AAT Level 2 Principles of Costing case studies
AAT Level 2 Principles of Costing · Put your knowledge to work in context.
Principles of Costing is the cost accounting unit of the AAT Level 2 Certificate in Accounting, the entry-level qualification for people starting a career in bookkeeping, accounts payable, or general finance administration. It suits learners with little or no prior accounting background, as well as working adults who record costs day to day and want a formal grounding in the underlying theory. The AAT Level 2 Principles of Costing case studies are 5 cases and about 4,027 words.
1Marsden Bakery: Splitting Shared Costs Across Cost Centres
Marsden Bakery has one production site with two departments - bread and pastry - plus a small shop and a delivery van. The owner, Priya, wants a cost recording system in place before applying for a bank loan.
901 words, about 5 min2Holloway Print: Job 214 - Absorption Base and Normal Waste
Holloway Print runs a jobbing print shop. Job 214 is a batch of 5,000 A5 leaflets for a local gym.
812 words, about 4 min3Aston Components: FIFO versus AVCO with Rising Steel Prices
Aston Components holds a single type of steel rod. April records show: opening stock 1 April, 200 units at £5.00; receipt 8 April, 300 units at £5.40; issue to production 12 April, 350 units; receipt 20 April, 400 units at £5.75; issue to production 26 April, 250 units.
688 words, about 3 min4Danvers Engineering: Idle Time and Overtime Premium on Job 558
Danvers Engineering pays machinists £12.00 per hour for a 40-hour basic week, with overtime at time-and-a-half. In week 22, machinist Ade recorded 45 hours: 3 hours were lost when his machine broke down and he could not be redeployed, and the remaining 42 hours were all worked on Job 558.
797 words, about 4 min5Riverside Café: Flexing the Budget Before Judging Actual Costs
Riverside Café's owner receives a monthly sheet comparing April actual costs with the annual budget divided by 12. Budget for a typical month: 2,000 covers; food £6.00 per cover; labour £4,000 fixed; rent £1,500; other variable costs £1.20 per cover.
829 words, about 4 min