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f5- Performance Management Final-Assessment
f5- Performance Management Final-Assessment December 2009
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Final AssessmentKAPLAN PUBLISHING Page 1 of 9
ACCA FINAL ASSESSMENT
PerformanceManagement
JUNE 2009QUESTION PAPER
Time allowed Reading time:
15 minutes
Writing time:
3 hours Answer all questionsDo not open this paper until instructed by the supervisor This question paper must not be removed from the examinationhall
Kaplan Publishing/Kaplan Financial
ACCA F5 Performance Management © Kaplan Financial Limited, 2008All rights reserved. No part of this examination may be reproduced or transmitted in any formor by any means, electronic or mechanical, including photocopying, recording, or by anyinformation storage and retrieval system, without prior permission from Kaplan Publishing.Page 2 of 9 KAPLAN PUBLISHING
Final Assessment
Answer all questions
QUESTION 1
F plc supplies pharmaceutical drugs to drug stores. Although the company makes asatisfactory return, the directors are concerned that some orders are profitable and others arenot. The management has decided to investigate a new budgeting system using activity-based costing principles to ensure that all orders they accept are making a profit.Each customer order is charged as follows. Customers are charged the list price of the drugsordered plus a charge for selling and distribution costs (overheads). A profit margin is alsoadded, but that does not form part of this analysis.Currently F plc uses a simple absorption rate to absorb these overheads. The rate iscalculated based on the budgeted annual selling and distribution costs and the budgetedannual total list price of the drugs ordered.An analysis of customers has revealed that many customers place frequent small orders witheach order requesting a variety of drugs. The management of F plc has examined morecarefully the nature of its selling and distribution costs, and the following data have beenprepared for the budget for next year:Total list price of drugs supplied $8mNumber of customer orders 8,000
Selling and distribution costs
$000 Cost driverInvoice processing 280 See Note 2Packing 220 Size of package – see Note 3Delivery 180 Number of deliveries – see Note 4Other overheads 200 ___ Number of ordersTotal overheads 880 ___
Notes:
1 Each order will be shipped in one package and will result in one delivery to thecustomer and one invoice (an order never results in more than one delivery).2 Each invoice has a different line for each drug ordered. There are 28,000 invoicelines each year. It is estimated that 25% of invoice processing costs are related to thenumber of invoices, and 75% are related to the number of invoice lines.3 Packing costs are $32 for a large package, and $25 for a small package.4 The delivery vehicles are always filled to capacity for each journey. The deliveryvehicles can carry either 6 large packages or 12 small packages (or appropriatecombinations of large and small packages). It is estimated that there will be 1,000delivery journeys each year, and the total delivery mileage that is specific to particularcustomers is estimated at 350,000 miles each year. $40,000 of delivery costs arerelated to loading the delivery vehicles, and the remainder of these costs are relatedto specific delivery distance to customers.KAPLAN PUBLISHING Page 3 of 9
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F5 MOCK 09 2
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can someone help with f7 mock please
do more woks and you will pass the exam.
Great... Can u also post F8 and F9 mock exam papers??