Information Systems for Managment Accounting Essay

Information Systems for Managment Accounting - Essay ExampleBudgeted sales in unit $2200 make sense desired ending inventory $0= total need $2200Less beginning inventory $0Required Production$ 2200The production budget is figure on March 2009Budgeted sales in unit $1400Add desired ending inventory $0= total needs $1400Less beginning inventory $0Required Production $ 1400The production budget is calculated on April 2009Budgeted sales in unit $2500Add desired ending inventory $0= total needs $2500Less beginning inventory $ 0Required Production $ 2500Sales Budget for Hope Ltd. Material Purchase Budget for the Hope LimitedUnitsmaterial cost per unitmaterial buy budget2008May1,1004044000June1,3004052000July1,5004060000August1,7004068000September1,9004076000October2,1004084000November2,3004092000December2,500401000002009January2,3004092000February2,2004088000March1,4004056000April2,50040100000Total for year22,80040912000Direct Labor Budget for the Hope Ltd.Units2008labor hour per unitt otal labor hourDirect labor costDirect Labor BudgetsMay1,10022200817600June1,30022600820800July1,50023000824000August1,70023400827200September1,90023800830400October2,10024200833600November2,30024600836800December2,5002500084000028200928January2,30024600836800February2,20024400835200March1,40022800822400April2,50025000840000Total for year22,8002456008364800Production crashTotal Fixed Production Overhead91200Total Fixed Admin. And Distribution Overhead36000Total Fixed Overhead127200Variable Overhead5 per labour hour(5) (45600)228000Total... Description the overall company efficiency was increased later due to the credit sale for two months that causes loss. Therefore, the company must come its credit sale. On the other hand its distribution and administrative cost is also huge which is also required to minimize. Over all company goes in profit with time but its efficiency can be increased by lowering its cost.