The Separate Calculation For Variable Cost Per Unit: Managerial Accounting Assignment, DU, Australia

University Deakin University
Subject Managerial Accounting
  • Cost Volume Profit Analysis:

Requirement for CVP Analysis

1. The separate calculation for Variable Cost per unit (DM, DL & Variable FOH), Fixed Operating cost per month or Quarter, and selling price per unit and number of units sold in last month.

2. Calculate breakeven in Unit and Sales:

a) Contribution Method (Unit and sales)

b) Equation Method (Unit and sales)

c) Graphical Method (In Excel sheet)

3. Prepare a contribution income statement based on last month sales

4. Assume if a company wants to increase its profitability, how many units and sales they have to make to reach to target profit.

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5. Calculate the degree of operating leverage.

6. Assume of a company increase its sales by 20% in the coming month, so how much net income will grow.

  • Profit Planning.

Requirement for Profit planning

Prepare a whole master budget for the coming three months along with quarter calculations. For the business that you have selected for a major assignment.

  • Standard Costing.

Requirement for Standard Costing

Divide your standard costing into major three portions i.e. Direct material per unit, Direct labor per unit, and variable overhead cost per unit based on practice standards.

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