APC309StrategicManagementAccountingFinal

School: Management Development Institute of Singapore - Course: BUSINESS A APC309 - Subject: Accounting

UNIVERSITY OF SUNDERLAND PROGRAMME ASSESSMENT COVER SHEET / FEEDBACK FORM Student Name & ID:Malikjonov Akbarjon B2004858 bh80ti Module Name/Code: APC309 Strategic Management Accounting Center / College: MDIS Due Date:27January 2023Hand in Date: 23 January 2022 Assessment Title: Individual Assignment Learning Outcomes Assessed: LearningOutcomes Assesse Feedback relating learning outcomes assessed and assessment criteria given to students: Areas for Commendation: Areas for Improvement: General Comments: Moderators Signature: Overall Mark (subject toratification by the assessment board) Assessors Signature:Students Signature: (you must sign this declaring that it is all your own work and all sources of information have been referenced)

Table of Contents QUESTION ONE......................................................................................................................................3 PART A........................................................................................................................................................3 WORKINGCAPITAL ....................................................................................................................................3 EFFECTIVENESSOFWORKINGCAPITALMANAGEMENT ...........................................................................3 CASHBUDGETANDWORKINGCAPITAL .....................................................................................................5 PART B........................................................................................................................................................7 CASHBUDGET ...............................................................................................................................................7 WORKING 1...................................................................................................................................................7 WORKING 2...................................................................................................................................................8 WORKING 3...................................................................................................................................................8 WORKING 4...................................................................................................................................................8 QUESTION TWO.....................................................................................................................................9 PART A........................................................................................................................................................9 1)SELLINGPRICEVARIABLE ........................................................................................................9 2)SALESVOLUMEVARIABLE .........................................................................................................9 3)DIRECTMATERIALPRICEVARIABLE ......................................................................................10 4)DIRECTMATERIALUSAGEVARIABLE .....................................................................................10 5)DIRECTLABOURRATEVARIABLE ...........................................................................................10 6)DIRECTLABOUREFFICIENCY ..................................................................................................10 7)FIXEDOVERHEADSEXPENDITUREVARIABLE ........................................................................10 8)FIXEDOVERHEADSVOLUMEVARIABLE ..................................................................................11 PART B.........................................................................................................................................................11 REFERENCES........................................................................................................................................12 2

Question ONE Part A Working Capital An organization's ability to meet short-term obligations is measured by its working capital. It is determined by subtracting a company's current liabilities from its current assets. Current assets include things like cash, accounts receivable, and inventory, while current liabilities include things like accounts payable and short-term debt. To ensure that the firm has enough liquid resources on hand to run smoothly, it must carefully manage its short-term assets and obligations through working capital management. Keeping a steady flow of cash on hand while also making investments in the company's future entails careful management of the cash register, stockroom, and accounts receivable and payable. A company's ability to satisfy its short-term commitments and seize opportunities when they emerge is greatly reliant on the efficiency with which its working capital is managed. It's also an important consideration for financiers and investors when weighing the health of a business. Effectiveness of Working Capital Management Working capital management is the process of managing a company's short-term assets and liabilities. It is an essential part of the overall financial management of a business because it ensures that the company has sufficient liquid assets to cover its short-term obligations and the costs of running the day-to-day operations of the business. The efficiency with which an organization oversees its working capital determines its ability to weather adverse economic conditions, make savings on expenses, and take advantage of opportunities for development. When working capital is handled effectively, there are several benefits that may accrue to a firm. The most important advantage is that it makes it easier for the company to keep a sufficient amount of working capital to satisfy its short-term obligations. This includes recurrent expenditures such as rent, utility bills, and food prices among others. If a company does not have sufficient cash on hand, it may be forced to satisfy its debt obligations by resorting to procedures that are not only costly but also time-consuming and inconvenient, such as selling assets or taking out loans. By carefully managing its working capital, a company may avoid the types of cash flow difficulties that might threaten its financial health and keep it in good standing.