ACCT 301 Saudi Electronic University Cost Accounting Worksheet

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Q1 Provide example of one Saudi Company and analyze two examples of organizational strategies and operating plans for this example. (1 Mark)

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Q2 AbdulkrimCompany manufactures a product A. The company estimates the cost function for the total costs. The cost driver is number of units. The following informations were collected:

Month Units Total Costs

January 3,560 $242,400

February 3,800 $252,000

March 4,000 $260,000

April 3,600 $244,000

May 3,200 $228,000

June 3,040 $221,600

Compute a cost function using the high-low method.

(1 Mark)

Q3 Hashim Corporation sells its product for $17 per unit. Its variable cost is $10 per unit, and total fixed costs are $800. Assuming next period’s estimated sales are 300, calculate the following amounts:

a. Degree of operating leverage

b. Margin of safety in units

c. Margin of safety in revenues

(1 Mark)

Q 4Provide one numerical example for allocation of overhead of one job and analyze this example?

(1 Mark)

Q 5 Discuss the concept of Equivalent Units in process costing and give numerical example? (1 Mark)

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