module strategic management accounting apc 309 403743

SUNDERLAND BUSINESS SCHOOL Module: Strategic Management Accounting APC 309 Individual Assignment th Hand in Date: 6 January 2014 General Information Weighting – 100% of the marks for this module This is an individual assignment of 3,000 words (+/ 10%), excluding appendices and bibliography. The word count MUST be shown on the front of the assignment. There are TWO questions to be answered in this assignment. Each question carries a maximum mark of 50%. All of the learning outcomes for the module are being assessed in this assignment. The learning outcomes are shown in the section entitled “Marking Guide”, which is further on in this document. The University’s policy on cheating collusion and plagiarism will be applied to this piece of work. You are required to produce a report which answers the following TWO questions: Requirements: Part a. You have just been appointed to the position of Finance Director for a large multinational corporation. The business operates in about 20 countries around the world and has a very diverse product, service and business portfolio. Some of the businesses within the group buy from one another. You are looking at ways to maximise profits for the corporation as a whole and as such you are investigating different ways to measure the performance of individual managers who each have responsibility for one part of the portfolio. As the organisation’s Finance Director you have been asked to advise the Board of Directors as to which of the following three approaches to measuring performance is best for the organisation: 1) Cost Centre management; or 2) Profit Centre management; or 3) Investment Centre management? Your answer should include a critical review of each approach.Part b. Organisations need to know the cost of products or services they provide for a variety of decision making situations. Critically evaluate the following three approaches to costing products or services: 1. Marginal or variable costing; 2. Full or absorption…