PSPM II - 2020/2021

AA025: PSPM SESSION 2020/2021

QUESTION 1 [20 marks]

SOALAN 1 [20 markah]

Meranti Enterprise produces garden ponds for landscaping. The business uses normal
costing system in determining production costs. The estimated manufacturing overhead
cost is RM60,000 based on 5,000 machine hours. Information relating to three jobs in
December 2020 were as follows:

Meranti Enterprise mengeluarkan kolam untuk hiasan halaman. Perniagaan
menggunakan sistem pengekosan normal dalam menentukan kos pengeluarannya.
Anggaran kos overhed perkilangan ialah RM60,000 berasaskan anggaran 5,000 jam mesin.
Maklumat berkaitan tiga pesanan kerja dalam bulan Disember 2020 adalah seperti
berikut:

1. Direct materials costs, direct labour costs and machine hours for each job order

are as follows:

Kos bahan langsung, kos buruh langsung dan jam mesin bagi setiap pesanan kerja

adalah seperti berikut:

Job Order Direct Materials Direct labour Machine hours

(RM) (RM) (RM)

LC1 5,500 600 120

LC2 5,800 650 150

LC3 7,250 820 230

2. Other manufacturing costs incurred during December were as follows:

Lain-lain kos perkilangan sepanjang bulan Disember adalah seperti berikut:

Items RM

Indirect materials 2,350

Indirect labour 1,720

Utilities 2,100

Maintenance 1,200

Depreciation 600

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AA025: PSPM SESSION 2020/2021

3. At the end of the month, only jobs LC1 and LC2 were completed.
Pada akhir bulan hanya pesanan kerja LC1 dan LC2 telah siap.

Required:

Dikehendaki:

(a) Calculate the predetermined overhead rate.
Kira kadar overhed pra-tentu.

[1 mark]
[1 markah]

(b) Calculate the applied manufacturing overhead cost for each job.
Kira kos overhed perkilangan diserap untuk setiap pesanan kerja.

[3 marks]
[3 markah]

(c) Determine the total costs for job LC1, LC2 and LC3.
Tentukan jumlah kos untuk pesanan kerja LC1, LC2 dan LC3.

[6 marks]
[6 markah]

(d) Prepare the journal entries to record all transactions related to all jobs above
(Omit explanation).
Sediakan catatan jurnal bagi merekod semua urusniaga berkaitan semua pesanan
kerja di atas (Abaikan keterangan).
[8½ marks]
[8½ markah]

(e) Prepare a journal entry to adjust the over-applied or under-applied overheads to
the costs of goods sold (Omit explanation).
Sediakan catatan jurnal bagi melaraskan overhed terlebih serap atau terkurang
serap kepada kos barang dijual (Abaikan keterangan).
[1½ marks]
[1½ markah]

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AA025: PSPM SESSION 2020/2021

QUESTION 2 [20 marks]
SOALAN 2 [20 markah]

Kayumanis Industries Sdn Bhd (KISB) produces wooden trays involving two processing
departments; Department A and Department B. Weighted-average method is used to
compute equivalent units. In Department A; all materials are added at the beginning of
the process. On 1st November 2020, Department A had work in process inventory of
2,000 wooden trays. During November, it started new production of 22,000 wooden
trays. At the end of the month, 2,500 wooden trays were 60% completed.

Kayumanis Industries (KISB) mengeluarkan dulang kayu yang melibatkan dua jabatan
pemprosesan, Jabatan A dan Jabatan B. Kaedah purata wajaran digunakan untuk mengira
unit persamaan. Di Jabatan A; bahan mentah langsung dimasukkan kesemuanya di awal
proses. Pada 1 November 2020, Jabatan A mempunyai inventori kerja dalam proses
sebanyak 2,000 unit dulang kayu. Sepanjang November, syarikat memulakan pengeluaran
baru sebanyak 22,000 unit dulang kayu. Pada akhir bulan, terdapat 2,500 unit dulang kayu
dalam keadaan 60% siap.

The costs information during November for Department A are as follows:
Berikut adalah maklumat tentang kos bulan November bagi Jabatan A:

Beginning work in process: RM
Kerja dalam proses awal:
Direct materials 1,900
Bahan mentah langsung 2,850
Conversion costs
Kos penukaran 5,300
Current costs incurred during November 6,350
Kos semasa dilibatkan sepanjang November
Direct materials
Bahan mentah langsung
Conversion cost( 60% direct labour, 40 % overhead costs)
Kos penukaran ( 60% buruh langsung, 40% kos overhead)

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AA025: PSPM SESSION 2020/2021
Required:
Dikehendaki:

(a) Prepare a production cost report for Department A for the month ended 30th
November 2020.
Sediakan laporan kos pengeluaran untuk Jabatan A bagi bulan berakhir 30
November 2020.
[16 marks]
[16 markah]

(b) Prepare journal entries to record current costs and transferred out costs of
Department A for November 2020.
Sediakan catatan jurnal bagi merekod kos semasa dan kos pindah keluar di Jabatan
A bagi November 2020.
[4 marks]
[4 markah]

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AA025: PSPM SESSION 2020/2021

QUESTION 3 [25 marks]
SOALAN 3 [25 markah]

(a) Mahogany Sdn. Bhd. manufactures smartphone leather cases. The company uses
normal costing system. In 2020, the company estimates to produce 100,000 units
of cases. The estimated variable and fixed manufacturing overhead costs are
RM300,000 and RM120,000, respectively. Actual data for December 2020 were as
follows:

Mahogany Sdn. Bhd. mengeluarkan sarung kulit telefon pintar. Syarikat
menggunakan sistem pengekosan normal. Dalam tahun 2020, syarikat
menganggarkan untuk mengeluarkan 100,000 unit sarung telefon pintar. Anggaran
kos overhed perkilangan berubah dan tetap masing-masing ialah RM300,000 dan
RM120,000. Data sebenar untuk bulan Disember 2020 adalah seperti berikut:

Selling price RM75 per unit

Variable manufacturing cost:

Direct material RM9 per unit

Direct labor RM5 per unit

Manufacturing Overhead RM3 per unit

Variable selling and administrative costs RM2.50 per unit

Fixed manufacturing cost for 2020 RM144,000

Fixed selling and administrative cost for 2020 RM60,000

Inventory:

Beginning 1,500 units

Ending 3,500 units

Sales 10,000 units

Production 12,000 units

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AA025: PSPM SESSION 2020/2021

Required:
Dikehendaki:

Using the absorption costing method:

Dengan menggunakan kaedah pengekosan serapan,

(i) Calculate the product cost per unit.
Kira kos produk seunit.

[3 marks]
[3 markah]

(ii) Prepare statement of comprehensive income for the month ended 31st
December 2020.
Sediakan penyata pendapatan komprehensif bagi bulan berakhir 31 Disember
2020.
[7 marks]
[7 markah]

Using the marginal costing method;
Dengan menggunakan kaedah pengekosan marginal;

(iii) Calculate the product cost per unit.
Kira kos produk seunit.

[2 marks]
[2 markah]

(iv) Prepare statement of comprehensive income for the month ended 31st
December 2020.
Sediakan penyata pendapatan komprehensif bagi bulan berakhir 31 Disember
2020.
[5 marks]
[5 markah]

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AA025: PSPM SESSION 2020/2021

(b) Al-Jati Sdn. Bhd. produces sports attires for global market. The relevant
information in 2020 regarding the manufacturing overhead cost is as follows:
Al-Jati Sdn. Bhd. mengeluarkan pakaian sukan untuk pasaran global. Maklumat
berkaitan kos overhed perkilangan bagi tahun 2020 adalah seperti berikut:

Items Budgeted Actual
Variable manufacturing overhead RM240,000 RM241,500
Fixed manufacturing overhead RM150,000 RM128,800
Direct Labour hours 30,000 hours 32,200 hours
Production units 200,000 units 230,000 units

Required:
Dikehendaki:

(1) Calculate expenditure variance and efficiency variance for variable manufacturing
overhead costs.
Kira varians perbelanjaan dan varians kecekapan kos overhed perkilangan berubah.
[5 marks]
[5 markah]

(2) Calculate budget variance and volume variance for fixed manufacturing overhead
costs.
Kira varians belanjawan dan varians volum kos overhed perkilangan tetap.
[3 marks]
[3 markah]

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AA025: PSPM SESSION 2020/2021

QUESTION 4 [20 marks]

SOALAN 4 [20 markah]

(a) Pine Oak Sdn. Bhd. (POSB) produces PQR components used in its products. The
annual production of PQR is 40,000 units. The cost per unit of PQR is as follows:

Pine Oak Sdn. Bhd. (POSB) mengeluarkan komponen PQR yang digunakan di dalam
produknya. Pengeluaran tahunan PQR ialah 40,000 unit. Kos seunit PQR adalah
seperti berikut:

Items RM
Direct Material 23.40
Direct Labour 22.30
Variable Manufacturing Overhead 1.40
Fixed Manufacturing Overhead 24.60
Cost per unit 71.70

A company bids to supply PQR required by POSB for a price of RM59.20 per unit.
If POSB accepts this offer, the division of the plant used to make PQR can be used
to produce a new component SNP. Additional contribution margins of SNP are
RM352,000 per year. However, the fixed manufacturing overhead cost of RM21.90
per unit continues to be incurred if PQR is purchased from the supplier.

Sebuah syarikat menawarkan pembekalan PQR yang diperlukan oleh POSB dengan
harga RM59.20 seunit. Jika POSB menerima tawaran ini, bahagian kilang yang
digunakan untuk membuat PQR boleh diguna untuk menghasilkan komponen baru
SNP. Margin sumbangan tambahan dari SNP ialah RM352,000 setahun.
Bagaimanapun, kos overhed perkilangan tetap sebanyak RM21.90 seunit terus
dilibatkan jika PQR dibeli dari pembekal.

Required:
Dikehendaki:
Prepare relevant costing using differential analysis approach to determine
whether POSB should make or buy PQR components. Justify your answer.

Sediakan pengekosan relevan menggunakan pendekatan analisis perbezaan bagi
menentukan sama ada POSB perlu terus membuat atau membeli komponen PQR.
Nyatakan alasan anda.

[12 marks]
[12 markah]

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AA025: PSPM SESSION 2020/2021

(b) Cengal Sdn. Bhd. (CSB) produces 100,000 electric kettles per month, which is 70%
of plant capacity. Variable manufacturing costs are RM35 per unit. Fixed
manufacturing costs are RM500,000, or RM5 per unit. The electric kettles are
normally sold directly to retailers at RM55 each.
Cengal Sdn. Bhd. (CSB) mengeluarkan 100,000 cerek elektrik sebulan, di mana ia
hanya menggunakan 70% kapasiti kilangnya. Kos perkilangan berubah ialah RM35
seunit. Kos perkilangan tetap ialah RM500,000 atau RM5.00 seunit. Kebiasaanya
cerek elektrik dijual secara terus kepada pemborong pada harga RM55.00 setiap
satu.
Resak Enterprise (RE), a wholesaler offers to purchase an additional 5,000 electric
kettles at RM50 per unit. Acceptance of the offer would not affect normal sales of
the product. The additional units can be manufactured without increasing plant
capacity. CSB is willing to accept this order if the additional contribution margin
reaches RM25,000 and above.
Resak Enterprise (RE), pemborong menawarkan untuk membeli 5,000 unit cerek
elektrik tambahan pada harga RM50 seunit. Penerimaan tawaran tersebut tidak
akan menjejaskan jualan biasa produk. Unit tambahan boleh dikeluarkan tanpa
meningkatkan kapasiti kilang. CSB bersedia untuk menerima tempahan ini jika
pertambahan dalam margin sumbangan mencapai RM25,000 atau lebih.

Required:
Dikehendaki:

Prepare relevant costing using contribution margin analysis to determine
whether CSB should accept or reject the order from RE. Justify your answer.

Sediakan pengekosan relevan menggunakan analisis margin sumbangan bagi
menentukan sama ada CSB perlu menerima atau menolak tempahan dari RE.
Nyatakan alasan anda.

[8 marks]
[8 markah]

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