Describe And Discuss The Role Of The Management Accountant: Accounting Assignment, UCD, Ireland

Learning outcomes:

1. Describe and discuss the role of the management accountant and their contribution to the achievement of changing organizational objectives

2. Identify and explain cost and revenue classifications and cost behavior patterns

3. Explain and interpret decision-making techniques to evaluate business choices

4. Apply budgeting techniques and evaluate alternative methods of budgeting, planning, and control.

QUESTION1:

 The following information relates to Burner Limited, a company that manufactures and sells designer-candlestick in Dublin. The owner and managing director of the business, Mr. Burner, has asked for your assistance as a management accountant to advise him in making some decisions and to help with internal accounting calculations.

Mr. Burner soon tries to influence your work by suggesting that he would have a preference if your calculations could be altered if necessary to help him with the performance management of staff. He also likes to carry on informal meetings with you at the local pub where he likes to discuss company matters over many drinks late into the night.

Mr. Burner recently intends to carry some renovations to his office that the other directors are not aware of. The renovations will cost €60,000 and he will use a local builder to carry out the work. He intends to pay the builder €10,000 in cash each month from July to December 2021 and he would like it recorded in the cash budget under the heading of “Repairs and Maintenance.”

Outside the pub one Friday night, he told you to put in €1,000 every month in the cash budget for personal entertainment (including drinks in the pub) for himself and he will pay for it using the company credit card. He suggested that you record the payments as “Miscellaneous Expenses” in the same cash budget for July to December 2021.

Mr. Burner has asked you to prepare a monthly cash budget for the 6 months from July to December 2021 for Burner Limited. For large orders, he is happy to give customers two months’ credit.

QUESTION 2

Gloss Limited makes two different kinds of the table – the Coffee and the Utility. It has three production departments and two service departments.