of January and February:[unique_solution]

Additional Information

1. Swipes 50 production capacity is 20,000 unit per month.
2. Fixed production overheads are €28,600 per
3. Swipe 50 sell Plus Swipes at €22
4. On 31st January, the company’s warehouse had no Plus Swipes in
5. Fixed and variable elements (variable portion is incurred based on units sold) are included in the total administration

Assignment Instructions

1. Prepare a profit statement for Swipe 50 Limited for the months of February and March using: (20%)
   1. Absorption costing
   2. Variable costing
2. Reconcile the profit calculated using absorption costing to that using variable (20%)
3. Explain how each method differs from the other method and also explain the important of the

(20%)

4. Explain three ways Swipes 50 can improve its accounting systems. (20%)
5. State why managing accounting jobs are important in a manufacturing (20%)

Requirements

1. 3,500 – 4,000 words with APA Format

2. Double-spaced (2.0) or One and a Half (1.5) spaced
3. 12 Times New Roman font
4. Page Number (footer, right bottom corner)
5. 4 major sections: Table of Content, Title Page, Main Body, References