Page 1 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
RQF Unit 5 Management Accounting
Unit Level 4
Unit Code H/508/0489
Term Start Date 16 th September 2019
Hand Out Date 16th September 2019
Submission Deadline 25th November 2019 , 11 :59am (Mid -Day)
Lectures & Formative
Guided Learning Hours 60
Module Leader Dean Awoyejo
Copyright © - All rights reserved - UK College of Business and Computing
This document is the product and property of the UK College of Business and Computing and
therefore may not be: shared with any external third party; reproduced in full or in part; or
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Page 2 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Management Accounting report for Excite Entertainment Ltd
Scenario 1 – (LO1)
You have been working as An Intern at a leading Accountancy Firm. One of the clients called Excite
Entertainment Ltd operates in leisure and entertainment industry in the UK. One of their major
activities is the promotion of concerts and festivals at locations throughout the United Kingdom (UK).
They are consulting your firm on writing a Reference Manual for their Management Accounting
Department. Your Manager has asked that you prepa re the first draft of the Manual for the client
under the following heading s:
Section A: Title -Understanding Management Accounting Systems
a. Differences between Management Accounting and Financial Accounting.
b. Cost accounting systems (Direct Costs and Standard Costing)
c. Inventory Management Systems
d. Job Costing Systems
e. Evaluate the benefits of the above management accounting systems to your client.
Section B: Methods used for Management Accounting Reporting
a. Describe d ifferent types of managerial acco unting reports
b. Explain w hy information presented should be accurate, relevant to the user, reliable
up to date and timely.
c. Critically evaluate how management accounting systems and management
accounting reporting shou ld be integrated within Excite Entertainment Ltd
Scenario 2 – (LO2)
Excite Entertainment Ltd is reviewing its Management Accounting Systems, especially how costs are
allocated. The company has been allocating overhead costs arbitrarily but is considering using either
Absorption Costing or Marginal Costing Method to calculate the profitability of every
operations with effect from September 2019.
The following information is available from different cost centres of the organisation:
Selling price per Unit £15
Prime Cost per unit £4
Variable Production costs per unit £2 Page 3 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Budgeted fixed production overheads per month £40,000
Budgeted production per month 10,000 units
Budgeted Sales per month 8,000 uni ts
Opening inventory for September 500 units
Produce a financial report for the month of September 2019 comparing profit or loss using
Marginal Costing and Absorption Costing techniques. Interpret the results and advi se management
on your critical evaluation of the benefits and limitations of each method used referring to the results.
Scenario 3 – (LO3)
As a newly -qualified Management Accountant, you have been asked by your line manager to
produce a report which analyses the organisation’s use of planning tools to ensure financial
stability and performance as well as ways in which management accounting has played a key role
in preventing and solving financial problems.
This section is in the form of a two -part individual management report:
Part A : Compare and contrast three planning tools used in management accounting, indicating
how effective you judge each to be and why. Your judgements should be supported with evidence.
Part B : Us ing the information provided below, compare ways in which management accounting
is applied in dealing with financial problems and preventing financial problems in an organisation.
The following information is provided for the calculations of cost, volume and profit analysis:
Estimated fixed costs £120,000.00
Variable costs per unit £10.00
Proposed selling price per unit £40.00
Additionally, the Finance Manager has indicated the estimated profit that can be generated from
the above figures is not adequate for long term plans and therefore want to see profits increased
to £90 ,000. Advi se the sales team how many units needs to be sold to attain this profit level,
and management of any other measures that can be put in place for the team.
Critical evaluation of assumptions made must be provided . Page 4 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Pass Merit Distinction
LO1 Demonstrate an understanding of management accounting
LO1 & 2
D1 Critically evaluate how
systems and Management
Accounting Reporting is
integrated within organisational
P1 Explain management
accounting and give the essential
requirements of different types
of management accounting
P2 Explain different methods
used for management
M1 Evaluate the benefits of
management accounting systems
and their application within an
organisation al context.
LO2 Apply a range of management accounting techniques D2 Produce financial reports that
accurately apply and interpret
data for a range of business
P3 Calculate costs using
appropriate techniques of cost
analysis to prepare an income
statement using marginal and
M2 Accurately apply a range of
techniques and produce
appropriate financial reporting
LO3 Explain the use of planning tools used in management
LO3 & 4
D3 Evaluate how planning tools
for accounting respond
appropriately to solving financial
problems to lead organisations
to sustainable success.
P4 Explain the advantages and
disadvantages of different types
of planning tools used for
M3 Analyse the use of different
planning tools and their
application for preparing and
LO4 Compare ways in which organisations could use management
accounting to respond to financial problems
P5 Compare how organisations
are adapting management
accounting systems to respond
to financial problems.
M4 Analyse how, in responding
to financial problems,
management accounting can
lead organisations to sustainable
success. Page 5 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Submitting your assignment
You will submit your assignment to the appropriate submission link on Ulearn before midday on the
submission date. The assignment should be in a word document and preferably using Arial font
size 12 and 1.5 spacing. Your assignm ent should be uploaded on the Turnitin Assignment
submission section. It is advisable to use the Turnitin Plagiarism checker before uploading the final
piece of work.
Academic Misconduct’ Statement:
‘Academic Misconduct’ is a term used to describe a deliberate attempt by a student to take
unfair advantage over other students to undermine the quality, standards and credibility of
the programmes and qualifications offer by UKCBC. Academic Misconduct includes:
plagiarism; collusion; falsificat ion; replication; cheating; bribery; and impersonation. A
student suspected of Academic Misconduct will be investigated by the College and appropriate
action will be taken.
‘Contract Cheating’ Statement:
‘Contract Cheating’ is defined by the Quality Assurance Agency (QAA) as occurring when, “a
third party completes work for a student who then submits it to an education provider as their
own, where such input is not permitted.” Such third -party companies have become known as
‘essay mills’, and it is the responsibility of students to avoid contact and association with such
third -party companies throughout their entire period of study. A student suspected of
Contract Cheating will be investigated by the College and appropriate action will be taken . Page 6 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Glossary of commonly used academic words
Give reasons for: explain why something happens.
Examine something in very close detail and from a number
of angles. Identify the important points and chief features
and understand their relationships.
Present a case for and against a proposal or statement and
present your own opinion at the end.
Show how two or more things are similar.
Look at two or more things and draw out differences.
State whether the differences are significant.
Weigh arguments for and against something, assess the
strength of evidence on both sides.
Give the exact meaning of.
Give a detailed account of the main features or
characteristics ... Page 7 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Write about the most important characteristics of
something. Give arguments for and against, look at it
from a variety of perspectives.
Identify the differences between two items.
Assess the worth or usefulness of something. Use
evidence to support your opinion.
Look at something in detail. You may be expected to
'critically evaluate' it as well.
Make it clear why something happens or why it is the
way it is.
Recognise name and briefly describe something.
Use examples to further explain or justify something.
Could be visual or verbal.
Explain the meaning or significance of information or
data that you are presenting.
Provide evidence that supports an argument or idea.
Give only the main points, show only the main
structure. Page 8 of 8 Issue 2: September 2019 Copyright © - All rights reserved - UK College of Business and Computing
Present evidence in a logical structure to support an
argument for a point of view.
1. Show how ideas / theories/ events etc are linked or
2. Tell a story. Explain something in a narrative
Survey and comment on the key aspects of something or
a range of things.
Give the main features clearly and simply.
Draw out the main points, omitting detail and
How far is something true or contributes to a final
outcome. Also, how far is it not true? In academic
writing the answer is usually somewhere in the
Describe the development of something; follow the
order of different stages in an event or process.
Adapted from Cottrell. S.(2003) The Study Skills Handbook. Basingstoke. Palgrave.