Questions from Cost Accounting


Q: The Portsmere Hospital operates its own laundry. Last year the laundry

The Portsmere Hospital operates its own laundry. Last year the laundry processed 120 000 kilograms of washing and this year the total is forecast to grow to 132 000 kilograms. This growth in laundry p...

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Q: Using the discounted cash flow yield (internal rate of return)

Using the discounted cash flow yield (internal rate of return) for evaluating investment opportunities has the basic weakness that it does not give attention to the amount of the capital investment, i...

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Q: Losrock Housing Association is considering the implementation of a refurbishment programme on

Losrock Housing Association is considering the implementation of a refurbishment programme on one of its housing estates which would reduce maintenance and heating costs and enable a rent increase to...

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Q: Paragon Products plc has a factory that manufactures a wide range of

Paragon Products plc has a factory that manufactures a wide range of plastic household utensils. One of these is a plastic brush that is made from a special raw material used only for this purpose. Th...

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Q: Franzl is a contract engineer working for a division of a large

Franzl is a contract engineer working for a division of a large construction company. He is responsible for the negotiation of contract prices and the subsequent collection of instalment monies from c...

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Q: Galuppi plc is considering whether to scrap some highly specialized old plant

Galuppi plc is considering whether to scrap some highly specialized old plant or to refurbish it for the production of drive mechanisms, sales of which will last for only three years. Scrapping the pl...

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Q: (a). Flopro plc makes and sells two products A and

(a). Flopro plc makes and sells two products A and B, each of which passes through the same automated production operations. The following estimated information is available for period 1: (ii). Prod...

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Q: Kaminsky Ltd manufactures belts and braces. The firm is organized into

Kaminsky Ltd manufactures belts and braces. The firm is organized into five departments. These are belt-making, braces-making and three service departments (maintenance, warehousing and administration...

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Q: Mestral is a highly successful company manufacturing a range of quality bathroom

Mestral is a highly successful company manufacturing a range of quality bathroom fittings. For the past 15 years production has been carried out at three locations: Northern town in the North East of...

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Q: Learning objectives: After reading this case study and completing the questions

Learning objectives: After reading this case study and completing the questions you will be able to: • Explain the alternative methods of allocating joint costs to products. â&...

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